Regulator CCPA increases scrutiny on quick commerce, e-commerce players

This comes amidst concerns that quick commerce players are eating into the business of small kirana stores

The Central Consumer Protection Authority (CCPA) has tightened scrutiny on quick commerce and ecommerce players on issues of flouting the rules of selling products close to the expiry date.

Sources in the know said several prominent quick commerce and ecommerce players will be issued notices soon.

A senior government official told Business Standard that the Ministry of Consumer Affairs is keeping a close watch on such defaulters, especially during the festival season.

 "We constantly examine companies and platforms to ensure they comply with all mandatory declarations required by law as they impact consumer choices. With the ongoing festival season, we are being more vigilant and keeping a sharp eye on these platforms and taking action on them," the official said. 

This comes amid concerns that quick commerce players are eating into the business of small kirana stores. Add to this, recently the All India Consumer Products Distributors Federation (AICPD) also highlighted the deep discounting practices of some of the quick commerce platforms.

“While we acknowledge the role of innovation and technology in shaping the future of commerce, the unchecked expansion of these quick commerce platforms is leading to severe disruptions in the retail ecosystem,” the letter said.

 One of the ongoing complaints for which ecommerce players have been pulled up by the Centre has been non-compliance related to rules of display and packaging of products. Even after several notices, many ecommerce players do not show the MRP and best before dates for perishable goods.

 According to a LocalCircles survey 35 per cent of Indian ecommerce and quick commerce shoppers said they still cannot find MRP displayed on platforms. But a higher number, 57 per cent of respondents said that they cannot find 'Best Before Dates' or shelf life of the product mentioned on several platforms.

The Legal Metrology Packaged Commodity Rules (PCR) 2017 amendment requires that the best before date be displayed online for all packaged human consumption products.