You are here: Home » Companies » News
Business Standard

Amazon's $1 bn to encourage predatory pricing, crush retail trade: CAIT

CAIT, which has been opposing Bezos' visit to India, said more than 500,000 traders supported its protests in about 300 cities, and about 5,000 trade associations participated

Press Trust of India  |  New Delhi 

Jeff Bezos, Chief Executive Officer of Amazon, with Amit Agarwal Global, Senior Vice President and Country Head of Amazon India, during the Amazon Smbhav Infinite Possibilities for SMBs two day summit at Jawahar Lal Nehru stadium in New Delhi on Wedn
Jeff Bezos, Chief Executive Officer of Amazon, with Amit Agarwal Global, Senior Vice President and Country Head of Amazon India, during the Amazon Smbhav Infinite Possibilities for SMBs two day summit at Jawahar Lal Nehru stadium in New Delhi on Wedn

Traders' body on Wednesday alleged that the $1 billion investment announced by chief is "promotional finance" to India to crush retail trade and encourage predatory pricing and deep discounting.

Confederation Of All India Traders (CAIT), which has been opposing Bezos' visit to India, said more than 500,000 traders supported its protests in about 300 cities, and about 5,000 trade associations participated.

The $1 billion investment by Bezos for small and medium businesses is not an investment, but promotional finance to India to crush retail trade and encourage his team in India to do more predatory pricing and deep discounting, and to go on violating FDI policy, Secretary General Praveen Khandelwal said.

He termed the target of exporting $10 billion worth of Make in India goods by 2025 "ridiculous".

Bezos wants to build a false and wrong narrative to show that Amazon is pro small traders, Khandelwal claimed.

Amazon.com Inc chief on Wednesday announced $1 billion (over Rs 7,000 crore) investment in India to help bring small and medium businesses online and committed to exporting $10 billion worth of India-made goods by 2025.

Before this, the online retail giant had committed $5.5 billion investments in India - Amazon's most important market outside of the US and a key growth driver.

Bezos, who began a three-day visit to India on Tuesday by visiting Mahatma Gandhi memorial at Rajghat here, was speaking at the SMBhav event - an Amazon India gathering for small and medium businesses.

First Published: Wed, January 15 2020. 19:05 IST
RECOMMENDED FOR YOU