The National Restaurant Association of India (NRAI) plans to file a complaint with the Competition Commission of India (CCI) against Zomato and Swiggy, alleging anti-competitive practices and private labeling through their new 10-minute delivery apps, Bistro and Snacc.
The National Restaurant Association of India (NRAI) is preparing to take legal action against food delivery giants Zomato and Swiggy, raising concerns about their newly launched standalone apps for 10-minute food delivery. According to a report by The Economic Times, the NRAI is likely to approach the Competition Commission of India (CCI) regarding these developments.
The NRAI is already involved in a case with the antitrust regulator, accusing Zomato and Swiggy of indulging in practices that harm competition.
Zomato has introduced the Bistro app under its Blinkit quick-commerce platform, while Swiggy’s Snacc app is part of its dark-store model. Both apps deliver food and beverages procured from third-party vendors within 10 minutes. The NRAI alleges that these platforms engage in private labeling, creating an unfair competitive advantage over their restaurant partners.
NRAI President and Wow Momo Co-Founder Sagar Daryani voiced strong opposition, claiming these platforms redirect customers to their private-label products, such as tea, biryani, and momo, at the expense of restaurant businesses. Daryani hinted at the association’s plans for serious legal action, expressing concerns over the aggregators' dual role as competitors and platforms.
Apart from Bistro and Snacc, both Zomato and Swiggy also operate 15-minute food delivery models that aggregate restaurant services. Swiggy’s restaurant-based quick delivery model, known as Bolt, reportedly accounts for over 5% of its total orders.
Daryani reiterated the NRAI’s stance against aggregators directly competing with restaurants, emphasizing the potential harm to the food service ecosystem.