Banglalink and Robi’s complaint against Grameenphone

Robi and Banglalink have accused Grameenphone of capturing the market by selling SIMs at unusually low prices. They have also filed a formal complaint with the Bangladesh Competition Commission regarding the matter. The commission has informed that the investigation into Robi’s complaint has been completed and a case may be filed. However, Grameenphone has denied the allegations of violating the law. Currently, four operators are providing voice calls and internet services to 188.4 million mobile subscribers in the country. Of these, 86.5 million are Grameenphone subscribers. Not only is it ahead in terms of subscriber numbers, Grameenphone also controls half of the market worth about 32,000 crore taka. That is why in 2019, the BTRC declared Grameenphone a market dominant or SMP operator. Along with this, several restrictions were imposed, including increasing the call rate. However, Robi and Banglalink recently complained to the Competition Commission that Grameenphone is influencing the market by selling SIMs at low prices. Banglalink’s Chief Corporate and Regulatory Affairs Officer Taimur Rahman complained that despite being an SMP operator, Grameenphone is selling SIMs at unusually low prices. Other companies will not be able to compete with this. Therefore, it is important to take an effective decision on the matter. The government charges a tax of 300 taka on each SIM. Still, operators are subsidizing them to capture the market. According to the documents, last year, Robi sold each SIM for 199 taka and Grameenphone for 169 taka. Robi paid a maximum commission of 89 taka to the sellers, while Grameenphone paid 122 taka. As a result, excluding the commission, the actual price of a Grameenphone SIM is only 47 taka, which is 57 percent less than Robi. Robi says that despite being an SMP operator, Grameenphone is violating the competition law. Robi’s Chief Corporate and Regulatory Affairs Officer Shahed Alam said that Grameenphone is attracting customers by selling SIMs at unusually low prices. Therefore, we are also forced to follow the same path. The Bangladesh Competition Commission must take a quick decision on this matter. However, Grameenphone has denied the allegations. The company’s Chief Corporate Affairs Officer Tanvir Mohammad said, “We have not broken any rules. Everything is being done in accordance with the rules.” The Competition Commission said that the investigation into Robi’s allegations has been completed and a decision on the case will be taken soon. Commission Chairperson AHM Ahsan said that the investigating officer has submitted the report. Grameenphone will be called for a hearing soon. In addition, the commission said that the investigation into Banglalink’s allegations will also begin soon.