Aug 22, 2024 06:18 PM IST
Piyush Goyal said that the government wants to invite FDI, but also maintain fair competition between online and offline platforms
The government is not against e-commerce and only wants fair competition between online and offline businesses, Union Minister of Commerce and Industry Piyush Goyal said on Thursday, August 22, 2024, after having accused Amazon of predatory pricing a day earlier.
“We are very clear that we want to invite FDI (foreign direct investment), we want to invite technology, we want to have the best of the world, and we are not against online at all,” Goyal said at an industry event in Mumbai. “Online e-commerce has tremendous benefits. It has the benefit of convenience, speed, it gives you comfort in your homes, many benefits.”
Also Read: Onion prices remain high due to supply shortages, Shravan month ending, reduced acreage
However, this comes after he said on Wednesday that the e-commerce sector’s rapid growth is more of a matter of “concern,” rather than pride, as it can lead to employment loss in traditional retail businesses since e-commerce is eating into the market share of small retailers by offering high-margin products like consumer electronics and apparel at discounted rates.
What was Piyush Goyal’s criticism on Amazon?
Goyal criticised the investment strategies e-commerce giants like Amazon use, suggesting that the losses they face due to large payments to professionals and top lawyers get balanced out by new investments.
Also Read: Chemical leak led to Andhra pharmaceutical factory blast that killed 17, CFO says
India’s e-commerce sector is projected to grow at a compound annual growth rate (CAGR) of 27% from 2018 to 2030, according to Pahle India Foundation’s ‘Net Impact of E-Commerce on Employment and Consumer Welfare in India’ report.
E-commerce also generated 16 million jobs, according to the report.
Also Read: Infosys delays onboarding of 2000 graduates for over 2 years, complaint filed
