1. The Confederation of All India Traders (CAIT) appeals to the Commerce and Industry Ministry to stop private labels to use e-commerce marketplaces to sell their products or goods.
  2. CAIT write a letter to Mr Ramesh Abhishek who is the secretary in the Department of Industrial Policy and Promotion. In the letter, CAIT urges him to make it transparent whether private labelling or branding is allowed under the foreign direct investment policy in the e-commerce sector.
  3. The Confederation of All India Traders writes in their letter that -If labelling is approved it will run opposite to the purpose of the government to make e-commerce free from negligence. It is against the government intends to provide an equal level playing track with the fair competition.

The Government of India declines to ban private labels to sell on e-commerce marketplaces. Some of the big players said that private labels are like the small components of the business.

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Why the Confederation of all India traders raised their voice against this issue?

Because private labels sell their goods at lower prices and they give permission to the e-commerce companies to manage quality and offers them larger margins than big, built brands. As we can see the e-commerce players have introduced private labels across a variety of sections for example — home furnishing, and grocery.

In the letter, CAIT said — the modus operandi of these e-commerce companies for trying an extension is to keep delaying appropriate execution of the policy, and they may proceed with their wicked designs of operating all kinds of negligence.”

The Confederation of all India traders claimed that it is necessary for the reputation and growth of Indian e-commerce market to understand the wicked plan of such e-commerce companies and do not allow any extension under any circumstances.