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Good News for E-Commerce Firms, Govt Allows Sale of Private Labels
January 05, 2019
The cumulative push initiated by e-commerce companies has apparently forced the government to give in and relax the new norms. In the recent development, the government has clarified that online marketplaces won’t face any restrictions on the sale of private labels, even though the Department of Industrial Policy & Promotion (DIPP) had barred the same barely a week ago.
When the government introduced new guidelines for FDI in e-commerce, India’s two largest online marketplaces Flipkart and Amazon joined forces. They were to take the hardest blow as they have 30 private labels of their own that cover 200 categories. Moreover, they have already spent around 1.5 billion USD on these labels.
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