Prema Milk slapped with Rs5 Million Fine for misleading Pakistani consumers

Prema Milk Slapped With Rs5 Million Fine For Misleading Pakistani Consumers

ISLAMABAD – The Superiority narrative by Pakistani dairy brand Prema Milk has been rejected by Competition Appellate Tribunal, and a fine was imposed on the local to stop this menace.

Competition Appellate Tribunal (CAT) upheld findings of the Competition Commission against At-Tahur (Pvt.) Limited, the parent company behind the dairy brand, for engaging in false marketing

The case was started after a complaint by Pakistan Dairy Association (PDA), which alleged that Prema had run a misleading marketing campaign on social media in the wake of the Supreme Court’s 2016 ruling on milk safety.

According to complaint, Prema implied that all other dairy products in the market were unsafe for human consumption, presenting itself as the only safe option—a claim found to be baseless and damaging to the business interests of its competitors.

After an inquiry, the CCP concluded that At-Tahur had violated Section 10(1) of the Competition Act, 2010, in conjunction with clauses (a), (b), and (c) of Section 10(2). As a result, the Commission imposed a fine of Rs. 35 million and directed the company to issue a public clarification regarding its misleading statements.

While the CAT confirmed that the company had indeed violated competition laws, it ruled that the original fine was disproportionately high and reduced the penalty to Rs. 5 million.

Tribunal’s decision reinforces the importance of responsible advertising and sends a clear message that misleading marketing, particularly when it harms competitors, will not go unchecked—though penalties may be adjusted based on proportionality.

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