Amazon, Tata Raise Concerns About E-Commerce Rules With Centre: Sources

New rules limiting flash sales, barring misleading advertisements and mandating a complaints system, among other proposals, could force the likes of Amazon and Flipkart to review their business structures.

Online retailers including representatives from Amazon and Tata met government officials to raise concerns about tough new rules for e-commerce that were seen as a major blow for their business models, sources told NDTV on Saturday. At a meeting on Saturday, many executives told the department of consumer affairs that they were worried about the proposed rules and asked that the July 6 deadline for submitting comments be extended, said the sources. Key issues raised included the restrictions on flash sales, definition of related parties and compliance of norms for e-commerce majors, they said, adding that the government officials asked for written feedback on the rules. The government's tough new e-commerce rules announced on June 21 aimed at strengthening protection for consumers and small retailers, were met with concern among the country's online sellers, especially market leaders Amazon and Flipkart.