Government working on e-commerce policy to help Indian firms compete with foreign players

A think tank has been set up by the commerce department, which includes companies such as Ola, Snapdeal, Makemytrip, Urban Clap and Justdial.

The government will bring out a draft policy on e-commerce to help Indian businesses compete with major foreign players. Commerce Minister Suresh Prabhu will meet with stakeholders in the industry to get suggestions regarding the policy before releasing it.

A member of the think tank informed that the government may look at policies which help Indian e-commerce entities compete with well-funded foreign firms, Economic Times reported.

The think tank, set up by the Commerce Department, includes companies like Ola, Snapdeal, Makemytrip, Urban Clap and Justdial.

The government wants to help domestic e-commerce entities without violating international trade agreements. It does not want to introduce protectionist or restrictive policies, keeping in mind US President Donald Trump’s policies and retaliatory tariffs.

In April, Prabhu had chaired the first meeting of the think tank, which was set up to decide a policy regarding multiple aspects of e-commerce like physical and digital infrastructure, regulatory regime, taxation policy, data flow, server localisation, intellectual property rights protection, FDI and technology flow.

In the April meeting, a task force was set up to come up with the draft policy. The task force has met thrice already. The meeting has led companies discussing their problems. MakeMyTrip has raised the difficulties faced by Indian companies in getting listed, while Paytm stressed on the importance of storing data locally.

An official claimed that the government is willing to make changes to aid Indian companies, but decisions may be delayed as the country is approaching election year.

Courtesy: Money Control. Original Link. 


About SMEsamadhan

Check Also

Knowledge, Value and Wealth

IDEAS , INNOVATION AND INVESTMENTS The Modi government has been talking about encourage entrepreneurship. However, …