27 April 2023, Mumbai
The Indian government is taking a tough stance on e-commerce platforms, with Commerce and Industry Minister Piyush Goyal stating that while the government is not concerned about flash sales, it is against predatory pricing and other unfair practices used by e-retailers to limit consumer choice.
Goyal also expressed concern that consumers are being diverted to entities preferred or promoted by online retailers in order to avail of discounts, which is against foreign direct investment rules.
He emphasized that the government's e-commerce policy aims to prevent cheating and predatory pricing, citing China as an example of how dumping of goods at low prices can harm domestic manufacturing and force consumers to buy goods at high prices. Goyal urged e-commerce players to respect the country's FDI laws and operate marketplaces as marketplaces.
He also called for support to protect small retailers, who are at risk of being shut down by e-commerce giants in developed economies.
