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India: CCI to investigate largest trucking union over price increases

 |  November 28, 2012

Members of the “disorganized” trucking industry in India are facing an investigation by the Competition Commission of India after the antitrust authority learned that the All India Motor Transport Congress, a union in the industry, allegedly told its members to raise freight charges by up to 15 percent in response to an increase in gas prices last September. The AIMTC is barred from asking its truckers to increase fares by the Monopolies and Restrictive Trade Practices Commission. The complaint was first issued by the Indian Foundation of Transport Research and Training. In response, one AIMTC official said that the 15 percent increases were not a request for the union’s truckers to raise prices, but rather a “projection” of cost increases. AIMTC claims to be the largest union in the trucking sector, which overall has about six million vehicles in operation.

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