The Competition Commission of India (CCI) is also seeing action in its role as an anti-cartelisation watchdog. It is widely expected to take a final view on whether restrictive trade practices are prevalent in the Rs 60,000-crore domestic pharmaceutical market.
The All India Organisation of Chemists and Druggists, the pan-India body that represents a majority of the 550,000 retail chemists, has been enjoying a near-veto power on medicine trade issues for decades.
Another verdict of significant public interest, on the alleged cartelisation that led to the price increase in onions last year, is also expected to soon. Proving cartel charges on food and vegetable price rises was not easy, said an official.
According to CCI officials, in just over two years, CCI has gone through 160 complaints related to cartels and alleged trade restrictive practices. It has given its verdict in about 100 cases, including dismissals of complaints without merit during the period.“We have received 80 complaints in 2011. All are being taken up in a time-bound manner, though stakeholder responses and investigations sometimes lead to delays,” a senior official said.
Competition law experts, however, are concerned with the high rate of appeals against the CCI orders. Half of the over 100 cases decided by the CCI were challenged in the Competition Appellate Tribunal. Commission officials said the number of appeals is par for the course.
“The appeal mechanism has been set up for that purpose. We are doing our job; the appellate body is carrying out its responsibilities. What should be noted is none of the CCI verdicts have so far been reversed or over ruled by higher courts or appellate body. It should explain the robustness of our verdicts,” a CCI member said.