Piyush Goyal Stands Up for Small Retailers Against Big E-Commerce Companies
Union Commerce Minister Piyush Goyal has raised concerns about the impact of big e-commerce companies on small retailers. Speaking in Mumbai, Goyal emphasized that while technology and e-commerce bring convenience and modern techniques, they should not harm small businesses.
Goyal pointed out that India has nearly 10 crore small retailers whose livelihoods depend on their businesses. He noted that foreign direct investment in e-commerce is allowed only for business-to-business transactions, but this law has not been fully followed. Large companies with deep pockets often engage in predatory pricing, which hurts small traders.
The minister also mentioned the decline of retail stores and the dominance of a few large chains, particularly in the pharmacy sector. He stressed the importance of inclusive growth and equity for all sections of society.
To support small businesses, Goyal introduced the Open Network for Digital Commerce (ONDC), which allows small businesses to sell their products on a common platform. He urged consumers to think about whom they are benefiting when making purchases.
Goyal had previously raised concerns about e-commerce companies offering heavy discounts, which disrupts the businesses of small retailers. He called for fair practices to ensure a level playing field for all.
Doubts Revealed
Piyush Goyal -: Piyush Goyal is an Indian politician who is currently the Union Commerce Minister. He works for the government and looks after trade and business matters in India.
Union Commerce Minister -: The Union Commerce Minister is a government official in India responsible for trade, business, and commerce. This person helps make rules and policies to support businesses in the country.
E-commerce companies -: E-commerce companies are businesses that sell products and services online. Examples include Amazon and Flipkart, where you can buy things using the internet.
Predatory pricing -: Predatory pricing is when big companies sell products at very low prices to drive small competitors out of business. This can be harmful because it makes it hard for small shops to survive.
Small retailers -: Small retailers are small shops or businesses that sell goods directly to customers. They are often family-owned and operate in local markets or neighborhoods.
Technology -: Technology refers to tools and machines that help us do things more easily. In this context, it means using the internet and computers to sell products.
Open Network for Digital Commerce (ONDC) -: The Open Network for Digital Commerce (ONDC) is a new system in India to help small retailers sell their products online. It aims to make it easier for small businesses to compete with big e-commerce companies.
Fair practices -: Fair practices mean doing business in a way that is honest and just. It ensures that all businesses, big or small, have a fair chance to succeed.
Consumers -: Consumers are people who buy and use products and services. In this context, it means you and your family when you shop for things.