Bureau of Indian Standards released Working Draft on E-Commerce - Principles and Guidelines for Self-Governance | Current Affairs | Vision IAS
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ESC

This draft proposes a complete set of principles and guidelines for e-commerce self-governance, with the goal of supporting an ethical and responsible e-commerce ecosystem.

Key Principles

Draft divides e-commerce transaction principles into three phases – Pre-Transaction Principles, Contract Formation Principles, and Post-Transaction Principles.

  • Pre-Transaction Principles
    • E-commerce entity must ensure authenticity of sellers with details of their place of business, key managerial personnel, financial information etc. 
    • Disclosure of relevant information including product/service description, final consumer price, cancellation/exchange/return policies, safety warnings, seller details, country of origin etc. 
  • Contract Formation Principles:
    • Entity shall record express informed consent of consumer and not in the form of pre-ticked checkboxes.
    • Enable transaction review before final payment.
    • Transparent process and policies for cancellations, returns, and refunds, clearly specifying charges and time limits.
    • Maintain complete transaction records and secure payment systems with encryption and two-factor authentication etc.
  • Post-Transaction Principles:
    • Easy return, exchange, refund or dispute resolution process with single point of contact toll-free number, estimated resolution time, grievance officer etc.
  • General Principles:
    • Prohibition on selling of banned products with monitoring mechanisms and seller background checks.
    • Fair Business Practice with no preferential treatment, following packaging norms etc.
    • Provisions for addressing counterfeit products and mechanism for reporting instances of intellectual property rights.

E-commerce Sector in India

  • Growth Potential: Projected to reach US$ 325 billion by 2030.
    • Reached US$60 billion in Gross Merchandise Value (GMV) during fiscal year 2023, marking a 22% growth from the previous year.
  • Policy Support: 
    • 100% FDI is allowed in B2B e-commerce.
    • 100% FDI under the automatic route is permitted in the marketplace model of E-commerce.
    • Government aims to achieve $200-300 billion in e-commerce exports by 2030. 
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