NEW DELHI: The Competition Commission of India (CCI), the anti-trust regulator, has imposed a penalty of Rs 870 crore on beer manufacturers – United Breweries, SABMiller and Carlsberg India – for indulging in cartelisation in the sale and supply of beer in various states and Union Territories in India, including through the platform of All India Brewers’ Association (AIBA).
The CCI has found that the three companies engaged in price co-ordination in contravention of the provisions of the Competition Act in Andhra Pradesh, Karnataka, Maharashtra, Odisha, Rajasthan, West Bengal, National Capital Territory of Delhi and the Union Territory of Puducherry.
The CCI also found that these companies were also collectively restricting supply of beer in Maharashtra, Odisha and West Bengal. It found that the three were coordinating with respect to supply of beer to premium institutions in the city of Bengaluru in contravention of the provisions of the Competition Act.
The anti-trust regulator also found co-ordination between UBL and AB InBev with respect to purchase of second-hand bottles. AIBA was found to be actively involved in facilitating such cartelisation. The period of cartel was held to be from 2009 to at least October 2018.
Four individuals of UBL, 4 individuals of AB InBev, 6 individuals of CIPL and the Director General of AIBA, were held by CCI to be liable for the anti-competitive conduct of their respective companies/ association.