E-commerce export framework by Sept: Commerce Secretary
- The Commerce Ministry is working on a regulatory framework to boost India’s e-commerce exports, which is among the fastest-growing mediums for export growth globally.
Highlights:
- India’s e-commerce industry is primarily dominated by small businesses that export products valued between $25 and $1,000. Popular items include handicrafts, art, books, ready-made garments, and gems and jewelry.
- According to the think tank GTRI, India’s e-commerce exports have the potential to reach $350 billion by 2030.
- Stressing the need to tap into new emerging export opportunities, Indian exports through this medium amount to only $5 billion, whereas China’s exports have reached $300 billion.
- He added that the ministry has held consultations with officials from revenue and industry representatives from logistics and marketplace platforms regarding the framework.
- “We are working on setting up e-commerce export hubs in the country. We have discussed the framework. It is on our 100-day agenda.
- It will establish a framework for e-commerce export hubs and the regulatory ecosystem. These hubs will be located near airports and ports.
- According to a GTRI report, India’s e-commerce exports have the potential to grow at a faster pace than its IT exports did in the early 2000s.
- However, despite this potential, India’s current e-commerce export numbers remain far below what they could be.
- “India’s current e-commerce export provisions are a patchwork of rules framed for regular B2B exporters.
- This creates an enormous compliance burden on small firms, and India needs to address these issues in one place.
Prelims Takeaway:
- Inventory Model
- GTRI