FMCG distributors warn Colgate Palmolive to take strict action on price disparity issue

Fast-moving consumer goods (FMCG) distributors are demanding a level playing field from manufacturers and protesting the price disparities between traditional business and business-to-business retailers such as JioMart, Walmart, Metro Cash & Carry, Booker’s among others. Elastic run, flight etc.

Commenting on the development, Colgate Palmolive (India) said that it values ​​strong relationships with its distributors and is trying to find solutions that help them address their challenges and grow their business.

Colgate Palmolive (India) Limited said in a statement, “We have worked with our distributor network and we aim to address their challenges and find solutions that help them grow their business, ensuring while ensuring that our consumers have access to their favorite and trusted brands.”

The All India Consumer Products Distributors Federation (AICPDF), which represents over 4 lakh distributors and stockists pan India, is in talks with several FMCG manufacturers on the issue.

“Almost all the companies of FMCG were mailed by the organization on the same topic two weeks back… So far in its steadfast stand, the AICPDF is neither talking to nor responding to the organisation, the AICPDF said in a statement.

Due to this “obstinate attitude” AICPDF is going to take strict steps from 1st January and no distributor in Maharashtra will sell Colgate’s Max Fresh brand in the market for the next one week, and if the company does not come to talk, then next week The distributor will not sell the Ved Shakti brand, the association said.

Colgate-Palmolive said it values ​​the strong relationships it has developed with distributors over the past 8 decades.

“We work hard to instill trust and transparency and we will continue to prioritize the growth of all our partners, regardless of their size and scale.”

Earlier this week, FMCG distributors had said that they would stop selling products of major manufacturer HUL in Maharashtra, as it did not engage in discussions with them on the issues of price disparity.

AICPDF had earlier called for a “non-cooperation” movement against FMCG companies.

It had written to the companies that B2B retailers are offering FMCG products to retailers and local stores at lower rates than what they are offering and this is now “adversely affecting” their reputation and goodwill.

“Therefore it is our demand that we also get those products at prices at which we can offer the same prices as Jio Mart / B2B companies,” the association said in an open letter to FMCG companies.

This story has been published without modification in text from a wire agency feed.