Key Points
An investigation has revealed that leading food delivery platforms Zomato and Swiggy have violated competition laws in India, according to documents from the Competition Commission of India (CCI)...
The investigation found these companies implemented practices that gave preferential treatment to certain restaurants on their platforms, news agency Reuters reported...
The CCI's probe uncovered that Zomato implemented preferential agreements or exclusivity contracts with partner restaurants, offering reduced commission rates in exchange..
Both platforms were found to have enforced price parity across different delivery platforms, with the CCI documents indicating this practice "directly reducing competition in the market."..
Zomato implemented strict pricing controls and included potential penalties for non-compliance, while some restaurants partnering with Swiggy were "threatened that their rankings will be pushed down, if they do not maintain price parity."..
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