CCP targets private schools over branded supplies

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CCP targets private schools over branded supplies
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ISLAMABAD: The Competition Commission of Pakistan (CCP) has issued show-cause notices to 17 leading private school systems for allegedly abusing their dominant position by compelling parents to purchase expensive, logo-branded notebooks, workbooks and uniforms exclusively from authorised vendors. The regulator said the action aims to protect millions of students and families from anti-competitive pricing practices.

The enforcement move follows a detailed suo motu inquiry triggered by numerous complaints from parents and guardians, who accused schools of arbitrary fee hikes, opaque selling practices and forcing families to buy mandatory branded supplies at inflated prices. Schools under scrutiny include Beaconhouse, The City School, LGS, Headstart, Froebel’s, Roots International, Roots Millennium, KIPS, Allied Schools, Super Nova, Dar-e-Arqam, STEP School, Westminster International, United Charter School and The Smart School, among others.

According to the CCP, parents were required to purchase logo-bearing notebooks, uniforms and “study packs” from exclusive online portals or designated outlets, with students barred from using generic alternatives available in the open market. The commission defined enrolled students as “captive consumers”, noting that each school effectively holds a 100% market share over its own students, while the tied market for ancillary products leaves families with no choice.

The inquiry found some study packs priced up to 280% higher than comparable items sold in regular stationery markets. Exclusive vendor arrangements also shut out thousands of small retailers nationwide, violating Sections 4(1) and 4(2)(a) of the Competition Act, 2010.

With private schools accounting for nearly half of Pakistan’s student population, the CCP warned that overpriced branded materials are worsening financial pressures on households. Schools have been given 14 days to submit written replies and justify why penalties under Sections 31 and 38—potentially up to 10% of annual turnover or Rs750 million—should not be imposed.

Pakistan State Time is a versatile digital news and media website that covers all latest news developments on 24/7 basis.

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