New Delhi: The Confederation of All India Traders (CAIT) in a communication sent today to Prime Minister Shri Narendra Modi has sought his direct intervention in the current scenario of the country’s e-commerce business which has been greatly vitiated by the prominent global e-commerce companies by violating the laws and rules of the country since the year 2016. The CAIT said that the e-commerce trade in the Country has been captivated by these companies by openly flouting the rules but neither any ministry nor any Government Agency has taken any cognizance of such grave and continuous violations and no effective steps have been taken to curb their unhealthy business practices. The CAIT while citing the media report of an international news agency has said that it is a pity that though the issue belongs to e-commerce trade by Amazon in India, several US Senators have taken its cognisance but no one from the Government has taken any step on such a burning unhealthy business practices of Amazon.
CAIT National President Mr. B.C.Bhartia and Secretary General Mr. Praveen Khandelwal in communication to PM Shri Modi said that it seems that the rules of the country have succumbed to these companies which is the root cause for their arbitrariness in e-commerce business without any fear of law or the rules and it is a pity that there is no mechanism to rein in them. It is further regretted that even after making complaints with credible evidence, no steps were taken to prevent it.Only the ceremonial proceedings have been initiated by the Competition Commission of India on the complaints filed by the traders and the slow pace at which the investigation is going on, the traders of the country are not satisfied with it and there is absolutely no hope of any fruitful result. The Enforcement Directorate has been investigating the violation of FEMA law for more than two years, but there is no trace of its investigation. The manner in which these companies are operating in e-commerce business is nothing less than an outright economic terrorism.
Mr. Bhartia and Mr. Khandelwal further said that last week a credible global news agency in its investigative story has made a very serious allegation on the US company Amazon, quoting evidence that Amazon copies the products of India’s industries and manufactures them with its own system and selling the same through its own e-commerce marketplace at very low prices. It is establishing dominance due to which the small scale industries of India are being badly affected and not only this, Amazon prevents the business of other sellers by rigging the search system on its portal by keeping its products on top notch. This is directly against your self-reliant India campaign because the victims of their devious policies are the small and medium industries and business class of the country.
The trade leaders add that considering such unhealthy business policy by the US company Amazon being operated in India as a very serious matter, about 15 senators of the US Senate, including both the political parties Democrat and Republic, took suo motu cognizance of it by rising above party politics and the Judicial Committee of the US Senate Committee and AntiTrust Committee started action on this matter. It is a matter of regret that though the issue relates to India but so far no ministry or government department of the country has taken any cognizance of it as if it is a routine and simple issue . It is a well thought out conspiracy of Amazon to destroy small traders of the Country. Having failed to attain any substantial action from the responsible people, we have left with no other alternative but to request for your direct intervention-said the trade leaders.
Mr. Bhartia & Mr. Khandelwal said that in the last two years, Union Commerce Minister Shri Piyush Goyal has reiterated several times in various national and international forums that the laws and rules of the country will have to be followed both in letter and spirit but his statement has been overlooked and the foreign e-commerce companies have not paid any attention. The Hon’ble Supreme Court and the Karnataka and Delhi High Courts have also made strict comments on the business policies of Amazon and Flipkart, but they also did not have any effect on the administrative system, which is very regrettable!
Both Mr. Bhartia and Mr. Khandelwal said that this type of autocratic behavior by foreign companies is totally unfair and against the larger interest of the country. In this context, it is necessary to make it clear that the traders of the country are not against the e-commerce business, but the laws and rules should be followed both in letter and spirit. The way the government departments are indifferent to this burning topic, it seems that they are influenced by American companies and they are not at all worried about the small traders which is very unfortunate! We have been urged to pay attention to this subject continuously since last 2016, but even after five years have passed, the situation remains the same. It appears that either there is either lack of clarity in the policy of the government on this subject or the people responsible are suffering from some bias. The CAIT has also sought an audience with the Prime Minister Shri Modi to discuss the e-commerce and retail trade of India in detail.
