Supply of non-essential goods by e-commerce firms prohibited during lockdown, clarifies govt

The announcement, or rather the clarification, comes after a number of questions were raised by the opposition and traders about the government's decision.
A food delivery man working during the lockdown | Nagaraja Gadekal
A food delivery man working during the lockdown | Nagaraja Gadekal

NEW DELHI: The Union Ministry of Home Affairs on Sunday clarified that sale of non-essential goods by e-commerce companies will remain prohibited during the lockdown.

On April 15, the MHA had issued revised guidelines for the second phase of shutdown allowing additional activities to be allowed during the second phase from April 20.

According to the April 15 order, “e-commerce companies” and vehicles used by e-commerce operators had been allowed but it was not specified if it was applicable on items others than those under the essential category.  During the first phase of the shutdown, MHA had specifically said that e-commerce platforms are allowed to sell only essential goods like food, pharmaceuticals and medical devices.

On April 16, sources in MHA said that mobile phones, televisions, refrigerators, laptops and stationery items will be allowed to be sold through e-commerce platforms like Amazon, Flipkart, Snapdeal, Paytm Mall etc from April 20. However, the ministry did not issue a formal order on April 16. 

The announcement, or rather the clarification, comes after a number of questions were raised by the opposition and traders about the government's decision.

On Sunday, Union Home Secretary Ajay Kumar Bhalla in his capacity as the chairperson of the National Executive Committee issued an order to exclude e-commerce category from the revised guidelines.

“...The undersigned in his capacity as Chairperson, National Executive Committee, hereby orders to exclude the following from the consolidated revised guidelines for strict implementation by Ministries Department of Government of India, State/Union Territory Governments and State Union Territory Authorities. Sub-clause under Clause 14 on Commercial and private establishments. E-commerce companies Vehicles used by e-commerce operators will be allowed to ply with necessary permissions,” the order stated.

The order comes amid confusion over whether e-commerce players such as Amazon and Flipkart will continue delivering essentials or get further relaxations in Covid-19-free areas that will allow limited activities from Monday.

After the order, MHA also issued a press release stating that e-commerce companies, already supplying essentials during the lockdown, will continue to be allowed to do so.
The government’s new decision cum clarification comes after a traders’ body, the Confederation of All India Traders (CAIT), wrote to Prime Minister Narendra Modi, saying if e-commerce players are allowed to resume deliveries of non-essential items, it would be unfair to the small traders. On Saturday, the Congress party had also raised the issue that allowing e-commerce platforms to sell non-essential products denied a level playing field to traditional retail traders.

On Sunday, CAIT issued a statement, claiming credit for the exclusion of e-commerce companies. “CAIT demolished sinister plan of e-commerce companies to trade in non-essential commodities. Accepting the objection of the CAIT, the MHA excluded the permission granted earlier and now e-commerce can trade only in essential commodities. Thanks to Home Minister Amit Shah, Defence Minister Rajnath Singh & Commerce Minister Piyush Goyal,” a statement issued by Praveen Khandelwal of the CAIT said.

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