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Centre To Reinitiate Discussions On National Ecommerce Policy
- The Centre has restarted discussions on the national ecommerce policy due to rapid growth in the sector.
- Commerce and industry minister Piyush Goyal indicated that the ecommerce and retail trade policies are interconnected.
- The ecommerce sector has evolved significantly since the draft ecommerce policy was released in 2019.
- The 2019 draft policy aimed to address data governance, infrastructure development, regulatory concerns, boosting the digital economy, and promoting exports.
- The policy faced opposition, particularly from groups like CAIT, over concerns about foreign investment limits and lack of enforcement mechanisms.
- CAIT criticized Amazon and Flipkart for alleged FDI policy violations, leading to CCI scrutiny.
- Morgan Stanley forecasts a 30% CAGR for the Indian ecommerce market to reach $200 billion by 2026.
- The quick commerce sector is also growing rapidly, with a projected market size of $57 billion by 2030.
- Key players like Blinkit, Instamart, Zepto, and Flipkart Minutes are driving growth in quick commerce.
- Rapid ecommerce expansion has raised concerns about counterfeit goods, deceptive ads, unfair trade practices, and data security.
- The new policy aims to address consumer protection, competition, data security, and regulatory clarity.
- The discussions on the policy aim to revise and make it more contemporary in light of industry developments.
- The Centre sought feedback on the draft policy from stakeholders, leading to debates and criticism.
- The ecommerce sector's growth is driven by internet penetration, digital payments, and increased online shoppers from non-metro areas.
- The discussions will focus on ensuring fair competition, data security, and clear rules for local and global ecommerce players.
- The Centre's reconsideration of the policy indicates the importance of adapting to the evolving ecommerce landscape.
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