Traders, online sellers Protest Against MNC e-commerce Brands

Indian Sellers Collective (ISC), a non-governmental trade association, protested and burned effigies against MNC eCommerce brands. In a drive to safeguard the interests of micro and small enterprises and family businesses in the country, the protests were a part of the nationwide campaign ‘Bharat Chhodo Morcha.’

Furthermore, the campaign took place in a national conclave and on-ground protests in states including Rajasthan, Uttar Pradesh, Madhya Pradesh, Punjab, and Haryana to urge government and consumers to boycott MNC eCommerce brands and encourage swadeshi seller brands. 

ISC further said that MNC eCommerce tracks down the best-selling products on their platforms and copy the designs to launch their private brands with similar features and at a very competitive price, snatching away the markets from micro and small traders. Also, the brands run systematic campaigns to manipulate search results to divert sales of the bestselling products on its platform to its product lines, causing losses for sellers as they fail to grow to do business through eCommerce platforms.

Ashwani Mahajan, National co-convener of Swadeshi Jagaran Manch, said, “MNC eCommerce brands are indulging into illicit business practices. They easily flout rules and regulations by setting up pseudo companies that indulge in predatory pricing and discounting, thereby destroying the offline retailers' business prospects. MNC eCommerce brands promote their brands such as Amazon Basics, Symbol, and Solimo, influencing the Indian Judicial System and twisting laws in their favor.”

“Swadeshi Jagaran Manch hopes the “Boycott Amazon” along with the nation-wide campaign will educate consumers and provoke the government to take necessary actions and bring back the business for micro and small sellers in the country.”

Setting the context for a panel discussion, Abhay Raj Mishra, Member & National Coordinator, ISC, opined that, “Foreign eCommerce retailers have taken away the shine of Dhanteras for small and micro retailers from the last so many years. There have been so many attempts for these brands to practice unethical business in the country and break the backbone for the small Indian sellers. ISC, with its nationwide campaign, attempts to wake up consumers and the government to shun products of foreign eCommerce companies and embrace products of Indian origin.”

Talking about the legal hurdles to put the MNC eCommerce brands under watch, M .M. Sharma, Advocate and a Competition Lawyer, said, “There is a strong need to set up strict and strong competition law. There is a need to put in an empowered digital gatekeeper to check the predatory policies of MNC brands through using several ways, including massive cash-burns, self-preferencing, absence of platform neutrality, exclusive arrangements with preferred dealers, etc. The Indian competition law needs to be suitably amended and define the boundaries for eCommerce brands by advocating suitable ways to protect the rights of Indian sellers. Notably, the Competition (Amendment) Bill is still pending in the parliament and suitably amended to the requirements.

P.M.Ganeshram, National Chief Patron, All India Consumer Products Distributors, highlighted the adverse impact of the sprawling presence of MNC brands on small retailers and said the depressing footfall in physical retail stores in the state of Tamil Nadu hampers the motivation and potentiality of small retailers.