Bringing MSMEs into e-commerce

Only a minuscule percentage of SMEs participate in e-commerce platforms, leaving the sector's large potential untapped. A mechanism to change this scenario is needed

The advent of e-commerce has shifted the locus of retail business in both the global and domestic context by bringing the store to the customer, obviating the need for customers to visit the store. Aided by a thriving digital economy with Rs 500 million internet users, India’s e-commerce sector recorded the second highest year-on-year growth at 31.9 per cent across countries in 2019. In 2017, India’s e-commerce sector was valued at $24 billion, representing 3 per cent of total retail sales. However, the share of the global e-commerce sector in overall retail sales was approximately 10 per cent, implying that