The Competition Commission of India has ordered a detailed investigation into French liquor giant Pernod Ricard and seven other entities for cartelization in the Indian-made foreign liquor market. The investigation will examine Pernod Ricard’s restrictive behavior with retailers and wholesalers, which may violate competition laws. The Director General of the Chamber of Commerce and Industry will lead the investigation, looking for the individuals responsible.
NEW DELHI: The Competition Commission has ordered a detailed probe against French liquor major Pernod Ricard and seven other entities for alleged cartelization in the Indian-made foreign liquor market.The seven entities that have come under the radar are Indo Spirits, Pathway HR Solutions, Universal Distributors, Khao Gali, Bubbly Beverages, Shiv Associates and Organomix Ecosystems.Ordering the probe, the regulator said it is prima facie that Pernord Ricard’s restrictive conduct with retailers/wholesalers, allegedly to induce brand push and achieve higher market share in Delhi’s IMFL market, falls within the scope of the ‘exclusive dealing agreement’ under the Competition Act. Such behavior violates the law, according to a 26-page order, dated May 5, by the Competition Commission of India (CCI). The complaint was filed before the Chamber of Commerce and Industry in 2024.The Director General (DG) of CCI will conduct the investigation which will also look into the role of the persons/officials who were responsible for managing the activities of these entities as well as the individuals whose consent or complicity was involved during the time of the violations.