Both Amazon and Walmart-owned Flipkart have sought an extension of the deadline, stating that they need more time to understand the details of the framework, sources said.
An RSS affiliate on Friday wrote to Prime Minister Narendra Modi, urging him to not “buckle under pressure from the United States” to defer the implementation of e-commerce norms as it will harm the interest of small entrepreneurs and shopkeepers. In December, the government barred online marketplaces like Amazon and Walmart-owned Flipkart from selling products of companies in which they hold equity and banned exclusive marketing arrangements that could influence product prices. These changes will come into effect from February 1.
Both Amazon and Walmart-owned Flipkart have sought an extension of the deadline, stating that they need more time to understand the details of the framework, sources said. Seeking direct intervention of Modi in the matter, Swadeshi Jagran Manch (SJM) co-convener Ashwani Mahajan in the letter said the delay in the implementation of these guidelines will benefit two multi-national companies, Amazon and Walmart, who made their entries by allegedly violating and circumventing the law and stated policies.
“We seek your direct intervention to halt this mischievous endeavour, which will only help two multi-national companies, Amazon and Walmart. Both these companies have made their entries and existence by violating and circumventing the law, stated polices and earlier ambiguities. The new e-commerce FDI policy caught them,” Mahajan said. He added the policy plugged various loopholes, which were allegedly exploited by these players to not only make entry, but also abuse their access to cheaper capital and behemoth cash vaults.
“SJM strongly believes that buckling under the United States’ pressure on this issue will directly harm the interest of 13 crore people earning their livelihood as small entrepreneurs and their employees,” the RSS-affiliate said in the letter. Asserting that there is no need to buckle under these pressures, SJM said India must continue to chart the way best for itself and its entrepreneurs. It added that the trajectory taken by India under Modi’s leadership was correct.