CCI Probes Asian Paints for Alleged Market Abuse

The Competition Commission of India (CCI) has launched an investigation into Asian Paints after Grasim Industries (Birla Paints) accused the company of abusing its dominant position in the decorative paints market. Grasim alleges that Asian Paints offers exclusive incentives to dealers for exclusivity and penalizes those who sell Birla Paints products. The CCI's preliminary review found prima facie evidence of unfair and restrictive conditions that may violate Section 4 of the Competition Act by denying competitors market access. The regulator has directed the Director General to submit a report within 90 days and clarified that its order does not constitute a final judgment. Asian Paints has stated it is reviewing the order and will cooperate with the investigation.