Amazon 'malpractices': ADIF urges Centre to intervene
The ADIF said that the findings reinforce the need for the government to introduce reforms in the ecommerce industry.
October 15, 2021 / 11:09 AM IST
The Alliance of Digital India Foundation (ADIF) has urged the government to make a "timely intervention" after a Reuters investigation highlighted Amazon's malpractices in India.
The ADIF has condemned Amazon's "predatory playbook" of copying, rigging and killing Indian brands
"The Reuters investigation brings to light Amazon's blatant disregard for competition laws, intellectual property rights and disgraceful predatory practices. The manner in which the e-commerce giant has targeted the Indian market and leading brands in the country is highly deplorable and brings into question the credibility of Amazon as a good faith operator in the Indian startup ecosystem," the industry body said.
The Reuters report, based on a review of thousands of internal Amazon documents, found that the company ran a systematic campaign of creating knockoffs and manipulating search results to boost its own private brands in India.
The ADIF said that the findings reinforced the need for the government to introduce reforms in the ecommerce industry.
"These findings serve as further fillip for the intent of the Government to introduce reforms in the e-commerce marketplace. The recent draft regulations have been aimed at targeting predatory practises using intermediaries for the protection and benefit of sellers, manufactures and consumers," ADIF said.
Reuters reported that Confederation of All India Traders (CAIT), too, had urged the government to launch an investigation into Amazon.
"Amazon is causing a great disadvantage
to the small manufacturers. They are eating the cake that is not meant for them," Praveen Khandelwal of CAIT told Reuters.