 "Talking to govt for easier FDI rules in e-commerce: Amazon")
Global retail giant Amazon on Sunday said it was “engaging” with the government for relaxing of foreign direct investment (FDI) norms in e-commerce, following which it would adopt a hybrid model to start product retailing.
“We believe FDI in e-commerce is good for the customers. Not only will they get more choices but it will also improve the level of customer service for the industry,” Director and General Manager (seller services) Amit Deshpande said.
“We are engaging with the government to relax FDI norms in e-commerce space,” he added. Deshpande said once the government relaxes FDI in the e-commerce, Amazon.in would follow a hybrid model where apart from the marketplace model, “we will begin retailing products”.
The company, which launched operations in India in June, currently operates with a marketplace model. Under this model, Amazon.in will not sell products directly to customers but only provide a platform to sellers.
India’s FDI policy restricts e-commerce companies from offering services directly to retail consumers. At present, 100 per cent FDI is allowed in business-to-business (B2B) e-commerce but not in retail trading.
The company, which began operations with just two product categories — books and movies — has now over 15 products categories and has over 1,400 sellers listed on its website.
“India is a huge opportunity for us. We are here for the long term. We believe Indian e-commerce space has got potential. We will continue to add categories such as sports and apparel,” Deshpande said.
Amazon entered the Indian online shopping space with its price aggregator and selection website Junglee.com in February 2012.
“We believe FDI in e-commerce is good for the customers. Not only will they get more choices but it will also improve the level of customer service for the industry,” Director and General Manager (seller services) Amit Deshpande said.
“We are engaging with the government to relax FDI norms in e-commerce space,” he added. Deshpande said once the government relaxes FDI in the e-commerce, Amazon.in would follow a hybrid model where apart from the marketplace model, “we will begin retailing products”.
The company, which launched operations in India in June, currently operates with a marketplace model. Under this model, Amazon.in will not sell products directly to customers but only provide a platform to sellers.
India’s FDI policy restricts e-commerce companies from offering services directly to retail consumers. At present, 100 per cent FDI is allowed in business-to-business (B2B) e-commerce but not in retail trading.
The company, which began operations with just two product categories — books and movies — has now over 15 products categories and has over 1,400 sellers listed on its website.
“India is a huge opportunity for us. We are here for the long term. We believe Indian e-commerce space has got potential. We will continue to add categories such as sports and apparel,” Deshpande said.
Amazon entered the Indian online shopping space with its price aggregator and selection website Junglee.com in February 2012.