Government has issued a notice to the two e-commerce firms namely Amazon and Flipkart over the country of origin. The two firms have been given 15 days to explain the lapses. Otherwise, action would be taken. The letter was addressed on 16 October to both the e-commerce firms from the Union ministry of consumer affairs.
Notice issued by the central government to Amazon and Flipkart over the country of origin
A letter has been issued from the Union Ministry of consumer affairs to Amazon and Flipkart that asks the explanation for the lapses. If it won’t be done then action will be taken by the central government.
Amazon.com’s local unit and Walmart’s Flipkart has been warned by the central government that sellers on their platforms are not complying with the rule of specification of the country of origin on the product.
Due to the ongoing tension between India and China, the rules have been strictly enforced. The birder skirmish began in June. India is on Anti China drive doing efforts to cut down on Chinese imports.
Both Amazon and Flipkart have been given fifteen days to explain the lapses, otherwise, they will have to face the consequences. However, the letter does not specify as to what action will be taken otherwise. The letter refers only to a legal act that has provisions for fines. Furthermore, Both company did not respond immediately.
Besides the enforcement of the country of origin rule, 117 Chinese mobile applications have been banned since June. Also, Chinese goods in parts have faced extra scrutiny.
An investigation was ordered in January by the Competition Commission of India. The investigation was ordered into Amazon and Flipkart over violation of competition law.