Saturday, April 03, 2021

CCI dismisses 9-year-old case against IATA, finds no violation of anti-competition rules: Report

The Competition Commission of India (CCI) has discontinued a 9-year-old case against the International Air Transport Association (IATA), as it did not find violations of its norms.

The investigation began following a December 2012 complaint by the Air Cargo Agents Association of India (ACAAI), alleging anti-competitive practices by the IATA’s Cargo Tariff Conference and Cargo Agency Conference.

The CCI in a 36-page order dated March 31, 2021 said that “no case of contravention of the provisions of the Act is made out” against IATA as per ACAAI’s grievances adding: “the matter is directed to be closed forthwith,” Mint reported.

Allegations were that the IATA was unfairly determining cargo agents’ commissions and the rules of its Cargo Accounts Settlement Systems (CASS) were anti-competitive.

IATA “welcomed” the order and said this “reinforces the fact that it operates in line” with India’s competition laws.

"The recent order also underscores that the introduction of the CASS in India brought benefits to both airlines and cargo agents, bringing economies of scale, standardization and efficiencies in the settlement process," it added.

IATA counts 290 global airlines among its members, including Indian players such as Vistara, SpiceJet, IndiGo and Air India.


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