NEW DELHI: Indian Commerce and Industry Minister Piyush Goyal said US e-commerce giants “at the expense of mom and pop stores” taking advantage of access to a large pool of their size and low-cost capital. He accused him of indulging in predatory pricing practices in India.
He didn’t name Amazon.com or Walmart Inc’s Flipkart (two major Indian e-commerce players) or identify which law was abused, but small Indian traders and retailers There was a law in his comment shortly after accusing the US giant of avoiding Indian consumer protection and competition.
“Many of these large e-commerce companies came to India and very blatantly ignored land legislation in one or more ways,” Goyal told a virtual event late Saturday.
“I’ve been involved with these big companies, especially American companies, a few times and I can feel a little arrogant,” he said.
Amazon and Flipkart did not immediately respond to requests for comment, but both companies denied the allegations leveled against them by traders.
Goyal also indulged in “forum shopping” in court and criticized the company for failing to follow the investigation initiated by the Competition Commission of India (CCI).
Flipkart and Amazon have appealed against CCI’s bid to resume investigating their business practices after the judge dismissed the original proceedings this month.
His comment came a few days after India announced a new set of e-commerce regulations that could undermine both Amazon and Flipkart’s ambitions in India, forcing companies to reassess their specific business structure. ..
Meanwhile, the All-India Traders Federation wrote to Prime Minister Narendra Modi on Sunday accusing e-commerce companies of treating India like a “banana republic” so that the proposed e-commerce rules are not diluted. I asked the government to do it.
In this week’s internal memo, the US-India Business Council, a top lobby group in the United States, described the new e-commerce rules proposed by India.
US e-commerce giant accused of “arrogance” in India
Source link US e-commerce giant accused of “arrogance” in India