NEW DELHI: At a time when ecommerce giants Amazon and Walmart-owned Flipkart are under investigation for alleged violations of the countrys competition law, Union commerce and industry minister Piyush Goyal on Thursday took a tough stance against global e-tailers.
“Promises of a certain number of people benefiting from e-commerce are very attractive but it cannot be at the cost of a 10x number of people suffering the consequences of practices that are not allowed and certainly a trillion-dollar firm competing with a small retailer whose total capital may be a lakh or two lakh of rupees is a very unfair competition,” Goyal said at the first Times Now summit in the Capital.
The minister had earlier, during a visit by Amazon founder Jeff Bezos, said that the online giant had not done any favour by announcing a $1 billion investment. On Thursday, Goyal also had some tough words. “When a certain e-commerce company makes a loss of Rs 6,000 crore on a turnover of Rs 5,000 crore it certainly doesnt look, feel and smell right. Obviously, when a company makes a loss of Rs 6,000 crore it will bring in money to pay for that loss,” he said.
Goyal, however, said that the government would welcome e-commerce to work within the framework and the laws of the land. “I appeal to all stakeholders in the ecommerce industry to work within the letter and the spirit of the law,” he said.
Talking about how the government has been working since 2014 to correct the economic mismanagement by the UPA dispensation, he said the absolute mismanagement started in 2008-09, which had brought India to its knees. He said the NDA government had repaired Read More – Source