Report: India’s new ecommerce rules likely to hit Zomato, Swiggy, Ola, others

Details:

• The new amendments to India’s ecommerce regulations are expected to impact online travel agency MakeMyTrip, food delivery firms Zomato and Swiggy, and ride-hailing companies Ola and Uber, along with home services provider Urban Company.
• While these firms are reviewing the impact of the draft rules, some of them are also likely to participate in discussions with industry bodies such as the Federation of Indian Chambers of Commerce and Industry, the Confederation of Indian Industry, and IndiaTech.

Context:

• The Indian government’s new ecommerce rules could also have a huge impact on Amazon, Walmart-backed Flipkart, and others. The amendments came after several brick-and-mortar retailers and parties had accused ecommerce firms of indulging in unfair trade practices.
• Among the proposed amendments, ecommerce companies may also be barred from listing sellers that are related to and associated with them on their platforms and are selling directly to consumers.