Union Government constitutes Amitabh Kant committee to review e-commerce rules
The Union Government has decided to set up a committee to look at easing the policy regime for e-commerce players, including the rules for foreign direct investment (FDI).
The committee will be headed by Amitabh Kant, CEO of NITI (National Institution for Transforming India) Aayog.
The other members in the panel will include officials from Union Commerce Ministry and Industry and Department of electronics and IT among others. Representatives from four states including Maharashtra and Karnataka will also be the members of the committee.
The terms of reference of the Committee
- Examine various issues in e-commerce sector and making recommendations for further liberalisation of the policy.
- Look into all issues including FDI norms pertaining to the fast growing e-commerce industry in the country.
There are issues related to e-commerce players selling pharmaceuticals and some e-commerce firms are facing taxation related problems in few states.
Setting up of this committee assumes significance as the Union Government recently had permitted 100 per cent FDI in food processing sector. \The DIPP (Department of Industrial Policy and Promotion) has permitted 100 per cent FDI through automatic route in the marketplace format. But FDI has not been allowed in inventory-based model of e-commerce.