Flipkart on Sunday described its discounted milk sales as a “limited promotional campaign," responding to allegations by Bangalore Cooperative Milk Union (Bamul) that the Walmart-backed ecommerce platform was undermining the interests of dairy farmers.

The company said it periodically runs promotional campaigns on select products on its marketplace, often in partnership with banking partners, to enhance customer value. “Prices of products on the Flipkart marketplace are determined by individual sellers. All dairy partners and sellers continue to receive their full agreed price for the products they supply, and farmer procurement prices are not impacted in any way,” it said in a statement.

Flipkart added that it remained committed to working with farmers, cooperatives, and sellers across India to expand market access and support their growth.

The clarification follows a complaint filed by Bamul with the Competition Commission of India (CCI) and a representation sent to Prime Minister Narendra Modi over the campaign.

On Saturday, Bamul president DK Suresh released copies of the complaint, alleging that the ecommerce platform was selling milk at Re 1 per litre through investor-funded discount campaigns, a practice he said undermined the dignity of farmers and the cooperative movement built over decades.

Suresh, a three-time MP from Bangalore Rural, who lost to the BJP candidate in the 2024 Lok Sabha polls, and the younger brother of deputy chief minister DK Shivakumar, said milk could not be treated as a marketing gimmick as it sustains millions of farmers across the country.

Bamul, a large arm of the Karnataka Cooperative Milk Federation that owns the Nandini dairy brand, has approached the competition watchdog Section 19(1)(a) of The Competition Act, 2002 seeking an inquiry into the campaign.

According to Suresh, Flipkart had already sold about 14.5 lakh litres of milk under the promotion, backed by extensive advertising. He also claimed that Nandini’s daily sales had declined by 40,000–50,000 litres following the retailer’s campaign.

“We are paying farmers Rs 38-40 per litre. How can milk be sold for Re 1? We need to know from whom they are procuring the milk and where it is coming from,” Suresh said.