CCI rejects complaint filed against SAB Miller by Official Beverages

Posted By: Religare
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Competition Commission of India has rebuffed a complaint of alleged anti- competitive practices against beer maker SAB Miller India by Hyderabad-based Official Beverages.

Official beverages had alleged that SAB Miller was abusing its dominant positions besides forming a cartel that hurt the business interests of the complainant.

Rejecting the plea of Official Beverages, which had a franchise pact with SAB Miller, CCI said the "dispute between the parties was business/commercial dispute regarding implications of the franchisee agreement."

Observing that there is no prima facie evidence for further investigation on the complaint, the regulator in an order dated May 31 said, "No competition issue arises in this case."

Under the franchise agreement with SAB Miller, Official Beverages was to manufacture packaged drinking water, sparkling water and packaged soda with the former's trademark.

The pact, signed in March 2009, was valid for three years, but it was terminated in February 2012. Official Beverages has alleged that terms were completely one sided and favoured the beer maker.

Read more about: cci, sab miller
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