regulatory barriers impedes indias ecommerce export growth

E-commerce exports, where small and medium-sized businesses sell products online to other countries, face many challenges. Things like return policies, payments, and following rules can be tricky. To help these businesses, a group called FISME and IKDHVAJ Advisers LLP did a study to find ways to make it easier for them.

Even though there are new rules to help e-commerce exports in the Foreign Trade Policy (FTP) 2023, we still need to make sure that small businesses know about these rules and can sell their products to customers around the world. These small businesses make up more than 90% of the exporters.”

This research talks about small businesses that sell things online to other countries. Sometimes, customers send back the things they bought because they couldn’t see them before buying.

Animesh Saxena said that there are rules to help small businesses sell online, but things might be different in reality. He said, ‘We wanted to find out the problems and suggest ways to help small businesses grow and sell more online.’

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The study suggests that the government should help small businesses and entrepreneurs so they can sell more things to other countries using the internet. The research shows how important it is for small businesses to know about selling things online to other countries.

The research talks about how when customers send back things they bought, it can cost a lot of money because of taxes and getting rid of the products. The study suggests a few things to fix these problems and make it easier for small businesses to sell things online.

The following are some of the study’s suggestions to consider:

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  • Working together with different groups like FISME, the government, and website owners, we will share important information about how to sell things online.
  • We will help them get the licenses and registrations they need to sell their products. It’s important to have these to sell things legally.
  • We will create a special way for businesses to export things online. This way will be fast and have easy paperwork and rules. It will be simple for businesses to sell products to people in other countries.
  • If customers need to return something they bought, we will make sure they don’t have to pay extra taxes. We want the return process to be clear and fair.
  • Small businesses will get information and rewards from government to help them sell internationally. This will also make it easier for them to understand the market and keep selling.
  • We will provide special tools to make it easier for businesses to get paid when they sell to people in other countries. They can receive money quickly and without any trouble.

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Regulations are causing problems and stopping India’s e-commerce export industry from growing. This is making it hard for small and medium-sized businesses (SMEs) to sell more things using online platforms.

Things like many products being sent back, extra taxes on returns, not knowing how to use technology well, and not having clear rules for selling things abroad are all holding back the industry.

Groups that represent businesses, the government, and the people who own the websites where things are sold are working together to help. Moreover, Solving these problems is important for the industry to grow and help small businesses trade with other countries.


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