Margin war: Nestle India, ITC agree on price parity with distributors

In the last 20 days, AICPDF had written two letters to FMCG companies to resolve the issue of price disparity.

Nestle India and ITC executives have met members of the All India Consumer Products Distributors Federation (AICPDF) to sort out the price disparity issue between traditional distribution channels and organised business-2-business (B2B) distributors.

Both the companies are learnt to have told the apex body, which has over 450,000 distributors, that they will bring in price parity across both the distribution channels.

However, distributors have asked for a written confirmation on this. Both firms have also said that traditional distributors will not be at the losing end, according to people who were a part of the discussions.

This is the first set of meetings