Foodpanda has been fined Tk10 lakh by the Bangladesh Competition Commission (BCC) for engaging in unfair business practices.
Addressing breaches of the Competition Act`s sections 16(1) and 16(2), the BCC took decision on Monday and issued instructions to the online food and grocery delivery service.
The fine followed a complaint filed in December 2020 by MGH Restaurants Pvt Ltd against Foodpanda, which claimed unfair practices in the food delivery industry and the exploitation of its dominating position in the market.
Furthermore, the authority in charge forbade Foodpanda from preventing restaurants from forming partnerships with other delivery services.
According to the sources, the decision was made with the intention of protecting the interests of restaurants and customers both while promoting greater competition in the market.
The commission`s chairperson, Pradip Ranjan Chakraborty, gave out the summary of the order, stating that the BCC without a doubt considered Foodpanda to be in a dominant position in the market.
He said that Nando`s and Peyela, two well-known restaurant brands owned by MGH Restaurants Pvt Ltd., had seen their business operations hindered by foodpanda due to its abuse of its dominating position.
The BCC chair said that although the department was still in its early stages and lacked staff members, it was making efforts to resolve all pending cases.
