E-commerce giant Amazon India removed some of the products from its website after the implication of revised e-commerce and FDI policy of Indian government. The new policy in the e-commerce sector bars companies from selling products of sellers in which they have equities. Also, it also bars companies from making deals with sellers to sell their products exclusively on their platform.
The deadline for this policy was February 1, 2019 and although e-commerce giants like Amazon and Walmart urged to postpone the deadline for the new policy, it came into effect from February 1. Hours before the Thursday deadline, numerous items sold by seller Cloudtail were removed from Amazon’s website, as the company owns indirect stake in Cloudtail. Also, Amazon’s Echo speakers, Presto-branded home cleaning products and other Amazon Basics products such as chargers and batteries were also no longer available on the website.
Sources close to Amazon informed Reuters that such steps were taken to comply with the new policy. “The company has no choice, they are fulfilling a compliance requirement, and the customers will suffer. Amazon is committed to remaining compliant to all the laws of the land,” said one of the sources.