Srinagar, March 6: To register their protest and resentment against “continued gross violations of FDI policy and high handedness of the foreign funded e-commerce companies like Amazon & Flipkart”, the Confederation of All India Traders (CAIT) today staged burning of effigies of Amazon & Flipkart at Lal chowk, Srinagar, Kashmir.
The protest was headed by president CAIT Kashmir Unit Farhan Kitab and general secretary Peer Imtiaz.
“On the call of the CAIT, similar protests were held at more than 300 cities of different states of the country. The CAIT has strongly demanded the Government to immediately roll out e-commerce rules under Consumer Protection Act and a well defined e-commerce policy coupled with an empowered Regulatory Authority on the pattern of SEBI or TRAI to regulate and monitor the e-commerce trade in India”, a statement issued to The BIZ REPORTER said.
Demonstrating against the e-commerce business in India and distorting its nature, a large number of traders belonging to prominent trade associations were shouting slogans while holding effigies of both Amazon and Flipkart in their hand.
“E-commerce companies are flouting rules and policies not only in supply of goods but also in other retail verticals including logistics, travel & tourism, entertainment, cab services, ticketing,delivery of food items, online delivery of medicines, education, online games etc.”, protesters alleged.
CAIT leaders have strongly urged the Government to investigate the business models of e-commerce companies since every company is showing huge losses year on year but are still continuing with their business activities. It appears that these companies are transferring huge amounts to their native countries in the shape of royalty and by showing losses in India are avoiding tax obligations.
They said that the issue of e-commerce policy and rules for e-commerce is pending for a long time. When specific rules and regulations are made for all other businesses then why the rules & regulations for e-commerce are not being rolled out. In the absence of any rules and regulations, the e-commerce companies are highly damaging retail trade of the Country to a larger extent. If necessary steps are not taken immediately, then the days are not far when a large part of the country’s retail business will be controlled and captured by foreign funded companies-added the trade leaders.
They also said that due to the distorted nature of e-commerce, retail and wholesale trade of the country has been badly affected, especially mobile and mobile accessories, grocery, spices, FMCG products, gift items, readymade garments, footwear, glasses, watches, pharmacy, electronics, furniture, home furnishing, toys, vegetables, dry fruits, food items, kitchen equipment, builders hardware, office equipment, stationery, paper, electrical goods etc. They also said that if this situation continues, then these companies will take over all the remaining businesses. The CAIT has called upon the Government to take immediate cognisance of this serious issue concerning the livelihood of crores of people in the country.