{"id":36038,"date":"2025-01-23T18:17:42","date_gmt":"2025-01-23T12:47:42","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=36038"},"modified":"2025-07-12T15:16:27","modified_gmt":"2025-07-12T09:46:27","slug":"new-draft-e-commerce-guidelines","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/23-01-2025\/new-draft-e-commerce-guidelines","title":{"rendered":"New Draft E-Commerce Guidelines"},"content":{"rendered":"\n

Syllabus: GS3\/ Economy<\/strong><\/p>\n\n\n\n

Context<\/strong><\/h2>\n\n\n\n
    \n
  • The government has issued draft guidelines titled \u2018E-commerce \u2013 Principles and Guidelines for Self-Governance\u2019 <\/strong>prepared by the Bureau of Indian Standards (BIS).<\/strong><\/li>\n<\/ul>\n\n\n\n

    E-Commerce Market in India<\/strong><\/h2>\n\n\n\n
      \n
    • India’s e-commerce market is projected to reach $363.30 billion by 2030. <\/strong>\n
        \n
      • E-commerce <\/strong>constitutes  around 7% <\/strong>of the total retail market in India.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
      • By 2030<\/strong>, India is projected to host the second-largest online shopper base globally,<\/strong> with an estimated 500 million shoppers.<\/strong><\/li>\n\n\n\n
      • The sector has benefited from increased internet penetration, rising affluence, and affordable data prices.<\/li>\n<\/ul>\n\n\n\n

        Key Provisions of the Draft Guidelines<\/strong><\/h2>\n\n\n\n
          \n
        • Pre-Transaction Verification:<\/strong> E-commerce platforms are required to conduct thorough Know Your Customer (KYC)<\/strong> checks for sellers, especially third-party sellers.\n
            \n
          • It includes verifying the authenticity of sellers’ identity details, legal entity name, contact information, and business address.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
          • Detailed Product Listings:<\/strong> Sellers must provide comprehensive product information, including title, images, specifications, and shipping modes.\n
              \n
            • It ensures that consumers can make informed decisions based on accurate product details.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
            • Transparent Contract Terms:<\/strong> The guidelines emphasize the importance of transparent contract terms, including clear disclosure of product descriptions, price breakdowns, return policies, and safety warnings.<\/li>\n\n\n\n
            • Secure Payments:<\/strong> E-commerce platforms must implement secure payment systems with encryption and two-factor authentication to protect consumer data.\n
                \n
              • Diverse payment options, including credit\/debit cards, mobile payments, e-wallets, and bank transfers, must be provided.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
              • Timely Refunds and Returns:<\/strong> Clear timelines for refunds, replacements, and exchanges must be established, with provisions for handling counterfeit products.<\/li>\n\n\n\n
              • Consumer Reviews and Ratings<\/strong>: All consumer reviews and ratings must comply with IS 19000:2022 standards<\/strong>, covering collection, moderation, and publication processes.<\/li>\n\n\n\n
              • Data Protection:<\/strong> E-commerce entities must adhere to data protection regulations, ensuring that personal data collected from consumers is used exclusively for transaction facilitation and other disclosed purposes.<\/li>\n\n\n\n
              • No Preferential Treatment:<\/strong> The guidelines prohibit preferential treatment of any sellers or service providers to maintain a level playing field for all stakeholders.\n
                  \n
                • It includes implementing policies to prevent the sale of counterfeit products and ensuring impartial operations.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n
                  E-Commerce Model in India<\/strong>
                  –Business to Consumer (B2C): <\/strong>Platforms like Amazon, Flipkart, and Myntra operate on this model
                  – Business to Business (B2B):<\/strong> It is particularly relevant for industries such as manufacturing, where companies procure raw materials, machinery, and other supplies from suppliers.
                  1. Platforms like Udaan and Alibaba <\/strong>cater to this segment, facilitating bulk transactions and supply chain solutions.
                  2. 100% FDI is allowed in B2B e-commerce.<\/strong>
                  – Consumer to Consumer (C2C): <\/strong>Platforms like OLX and Quikr enable individuals to list and sell their items, providing a marketplace for peer-to-peer transactions.
                  – Business to Administration (B2A) and Consumer to Administration (C2A):<\/strong> The Government e-Marketplace (GeM) is an example of a B2A platform, facilitating government procurement of goods and services.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

                  Other steps of government<\/strong><\/h2>\n\n\n\n
                    \n
                  • The Indian government has introduced several initiatives to support the growth of e-commerce, including the Digital India program<\/strong> and the Goods and Services Tax (GST) framework<\/strong>.<\/li>\n\n\n\n
                  • Draft National E-Commerce Policy, 2019<\/strong> Focusing on data localization, consumer protection, intellectual property rights, and competition issues.<\/li>\n\n\n\n
                  • Open Network for Digital Commerce:<\/strong> It is the decentralised online platform that will help reduce the cost of doing business for retailers.<\/li>\n\n\n\n
                  • Government e-Marketplace (GeM):<\/strong> It is an online platform for public procurement by government departments. It promotes transparency, efficiency, and inclusiveness in e-commerce for small and medium enterprises (SMEs).<\/li>\n<\/ul>\n\n\n\n

                    Concluding remarks<\/strong><\/h2>\n\n\n\n
                      \n
                    • The draft guidelines emphasize self-regulation, consumer protection, and transparency while addressing growing challenges in the e-commerce sector. <\/li>\n\n\n\n
                    • With India\u2019s rapid e-commerce growth, these measures will ensure a fair, competitive, and consumer-friendly marketplace, fostering sustainable development in the digital economy.<\/li>\n<\/ul>\n\n\n\n

                      Source: TH<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

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