INDIAN EXHIBITION INDUSTRY ASSOCIATION V. MINISTRY OF COMMERCE AND INDUSTRY AND INDIAN TRADE PROMOTION ORG.

Published on: 28th January 2026

Authored By: Yash sharma
IMS LAW COLLEGE, NOIDA

FACTS

The Indian Exhibition Industry Association (IEIA) filed a case against the Ministry of  Commerce & Industry (MoCI) and the India Trade Promotion Organisation (ITPO) alleging  that ITPO, as a regulator and organizer, was abusing its dominant position in the exhibition  industry. The IEIA argued that ITPO was imposing discriminatory conditions on other  exhibition organizers, limiting competition, and creating an uneven playing field

Background:

IEIA:

The Indian Exhibition Industry Association (IEIA) is the apex body representing the exhibition  industry in India, encompassing organizers, managers, and other industry players. 

MoCI:

The Ministry of Commerce & Industry (MoCI) is responsible for formulating and  implementing policies related to trade, commerce, and industry in India. 

ITPO:

India Trade Promotion Organisation (ITPO) is a nodal agency for promoting India’s external  trade, organizing and facilitating international trade fairs and exhibitions. It also manages the  Pragati Maidan exhibition complex. 

The IEIA alleged that the ITPO, without a valid reason, killed the exhibitions of other market  players in the exhibition industry by fixing its own unrecognized exhibitions and refusing  permission to other players by virtue of the guidelines, thereby destabilizing the  institutionalized exhibitions of other players. The IEIA accused ITPO of abusing its dominant  position by imposing stringent time gap restrictions on other exhibition organizers while  organizing its own exhibitions at Pragati Maidan. This led to ITPO being penalized by the CCI  for unfair business practices and being asked to cease and desist from anti-competitive  activities

ISSUES

Fair trade watchdog CCI has ordered a probe into alleged abuse of dominant market position  by ITPO for conditions imposed by it for trade shows and exhibitions held at Pragati Maidan  in the national capital. India Trade Promotion Organisation is the government’s nodal agency  to promote external trade and it accords approvals for holding of international trade fairs in  India and abroad. ITPO organises and facilitates various industrial trade fair and exhibition  shows in India and abroad.

IEIA accused ITPO of leveraging its dual role as both regulator and organizer of exhibitions to  favor its own events over those of third-party organizers. This included imposing stringent  “time gap restrictions” that disadvantaged other organizers. For instance, while a 15-day gap  was required between similar events, ITPO mandated a 90-day gap before and a 45-day gap  after its own events, effectively limiting competitors’ access to the venue. ITPO was found to  delay confirmations for event dates for third-party organizers and did not follow a first come-first-serve policy. Additionally, it imposed unfair conditions, such as mandatory  booking of additional spaces and compulsory use of ITPO’s enlisted housekeeping services,  regardless of the organizers’ preferences .

Conflict of Interest: The core of the issue lies in ITPO’s conflict of interest—acting as both a  service provider and a regulator. This dual role allowed ITPO to set policies that could  potentially hinder. Competition Commission of India further imposed a Rs 6.75 crore penalty  on the Indian Trade Promotion Organisation, a central government agency, for indulging in  unfair business practices.

It has been observed that a large number of organisers are coming forward to india to  organise events in india on a whole scale but at times frequent exhibition convey or incite  confusing signals to the participants and to business elites from india and abroad and when  events also lead to poor business response causing loss of opportunity on the side of  organiser and nation.

Further there exists the need to have transparency in granting approvals by the designated  authority, thus the need was felt to review the existing framework and the respective  committee was constituted by the ministry of commerce.

LEGAL CONTEXT

Relevant Provisions of the Competition Act, 2002: held in the above case  Section 3: Prohibits anti-competitive agreements and practices. 

Section 4: Addresses abuse of dominance by enterprises. 

Section 19(1)(a): Allows filing of information about potential violations of the Act.  Section 26(1): Directs the Director General to investigate the matter. 

Section 27: Allows the Commission to pass orders after investigation. 

Section 48: Deals with fixing responsibility of individuals involved in contraventions. 

In 2006, ITPO revised its guidelines to impose a “time gap restriction” between events with  similar product profiles. Specifically, non-ITPO events were required to maintain a 15-day  gap, while ITPO’s own events enjoyed a more favorable window: 90 days before and 45 days  after their events. This disparity was further extended in 2011, mandating a 90-day gap both  before and after ITPO events for third-party organizers. IEIA contended that such measures  were arbitrary and discriminatory, adversely affecting other players in the market by limiting  their ability to schedule events and by imposing additional conditions, such as mandatory  use of ITPO’s services.

Let us take a look at the legal issues involved in the above case in brief.

Section 4 – Abuse of Dominant Position: Under this section, it is forbidden for enterprises to  abuse their dominant position in the market. The IEIA accused ITPO of abusing its dominant  position through the exercise of control over Pragati Maidan and as regulator and  competitor, by subjecting third-party event organizers to unfair terms such as strict time-gap  restrictions and compulsory use of the services of ITPO.

Section 19(1)(a) – Investigation into Certain Agreements and Abuse of Dominant Position:  This section enables any individual, consumer, or their association to submit information to  the Competition Commission of India (CCI) accusing contravention under the Act. The IEIA  submitted the complaint under this section, which directed the CCI to investigate.

Section 26(1) – Inquiry Procedure: When the information is received, the CCI instructed the  Director General to conduct an investigation in respect of the above section

Section 27 – Commission’s Orders following Inquiry: The CCI, after investigation, held ITPO  guilty of misuse of dominant position and ordered a penalty of ₹6.75 crore, requiring it to  stop such anti-competitive behavior.

Section 2(h) – Definition of ‘Enterprise’: ITPO was an ‘enterprise’ under this section since it  was carrying out economic activities in the nature of conducting trade fairs and exhibitions.

Section 2(s) and 2(t) – Definitions of ‘Relevant Market’: These sections lay down the  definition of the relevant geographic market and the product market, which were important  in the determination of the dominance of ITPO in the market for venues for trade fairs and  exhibitions in Delhi

GLIMPSE OF LEGAL FRAMEWORK UPHELD

CCI’s Findings

The CCI examined the complaint and, in its order of 2014, held that ITPO enjoyed a  dominant position in the market for offering venues for trade fairs and exhibitions in Delhi.  The Commission held that ITPO’s time gap policy was discriminatory and constituted an  abuse of its dominance under Section 4 of the Competition Act, 2002. The CCI further  observed that ITPO’s role as a regulator and a competitor in the exhibition sector gave rise to  a conflict of interest .

COMPAT’s Reversal

But then in 2016, the Competition Appellate Tribunal (COMPAT) reversed the order of the  CCI. COMPAT opined that ITPO’s time gap policy had objective reasons, including logistical  aspects and the necessity to effectively handle limited availability of venues. The Tribunal  opined that these reasons were enough to rebut the charge of abuse of dominance.

Development of Standard Operating Procedures (SOPs)

As an integrated response to the disruptions faced by the exhibition industry during the  COVID-19 pandemic, ITPO partnered with associations like IEIA, FICCI, and others to prepare

industry-wide SOPs for safe exhibitions. The guidelines were crafted to establish a common  safety standard across the industry and were submitted to the government for approval.

Key Arguments of the Petitioner:

Abuse of Dominant Position: IEIA argued that ITPO, as a regulator as well as a competitor in  the exhibition business, abused its dominant position. ITPO operated Pragati Maidan, a  prime exhibition complex in Delhi, and also staged its own trade shows,

Discriminatory Time Gap Limits: ITPO enacted time gap limits between comparable events,  which were stricter for third-party organizers than for its own events. For example, third party events with comparable profiles had to have a gap of 90 days preceding and following  ITPO’s events, while ITPO’s events did not have to contend with such strict limits.

Arbitrary Changing of Guidelines: Even though the time gaps in lifting restrictions were  initially removed in 2003 as per the Ministry of Commerce directions, ITPO reinstated and  modified these restrictions in 2006 and 2011 with no justifiable reason. These modifications  negatively impacted other exhibition organizers by derailing their well-established events.

Imposition of Exorbitant Conditions: IEIA charged that ITPO was imposing unfair conditions  upon exhibitors, for example, insisting upon pre-booking extra ‘foyer area’ and forcing  exhibitors to use empaneled housekeeping facilities of ITPO at extra costs, thus making it  costly for third-party organizers and curtailing their freedom of operations.

Absence of Transparency and Equitability: IEIA contended that ITPO’s dual function and the  absence of explicit, equitable, and transparent policies for space allotment and event  planning at Pragati Maidan resulted in an unequal playing field, putting other participants in  the exhibition business at a disadvantage. 

These reasons were directed at pointing out how the practices of ITPO possibly violated  Sections 3 and 4 of the Competition Act, 2002, by entering into anti-competitive agreements  and abusing its dominant position in the concerned market.

Key Arguments presented by the Respondents:

Implementation of a Uniform Policy:

ITPO notified the Competition Commission of India (CCI) that it had prepared a competition friendly and uniform policy for leasing exhibition space and facilities in Pragati Maidan. The  policy was to address aberrations in the current system and make the allocation of exhibition  venues fair.

Commitment to Modify Time Gap Policy:

To address the issue mentioned regarding discriminatory time gap limitations between  comparable events, ITPO promised the CCI that it would frame an easy-to-use time gap  policy. The organization promised to amend the present policy upon expiration of three  months to achieve consistency in conducting fairs and exhibitions at Pragati Maidan.

Role as a Trade Promotion Entity:

ITPO reiterated its core function as a government-owned corporation with the mandate to  develop India’s foreign trade. It maintained that its activities, such as staging trade fairs and  trade exhibitions, were within its mandate of promoting trade and were not aimed at stifling  competition.

Adherence to Competition Act Provisions:

ITPO argued that it was within the definition of an “enterprise” as provided in Section 2(h) of  the Competition Act, 2002, and that its activities were governed by the provisions of the Act.  Yet it argued that its actions did not violate Sections 3 and 4 of the Act since it was not  entering into anti-competitive agreements or abusing a dominant position.

Assurance of Non-Discriminatory Practices

The Commission was assured by the organization that non-discriminatory procedures would  be applied in alloting exhibition space and also in laying down guidelines, thus mitigating  fears regarding preferential treatment and arbitrary terms being applied to third-party  organizers.

These points were made to indicate ITPO’s adherence to equitable practices and counter  complaints regarding anti-competitive behavior in the management and allocation of  exhibition space at Pragati Maidan.

CONCLUSION

In Indian Exhibition Industry Association v. Ministry of Commerce and Industry & Indian  Trade Promotion Organisation (ITPO), the Competition Commission of India (CCI) held ITPO  guilty of abusing its market position as a dominant player to organize trade fairs and  exhibitions in Delhi. ITPO imposed discriminatory time-gap restrictions in favor of its own  events relative to third-party events in Pragati Maidan, thus offending Sections 4(2)(a)(i),  4(2)(b)(i), 4(2)(c), and 4(2)(e) of the Competition Act, 2002.The CCI ordered ITPO to  discontinue such anti-competitive conduct and levied a fine of ₹6.75 crore, which is 2% of  ITPO’s average turnover during the last three financial years.

But, on appeal, COMPAT overruled the CCI’s order, reasoning that ITPO’s conduct had  rational reasons and was not abuse of dominance under the Act.This case highlights the  intricacies involved when a government agency acts both as a regulator and as a market  player, and thus there is a necessity for explicit policies to avoid conflicts of interest as well  as maintain fair competition

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