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Regular-article-logo Wednesday, 08 May 2024

Opposition to Flipkart deal

All India Online Vendors’ Association has approached CCI against Flipkart’s plan to buy Walmart’s local

Our Special Correspondent Mumbai Published 29.07.20, 04:36 AM
Flipkart last week announced its acquisition of Walmart India’s cash-and-carry business, which is run under the Best Price brand across 28 stores in the country.

Flipkart last week announced its acquisition of Walmart India’s cash-and-carry business, which is run under the Best Price brand across 28 stores in the country. Shutterstock

Less than a week after it announced the deal, Flipkart is facing a major hurdle in its proposed move to acquire the local cash-and-carry business of parent Walmart.

The All India Online Vendors’ Association (AIOVA) has approached the Competition Commission of India (CCI) against the move.

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AIOVA has said that an investigation by the CCI against Flipkart is currently underway for alleged abuse of dominant position, and hence the acquisition cannot be allowed.

Counsel Chanakya Basa has said that the objections were already made by the body when Walmart had acquired the Flipkart group in 2018 and that the latest acquisition cannot be allowed as an investigation is on.

Flipkart last week announced its acquisition of Walmart India’s cash-and-carry business, which is run under the Best Price brand across 28 stores in the country.

Meanwhile, Flipkart has announced the launch of its hyperlocal delivery service ‘Flipkart Quick’ to deliver grocery, fresh vegetables, meat and mobile phones in 90 minutes. Flipkart Quick will provide consumers with a choice of more than 2,000 products in various categories.

Consumers can choose to order in the next 90 minutes or book a 2-hour slot according to their convenience. Customers can place orders any time of the day, and get their orders delivered between 6 am to midnight, starting with a minimum delivery fee of Rs 29.

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