PM Modi Calls For Ensuring 'Equitable Competition' Between Large And Small E-Commerce Players

Prime Minister Narendra Modi on Thursday (24 August) emphasised the importance of ensuring "equitable" competition between large and small players in the e-commerce industry.

He also highlighted the need to empower small enterprises to integrate with global supply chains.

During his address at the G20 Trade and Investment Ministerial summit, the Prime Minister said that it was the collective responsibility of these 20 nations to rebuild confidence in international trade and investment processes as the global economy has been tested by the COVID-19 pandemic and geo-political tensions.

"We must build resilient and inclusive global value chains that can withstand future shocks. In this context, India's proposal to create a Generic Framework for Mapping Global Value Chains is important. This framework aims to assess vulnerabilities, minimize risks, and enhance resilience," he said.

In order to support Micro, Small and Medium Enterprises (MSMEs), the Prime Minister urged global policy makers to pay more attention to their needs.

He highlighted that MSMEs contribute to 60 per cent to 70 per cent of employment and 50 per cent of the global Gross Domestic Product (GDP).

"We must pay more attention to MSMEs, given their key role in the global economy. MSMEs account for 60 to 70 percent of employment and contribute 50 percent to the global GDP. They need our continued support," he said.

"India has integrated MSMEs into public procurement through our online platform -Government e-marketplace. We have been working with our MSME sector to adopt the ethos of ‘Zero Defect’ and ‘Zero Effect’ on the environment," he said, adding that increasing smaller firms' participation in global trade and Global Value Chains has been a priority of the Indian G20 presidency.

'The proposed ‘Jaipur Initiative to foster seamless flow of information to MSMEs’ will address the challenge of inadequate access to market and business-related information faced by MSMEs. I am also confident that the upgrade of the Global Trade Help Desk will increase participation of MSMEs in global trade," he said.

The Prime Minister pointed out that the growth of global cross-border e-commerce presents challenges for smaller players and consumers alike.

"We need to work collectively to ensure equitable competition between large and small sellers. We also need to address the problems faced by consumers in fair price discovery and grievance handling mechanisms," PM Modi said.

"I am glad that your group is working on the ‘High Level Principles for the Digitalization of Trade Documents’. These principles can help countries in implementing cross-border electronic trade measures, and reduce compliance burdens," PM Modi noted.

"I am confident that you will work collectively to ensure that the global trading system gradually transitions into a more representative and inclusive future," he said.