Piyush Goyal expressed concern over the functioning of e-commerce

Commerce and Industry Minister Piyush Goyal said that small retailers are suffering losses due to the functioning of e-commerce. In fact, due to heavy discounts on e-commerce platforms, people do not buy goods from small retailers. Along with expressing concern about the functioning of e-commerce platforms, Piyush Goyal has also questioned Amazon's billion dollar investment.

Commerce and Industry Minister Piyush Goyal expressed concern over the functioning of the e-commerce sector. Piyush Goyal said that small retailers are being harmed by giving huge discounts on e-commerce products. Apart from this, Goyal accused e-commerce companies of aggressive pricing and not giving equal opportunities to small retailers.

Today a report was launched on the topic 'Net Impact of E-Commerce on Employment and Consumer Welfare in India'. Piyush Goyal was also present in this program.

In this program, Goyal said that we all think about e-commerce that things are getting cheaper from here. If I go to a shop and buy a five-star chocolate or a box of chocolates, it will cost me Rs 500. On the other hand, we will get this item from e-commerce for Rs 350. This is because there is the biggest margin on these items.

In such a situation, it would not be wrong to say that e-commerce is eating up high-value, high-margin products. Due to this, small retailers are facing losses, because their earnings are good only from high-margin goods.

However, Piyush Goyal clearly said that e-commerce does not harm all retailers.

Expansion of e-commerce network
Is e-commerce going to create social disruption? Piyush Goyal did not answer this. He said that in the coming ten years, half the market can become a part of the e-commerce network. In such a situation, the role of the e-commerce sector cannot be denied.

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Question raised on Amazon
Piyush Goyal raised questions on Amazon. He said that Amazon had told that it suffered a loss of Rs 6000 crore. To compensate for this loss, the company says that it is going to invest one billion dollars. We pay attention to the investment amount of the company, whereas we should see that this investment is not coming for any service. Amazon suffered a loss of one billion dollars in the balance sheet and they are investing one billion dollars to compensate for it.