It is a Mandate for Ecommerce Sites to Mention Product's Origin Country: Govt
The government and citizens of India are pushing the trade and manufacturing of local products. The PM Modi has given the norm of "Aatmanirbhar Bharat"(self-reliant India) & "Make in India." Even many foreign companies such as Apple, Samsung, etc have established their manufacturing & assembling facilities in India.
The government is encouraging more and more foreign companies to come to India by providing many tax benefits. And in the attempt to promote the Aatmanirbhar Bharat (self-reliant India) and “Make in India” cause, the Government’s e-commerce Marketplace (GeM) has made it mandatory for the sellers to mention ‘country of origin’ on their market place.
All the new sellers registering on the marketplace will compulsorily include the Country of origin. And the sellers who are already registered with the marketplace are now getting a regular warning to mention the product origin country or their products will get removed.
The buyers on the platform will be able to see the percentage of Indian components available in the products. And there will be even a search filter of “Make in India.” Applying this filter will help visitors see the products with local preferences.
The platform has divided suppliers & products into classes. The Class One local supplier includes products with a minimum of 50% local content. Class two suppliers include products with a minimum of 20% local content. For the bids below 200 crores, only class one & two suppliers are eligible to bid, with the purchase preference for class one suppliers.
The Rashtriya Svayam Sevak Sangh (RSS) with the affiliation of Swadeshi Jagran Manch (SJM) has also requested the government to make it mandate for private eCommerce websites like Flipkart & Amazon to mention the country origin of their products too. Hence the users will be able to understand, are the products of Chinese origin or Indian?
SJM co-convener Ashwani Mahajan has appreciated the move of GeM. And also mentioned that the same rule should be applied to private eCommerce sites too. They must mention “country of origin” with each of their products. Such a request comes ahead of the Commerce and Industry Ministry's meeting with e-commerce players to discuss the same cause. The representatives from eCommerce companies such as Flipkart, Amazon, Snapdeal, Nykaa, Pepperfry, and eBay will attend the meeting.
The border dispute between China & India is also getting deadly turns. The demand for Boycotting Chinese products is increasing from the many parts of India. And the government is also boosting the self-reliance and make in India movement.
The opportunity for the Indian sellers
If the result of the meeting makes it mandate for the eCommerce giants, then the many local sellers will be empowered. It will be an opportunity for the local sellers to come with even better products for the end-users. Create more useful products for end-users. Create products that are cost-friendly, durable, and can give strong competition to foreign products. They should try to solve the day to day problems of the users with products.
In the end, it all boils down to usability and cost-effectiveness of the products. Many Chinese companies have established their monopoly in several product domains. With better product quality and the most aggressive pricing, they have dominated the industries, including smartphones, laptops, electronic chips, and many more consumer products.
It’s time for the Indian entrepreneurs to come forward and deliver the robust end products for the users. With the initiatives of self-reliance and make in India, the government is already promoting India made products. It's time to create complete Indian products. In the electronics sector, it is not possible to use 100% of India made components. Still, the gap can be filled by establishing advanced manufacturing facilities, skilled workforce, and better financing.
And if we talk about, the industrial sectors such as apparel, cosmetics, cutlery, lighting appliances, and many more household appliances, these sectors have a bright future. The small & medium-sized entrepreneurs can create great products for such industrial sectors. The 1.35 billion worth Indian market is open for the Indian merchants. It is an opportunity for them, create products that are worth buying.
In the end, let us mention a bit about our selves. At Softpulse Infotech, we create great eCommerce experiences for our clients. Through the blog section of our website, we regularly keep our website visitors updated with the latest industry news, trends, and tips. For any queries with eCommerce business, feel free to contact eCommerce Website Development Company at [email protected]
