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CAIT’s Praveen Khandelwal urges govt to ‘suspend’ Flipkart and Amazon operations

ABSTRACT

Khandelwal also said he would soon hold talks with Commerce Minister Piyush Goyal to seek immediate suspension of operations of the two e-commerce platforms

The practices of these companies are seriously damaging our manufacturing sector, Khandelwal added.

The CCI recently internally found Amazon India and Flipkart guilty of violating antitrust directives by prioritising certain sellers and listings

Retired Confederation of Indian Traders (CAIT) general secretary Praveen Khandelwal has appealed to the central government to “suspend” the operations of Amazon and Walmart-backed Flipkart in the country, sources said.

This comes just a day after reports emerged that the Competition Commission of India (CCI) found Amazon India and Flipkart violating antitrust directives and also prioritising certain sellers and listings.

Speaking to Reuters, Khandelwal, who is also a BJP member of parliament, said he would soon hold talks with commerce minister Piyush Goyal to seek immediate suspension of operations of two e-commerce platforms in India.

“The practices of these companies are seriously harming our manufacturing sector,” Khandelwal added.

According to a separate report by Business Standard, Khandelwal urged the union government to bring in stricter e-commerce regulations and rules to prevent future violations of competition laws.

Meanwhile, CAIT national president BC Bhartia reportedly alleged that foreign-funded e-commerce platforms have been undermining the Indian retail market for years through predatory pricing and anti-competitive practices. Bhartia also reportedly claimed that the trade body is open to taking legal action to ensure accountability.

In a similar vein, the All India Mobile Retailers Association (AIMRA) in its post on X welcomed the CCI report.

“We are confident that the law will take the necessary steps to protect our traders from these harmful practices that favour select corporations. As we approach the important festival season, it is crucial to support our local mobile phone retailers who have been adversely affected by heavy discounts and preferential shipping…” AIMRA said.

The latest salvo by the CAIT secretary is expected to open a new Pandora’s box for the e-commerce platforms as both have been at loggerheads for years. In the past, Khandelwal had also sought a ban on the two e-commerce platforms for alleged deep discounting tactics.

CAIT claims to represent over 8 million Indian shopkeepers and has repeatedly urged the central government to take action against these platforms, saying Flipkart and Amazon India are harming smaller retailers.

Interestingly, this comes just after Commerce Minister Piyush Goyal criticised Amazon India for its “predatory pricing” last month, adding that the e-commerce giant’s plans to invest billions of dollars in India were only to make up for losses. However, Goyal later clarified that the Centre was not against online marketplaces but wanted them to operate fairly.