The Confederation of All India Traders announced that it was going to launch a nationwide movement against e-commerce majors Amazon and Flipkart, who, they said, are “bent upon” flouting FDI policy and destroying the country’s retail businesses.
This comes as part of a long-standing feud between the two parties over predatory pricing and deep discounting. CAIT has announced that delegations from across the country will submit a memorandum to Lok Sabha and Rajya Sabha MPs. The traders’ body said that a dharna will be organised in nearly 200 cities on November 20.
The body also said that a traders’ march will be conducted in 500 districts on November 25. On November 28, protests will be held in 1,000 cities, the body said.
In addition to this, a traders’ rally will be held where memoranda will be submitted to chief ministers.
In a release, CAIT said that apart from traders, those from transportation, small industries, farmers, hawkers, consumers and entrepreneurs will be asked to join the movement.
The traders’ body earlier approached Prime Minister Narendra Modi to intervene over the violation of FDI policy by the e-commerce companies. CAIT has sought an appointment from the PM to discuss these issues.
"The question is whether e-commerce companies like Amazon & Flipkart will be allowed to violate the policy of the government, whether brand owning companies and banks will be allowed to create a cartel with these e-commerce companies and whether any investigation will be conducted by the government into their business model. Or, they will be allowed to make Indian e-commerce market as a free playground where they will operate the business as per their wish," the letter stated.
Prior to the festival sales, the CAIT approached the Department for Promotion of Industry & Internal Trade (DPIIT) with complaints of deep discounting resorted to by Amazon and Flipkart. Union Commerce Minister Piyush Goyal then stated that if the e-commerce companies were found to be guilty of violating the existing policy in letter or spirit, action will be taken against them.
Amazon and Flipkart have denied that they are flouting any FDI norms and that the deep discounts and predatory pricing one sees on their platforms are offered by the brands themselves and not by them.