Fragrance giants under scanner over price collusion

Global fragrance firms Givaudan, Firmenich, and International Flavors & Fragrances (IFF) are currently under a second antitrust probe in India, according to a confidential regulatory document obtained by Reuters. The investigation, which centers on alleged price collusion since 2024, follows an ongoing inquiry into accusations of labor anti-poaching agreements among the companies.

While the companies have cooperated with global anti-cartel investigations concerning pricing in foreign markets, they have not yet commented on the Indian probe.

The Competition Commission of India (CCI), responsible for the investigation, shared its preliminary report with the companies in February, but it was subsequently withdrawn after Givaudan and IFF objected to the improper redaction of their commercial secrets. The document, dated July 22, will now need to be rewritten with the appropriate redactions, potentially delaying the case.

This investigation is of particular concern to the CCI from a systemic perspective, as losing commercially sensitive data could harm competition in the market. India's flavors and fragrances market is projected to reach $5 billion by 2033, up from $2.5 billion in 2024, according to Grand View Research.