Disagreements within the government against India's strict e-commerce rules


New Delhi: Efforts to tighten control over India's fast-growing e-commerce sector have been met with opposition from within the government. The Finance Ministry has termed some of the proposals in this regard as overly aggressive and without lack of economic rationality. Companies like Amazon and Walmart are active in the Indian e-commerce market. Along with it, local companies like Reliance and Tata Group have also joined hands. The policy stance of the government at this time is considered very important in this direction. According to Grant Thornton, the sector in India is projected to reach 188 188 billion by 2025. The finance ministry has not yet named Mugabe in connection with the proposals.

Such proposals were first floated in June. But observers of this influential unit of the government say that their complaints have not been given much importance by the top brass of Prime Minister Narendra Modi's administration.

India shocked the e-commerce world in June with a proposal by the consumer ministry to impose restrictions on flash sales. These types of sales are resorted to to promote private label brands. This in turn raised questions about the relationship between online marketplace operators and vendors. However, it was not immediately clear when the new rules would be implemented. The action was initiated after retailers complained that malpractice was being tried by foreign companies. The Tata group, which is preparing to enter e-commerce, also opposed it.

But the finance ministry, the consumer ministry and the federal think tank objected to the proposals. He said the proposals were not intended to protect the interests of consumers and lacked regulatory clarity. The August 31 memo from the finance ministry's economic department said such regulations were too strict and would affect the sector's job creation prospects and tax revenue. Special care should be taken in the proposals that the regulatory framework should be relaxed and the principle of minimum governance and maximum governance should be maintained.

Raising objections, Rajiv Kumar, vice-chairman of the policy commission, wrote to Commerce and Industry Minister Piyush Goyal that it would hurt small businesses. This will send a message of lack of consistency in our policy. The United States, like the United States, has said that New Delhi has recently made frequent changes to its e-commerce policy, which has particularly affected American companies.

Against all this, the Consumer Affairs Ministry says the new rules will strengthen the regulatory framework and has made such a proposal in the wake of widespread fraud and unfair trade practices in the e-commerce ecosystem.


Comments