Thu. Mar 28th, 2024

Taking in account of a complaint by Confederation of All India Traders (CAIT), the traders’ body, the Department for Promotion of Industry and Internal Trade (DPIIT), on Thursday, held a meeting with representatives of e-commerce unicorn startups Amazon and Flipkart, reported by Yourstory.

Praveen Khandelwal, Secretary-General of DPIIT, has alleged that ecommerce companies are following unethical business models and are infringing on foreign direct investment norms.

They have also alleged that ecommerce companies are involved in predatory pricing, deep discounting, loss funding, and exclusivity of various products which is not allowed under the FDI policy.

Amazon spokesperson said, “We had open and transparent discussion with DPIIT officials. We thank the Ministry of Commerce and Industry for the opportunity and we are always available for further engagement as needed.”

Earlier on Wednesday, CAIT had stated that realising the impact and importance of the issue raised by it, Commerce and Industry Minister Piyush Goyal has directed DPIIT Secretary Guru Mohpatra to call both Amazon and Flipkart to clarify the points.

Furthermore, in June this year, it was announced that the government would be putting in an institutional framework in place to bring out a national ecommerce policy within the next 12 months.

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