Amazon, Flipkart destroyed Kirana stores, says CAIT

A day after Karnataka HC gave CCI a go ahead with a probe against Amazon and Flipkart for their alleged anti-competitive practices, CAIT said that these e-commerce companies have destroyed traditional Kirana and small merchants.

Amazon (AP)

A day after Karnataka High Court gave the decision that the Competition Commission of India (CCI) can go ahead with a probe against Amazon and Flipkart for their alleged anti-competitive practices, the Confederation of All India Traders (CAIT) on Saturday said that these e-commerce companies have destroyed traditional Kirana and small merchants.

CAIT secretary general Praveen Khandelwal in a press release stated, "These e-commerce companies, "should provide a list of the top 10 sellers on their portal in the last five years which will reveal the fact that names of the same set of sellers will exist during these five years as the top sellers which are prominently related to them in one way or the other thereby consolidating the sales into few hands only. These foreign e-commerce entities are habituated to make tall claims about helping and assisting small and medium retailers while ruthlessly destroying the very fabric of our traditional Kirana and small merchants," Khandelwal said in a press note.

"We have reason to believe that these companies are trying to establish themselves as the second edition of East India Company to fulfil their aspirations and ulterior motives to control and dominate not only the e-commerce but the entire landscape of the retail trade of India which is being run by more than 8 crore traders providing employment to nearly 40 crore people and generating an annual turn over of about ₹150 lakh crores," said Khandelwal.

Earlier, CAIT on Friday hailed the Karnataka High Court's decision that the Competition Commission of India (CCI) can go ahead with a probe against Amazon and Flipkart for their alleged anti-competitive practices.

"We appeal @CCI_India to continue its probe," CAIT General Secretary Praveen Khandelwal tweeted.

"We also urge Shri @PiyushGoyal to bring new #PressNote without delay."

The High Court earlier dismissed a plea filed by e-commerce companies Amazon and Flipkart challenging a probe ordered by CCI against them for alleged violations of competition laws.

The order was pronounced by Justice P S Dinesh Kumar while hearing two petitions moved by them seeking to quash the probe ordered by CCI. Amazon and Flipkart can now either go to a two-judge bench in the High Court or the Supreme Court.