You are here: Home » Economy & Policy » News
Business Standard

Retailers call on Arun Jaitley, discuss steep discount by e-tailers

According to the policy, foreign retailers can sell food products produced and manufactured in India

Topics
E-tailers

Press Trust of India  |  New Delhi 

Midnight drills in war rooms ahead of big fat sale

Future Group CEO Kishore Biyani and other retailers demanded a level-playing field for brick-and-mortar stores vis-a-vis e-commerce players.

At a meeting with Finance Minister Arun Jaitley, Biyani discussed the issues concerning hefty discount doled out on the e-commerce platform and also foreign direct investment norms in the retail sector.

The meeting of the Retailers Association of India (RAI) came against the backdrop of controversy over advertisements for discounts by online retailers.

According to DIPP guidelines, the e-commerce players providing marketplace will not directly or indirectly influence the sale price of goods or services and will maintain a level-playing field.

Seeking to take advantage of the festive season, e-retailers like Amazon, Flipkart and Snapdeal have gone in for an aggressive media blitz to attract consumers.

Offlines players, including traders body CAIT, have been crying hoarse over such advertisements, alleging that they infringe the guidelines in place.

Asked if e-commerce discount came up for discussion, Biyani said, "We discussed the issue... There should be a level-playing field for retailers and e-commerce players, and there should be uniformity in policy".

Earlier this year, the government had allowed 100 per cent FDI through automatic route in most of e-commerce retailing. According to the norms, an e-commerce firm will not be permitted to sell more than 25 per cent of total sales from one vendor or its group companies.

In June, the government allowed 100 per cent FDI in trading of food products, including through e-commerce, to boost food processing sector in the country.

According to the policy, foreign retailers can sell food products produced and manufactured in India.

The meeting was to discuss FDI in retail and e-commerce, Biyani said.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Fri, October 21 2016. 08:01 IST
RECOMMENDED FOR YOU
.