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Thailand Warns Food Delivery Apps Of Overcharging During Covid-19

 |  April 1, 2020

Thailand’s anti-monopoly watchdog warned food delivery platforms on Wednesday, April 1, they could face fines for charging higher commissions as online food orders surge amid the coronavirus outbreak. 

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    The announcement comes after malls and restaurants were ordered to close except for take-out orders in late March. Food delivery platforms have seen a spike in orders, with operators like Foodpanda seeing orders rise 20 times from a year ago.

    Thailand has reported 1,771 confirmed cases and 12 deaths.

    There have been complaints that food delivery platforms have increased their service fees for restaurants from 20%, to rates of up to 40%, the Office of Trade and Competition Commission (OTCC) secretary-general Somsak Kiatchailak said, without naming any companies. 

    Platforms are also charging restaurants fees for marketing and advertising, he said. Unfair commercial activity that causes damage to consumers will face a penalty of 10% of the year’s revenue, the OTCC said.

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