Distributors write to FMCG companies for the second time on price parity

Distributors have written a second letter to fast-moving consumer goods (FMCG) companies to discuss price parity in the backdrop of higher margins given to organised business-to-business (B2B) distribution firms than to those in the traditional trade.

According to a distributor, Marico has proposed to sell different packs in the traditional trade and organised B2B trade channels.

Dabur India and Colgate-Palmolive (India) have also come forward to discuss the best way forward for both channels to co-exist, but no conclusion has been reached.

Dabur, the maker of Vatika hair oil and Real fruit juice, has proposed to merge its general trade and modern trade