CCI Cracks Down: Maharashtra Liquor Trade Bodies Ordered to Halt Anti-Competitive Practices

Updated: December 12, 2025 01:15

Image Source: Business Today

The Competition Commission of India has ordered three Maharashtra liquor trade associations to stop anti-competitive practices, including price controls and mandatory NOCs. The move aims to restore fair competition and transparency in the state’s liquor distribution sector, impacting manufacturers, distributors, and retailers.

The Competition Commission of India has issued a decisive order directing three prominent Maharashtra liquor trade associations—Maharashtra Wine Merchants Association, Pune District Wine Merchants Association, and Association of Progressive Liquor Vendors—to cease all anti-competitive conduct with immediate effect. This regulatory action follows a formal complaint and investigation into alleged unfair practices within the state’s liquor distribution network, with the CCI citing violations of Sections 3(3)(a), 3(3)(b), and 3(1) of the Competition Act, 2002.

Notable Updates:

The associations were found to have collectively imposed restrictive conditions on manufacturers, distributors, and retailers, including controls on retail margins, mandatory launch fees, and no-objection certificates for new product launches.
The CCI also held the office-bearers of these associations personally liable for facilitating such anti-competitive conduct, as per Section 48 of the Act.
The directive mandates a halt to all price-fixing, mandatory donation schemes, and other commercial arrangements that distort fair competition in the sector.

Major Takeaways:

The order underscores CCI’s commitment to ensuring a level playing field for all stakeholders in the liquor trade, promoting fair market practices and consumer welfare.
Affected parties must comply with the CCI’s directives, or risk further regulatory action, including potential penalties.
The move is expected to foster healthier competition, transparency, and innovation in Maharashtra’s alcoholic beverages market.

Important Points:

The CCI’s intervention comes amid broader regulatory scrutiny of Maharashtra’s liquor policies, including recent excise duty changes and the introduction of the Maharashtra-Made Liquor category.
Industry experts anticipate that this order could lead to increased compliance and a more open market for new entrants and established players alike.

Source: Competition Commission of India, NSE Circular, PIB, Business Standard, Moneycontrol

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