The authorities is trying on the US instance of coping with counterfeiting

Ecommerce firms might be held responsible for promoting counterfeits

The DPIIT launched the draft ecommerce coverage in early 2019

Counterfeit and faux merchandise have been an enormous concern for Indian ecommerce, and some extent of rivalry for the sellers and merchants of real merchandise. The minister of commerce and trade, Piyush Goyal, had instructed Lok Sabha in December 2019 that Indian shoppers have filed 13,993 fraud ecommerce circumstances underneath the Consumer Protection Act, 1986 since August 2016.

In a bid to deal with this, the Department for Promotion of Industry and Internal Trade (DPIIT) is working to make sure the upcoming ecommerce coverage tries to manage such counterfeiting.

An ET report quoted an official conscious of the developments that the upcoming ecommerce coverage will take care of counterfeits because the variety of complaints have risen in recent times and can proceed to be a income leakage for manufacturers as ecommerce grows. For this, the federal government would look at the coverage within the US which proposes greater oversight of warehouses and ramped up fines and penalties for violations. In America, the technique is to make ecommerce platforms responsible for counterfeit items.

In early 2019, DPIIT had launched the draft ecommerce coverage, proposing information localisation and streamlining of the operations of ecommerce firms consistent with FDA guidelines and rules within the nation. At that point, a number of ecommerce firms similar to Flipkart and Amazon had raised considerations over the proposed regulatory pointers by the division.

Discussions over the broad contours of the coverage have been happening for greater than a yr now. The commerce ministry had earlier stated that the ultimate doc can be out solely after different know-how insurance policies are mandated because it was making an attempt to keep away from overlaps and contradictions.

The draft ecommerce coverage had earlier proposed constituting a devoted ‘data authority’. The authority would work in the direction of points associated to the sharing of group information with startups and companies to serve the bigger public curiosity.

Further, the ministry of client affairs has additionally been engaged on a coverage for client safety guidelines in ecommerce. The coverage is aimed to forestall fraud, unfair commerce practices and shield the rights and pursuits of shoppers.

Now, ecommerce platforms should present the contact particulars of grievance officers and inform the purchasers concerning the complaints submitting mechanism. In addition, ecommerce firms can even should add the contract with the sellers on the web site to make customers conscious of the main points about returns, refunds, alternate provides, guarantee plans, supply, grievance redressal mechanisms and extra.

India’s ecommerce trade is estimated at round $39 Bn in 2017 and is predicted to develop to $200 Bn by 2026. The ecommerce coverage is predicted to discover a steadiness between boosting the digital economic system and safeguarding the pursuits of all stakeholders. The ecommerce guidelines are being put in place after session with a number of ministries.


Hailing from a business-oriented household, Bhumika has at all times been crunching numbers in her head. Words are her escape and she or he seems to search out hidden startup tales. Reach her on [email protected]

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