GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
LOK SABHA
UNSTARRED QUESTION NO. 4074
ANSWERED ON MONDAY, THE 28TH MARCH, 2022
[CHAITRA 7, 1944 (SAKA)]
COMPETITION COMMISSION OF INDIA
QUESTION
4074. SHRI HIBI EDEN:
Will the Minister of CORPORATE AFFAIRS be pleased to state:
(a) whether the Government is aware that the Competition Commission of India (CCI) has charged fine upon five tyre-makers for colluding to fix prices; if so, the details thereof including company and fine amount;
(b) whether the Government has received numerous complaints against tyre-makers that lead to these penalty fixations and if so, the details thereof and if not, the mode on which CCI had taken cognizance;
(c) whether the Government has received information that the tyre manufacturers had exchanged price-sensitive data among themselves through Automotive Tyre Manufacturers Association, and collectively decided on tyre prices and if so, the details thereof; and
(d) the details of the steps taken by the Government for preventing tyre-makers from colluding to fix prices?
ANSWER
THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF STATISTICS AND PROGRAMME IMPLEMENTATION; MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF PLANNING; AND MINISTER OF STATE IN THE MINISTRY OF CORPORATE AFFAIRS.
(RAO INDERJIT SINGH)
(a)to(d): The Competition Commission of India (‘Commission’) has stated that on the basis of a representation made by the All India Tyre Dealers Federation, proceeding were initiated and the Commission vide its order passed in Reference Case No. 08 of 2013, imposed penalties of Rs. 425.53 crores on Apollo Tyres Ltd., Rs. 622.09 crores on MRF Ltd., Rs. 252.16 crores on CEAT Ltd., Rs. 309.95 crores on JK Tyre and Industries Ltd., Rs. 178.33 crores on Birla Tyres Ltd. and Rs. 8.41 Lakh on their association i.e. Automotive Tyre Manufacturers Association (ATMA), besides passing a cease & desist order from indulging in collusive price fixing/cartelization. The Commission had observed that the tyre manufacturers had exchanged price-sensitive data amongst themselves through the platform of their association, (ATMA) and had taken collective decisions on the prices of tyres.