Jaipur, India – Over 60 of Jaipur’s most iconic sweet shops and halwai outlets have collectively pulled their listings from Zomato, initiating an indefinite boycott against the popular food-delivery platform. The move comes after nearly a month of unsuccessful negotiations regarding what vendors describe as “unethical practices” and “financially unviable” commission structures.
Commission Hikes Spark Widespread Discontent
The Shri Halwai Samiti, an influential association of Jaipur sweet vendors established in 1942, announced the collective action. According to Ajay Agarwal, proprietor of the renowned Laxmi Misthan Bhandar (LMB), Zomato initially operated with zero commission when it entered the market around 2015-2016. “Now it is up to a minimum of 10–12 per cent to 25 per cent,” Agarwal stated, highlighting additional pressures for discounts and advertising, alongside “unjustified deductions.”
Rajendra Rawat, president of the Samiti, echoed these concerns, noting that commission rates for sweet vendors have escalated to as high as 22% since 2016. He emphasized the intense competition within the sweet business, asserting that such high commissions render operations economically unviable for shopkeepers.
Lack of Transparency and Forced Discounts
Beyond the steep commission hikes, shop owners have expressed significant frustration over a perceived “lack of transparency” in Zomato’s platform schemes and unilateral discount offers. Agarwal criticized these forced promotional costs, explaining, “The stores have to honour these discounts,” with the financial burden often passed directly to vendors.
Despite repeated written communications and an assurance of a meeting in early August, the Shri Halwai Samiti reported receiving no formal response from Zomato, leading to the decision to boycott.
National Attention and Broader Industry Concerns
The local dispute in Jaipur has garnered national attention, drawing in the Federation of Sweets and Namkeen Manufacturers (FSNM). FSNM Director General Firoz Naqvi confirmed that the organization has sent a formal letter to Zomato, requesting a meeting to discuss broader commercial and operational issues affecting the mithai, namkeen, bakery, and allied sectors across India.
Naqvi pointed out that similar vendor pushback in Bengaluru, coupled with the Jaipur boycott, suggests these issues are “no longer restricted to an individual business or a particular city,” indicating a nationwide pattern of dissatisfaction.
The Shri Halwai Samiti, which includes iconic brands such as LMB, RMB, Bombay Misthan Bhandar, Doodh Misthan Bhandar, Kanha, and Sodhani Sweets, has affirmed that the boycott will remain in effect. They demand a rationalized and uniform commission structure from Zomato before their members will rejoin the platform. Until a resolution is reached, customers will find many of Jaipur's cherished legacy sweet brands unavailable through the app.