Reasons to Invest

The India's online shopper base to be the 2nd largest globally by 2030, with nearly 500-600 Mn shoppers
Around 87% of Indian households will have an internet connection by 2025, with 21% rise in duration of internet access through mobiles as compared to 2019.
Over CY20-30, Tier 2+ cities will contribute 88% of new online shoppers and $150 Bn in cumulative incremental online retail GMV

How We Help Investors

Research Content Provider

Location Analysis

Policy Advisory/Representation

Stakeholders Meeting

Issue Resoution

Regulatory Clearance Facilitation

FDI Norms

100% FDI allowed under automatic route in B2B E-commerce and in marketplace model of e-commerce. 100% FDI under Government approval route for E-Commerce by Food Retail Companies, provided products retailed are manufactured and/or produced in India.
100%

FDI Allowed

Did You Know?
100% FDI allowed under automatic route in B2B E-commerce and in marketplace model of e-commerce. 100% FDI under Government approval route for E-Commerce by Food Retail Companies, provided products retailed are manufactured and/or produced in India.

Government Support

Digital Payments & Technology

The government is backing technologies such as UPI, RuPay, DigiLocker, eKYC to help promote digital transactions, increase its adoption in smaller cities, as well we to drive innovation in this space. In the Budget 2023-24, it was declared that in 2022, digital payments showed an increase of 76% in transactions and 91% in value. Futher it was announced that fiscal support of 1,500 Cr for this digital public infrastructure will continue in 2023-24.

Digital Infrastructure

Ecommerce is set to benefit from government initiatives to boost rural broadband penetration within the ambit of Digital India. BharatNet is one such program, with an outlay of INR ~61000 Crore, aimed to bring broadband connectivity to India's 2,50,000 Gram Panchayats 

One District One Product Programme

The Government has launched the ODOP programme with the aim of selecting, branding, and promoting One Product from each District (One District – One Product) of the country to enable holistic socioeconomic growth across all regions. 

Consumer Protection (E-Commerce) Rules, 2020 (Draft)

Rules delineate roles and responsibilities for marketplace and sellers, and will reinforce competition and efficiency within the Indian e-commerce market

E-Commerce Policy [Draft]

A draft policy that aims to create a framework for helping achieve holistic growth of the e-commerce sector, supporting it along with other initiatives such as Make in India and Digital India 

Government e Marketplace (GeM)

GeM is a one stop portal to facilitate online procurement of common use Goods & Services required by various Government Departments / Organizations / PSUs. Today, GeM has a user-base of 68,636 government buyers, is offering access to over 3.1 Mn products and connecting 6.3 Mn sellers and service providers.

Open Network for Digital Commerce (ONDC)

An open network protocol for e-commerce in India, ONDC is an initiative backed by DPIIT, Ministry of Commerce and Industry. Its aim is to change the market from an operator-driven ecosystem to a facilitator-driven network. Presently, it is available in 273 cities and has 35,000 sellers on the network.

Trade Scenario

India’s digital economy is expected to surge more than fivefold to $1 Tn by 2030.
Key trends in the digital market include the rise of digital payments, the growing popularity of e-commerce, and the increasing use of data analytics and artificial intelligence in business operations.
BHIM UPI, the digital payments systems, has become a preferred payment method in India, reflecting the shift towards digital transactions. As of January 2023, BHIM UPI recorded 8+ Bn digital payment transactions with a value of $12.98 Tr.

Major Investors

Infrastructure Map

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Apr 01, 2021
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FAQ

FAQs

Can an SBRT entity commence e-commerce operations?

Subject to the conditions of SBRT under the FDI policy (link:), a single brand retail trading entity operating through brick and mortar stores, is permitted to undertake retail trading through e- commerce. Further, as per policy, retail trading through e-commerce can also be undertaken prior to opening of brick & mortar stores, subject to the condition that the entity open brick and mortar stores within 2 years from date of start of online retail

For any further queries, please write to us at retail@investindia.org.in

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What is a marketplace and inventory based model of e-commerce?

"1) Marketplace based model of e-commerce means providing an information technology platform by an e-commerce entity on a digital & electronic network to act as a facilitator between the buyer and seller. 
2) Inventory based model of e-commerce means an e-commerce activity where inventory of goods and services is owned by e-commerce entity and is sold to the consumers directly.

For any further queries, please write to us at retail@investindia.org.in"

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Is FDI allowed for inventory based model of e-commerce?

"No, FDI is not permitted for inventory based model of e-commerce.

For any further queries, please write to us at retail@investindia.org.in"

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Does India have an e-commerce policy?

"A draft e-commerce policy was prepared and put up in the public domain on February 23, 2019 for comments/suggestions. Comments from over 120 stakeholders (companies, Industry associations, think tanks, foreign governments) have since been received. The Govt. is currently working on finalising the policy. Click here for the draft policy. 

For any further queries, please write to us at retail@investindia.org.in"

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What is deemed inventory ownership by a marketplace under the FDI Policy on E-Commerce?

As per the FDI Policy, E-Commerce marketplace is not supposed to exercise control or ownership of the inventory. Inventory is deemed to be controlled by the marketplace if more than 25% of purchases of a vendor on the marketplace are purchased from the marketplace entity or its group companies. 

For any further queries, please write to us at retail@investindia.org.in

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