FMCG distributors seek zero-MDR for UPI transactions
- Posted on September 18, 2026
- By Financial Express
- 1 Views
- 1 min read
In brief
India's fast-moving consumer goods distributors and retailers face significant financial challenges following proposed UPI transaction fee implementations. The All India Consumer Products Distributors Federation has escalated concerns to Prime Minister Modi regarding the introduction of a 0.4% merchant discount rate charge on digital payments. This fee structure threatens the profitability of already margin-constrained FMCG businesses, potentially disrupting the digital payment ecosystem adoption in the retail sector.
Summary auto-generated by AI from the original publisher's content. Editorial standards.
FMCG distributors seek zero-MDR for UPI transactions
The AICPDF has written to PM Modi opposing proposed UPI MDR charges, warning that a 0.4% fee would severely impact low-margin FMCG retailers and distributors.
