Various ministries, including the Finance, Corporate Affairs and Policy Commission, have opposed the draft e-commerce rules submitted by the Ministry of Consumer Affairs. The Finance Ministry has shown concern that the regulations can negatively affect the sector, which creates a considerable number of jobs.

The e-commerce rules proposed by the Ministry of Consumer Affairs to regulate flash sales with high concessions and made it compulsory for e-commerce entities to register with DPIIT while discounting and mortar stores. It was suggested in the rules to make e-commerce entities liable in case of default from the seller and replace some definitions compared to some existing FDI policies.

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Earlier, in response to proposed revisions to the E-Commerce Rules, 2020, the Niti Aayog had pointed out the problems related to competition, law enforcement, mediation liability, and data protection did not fall in the department’s range. Consumer affairs and relevant ministries should have the potential to handle these complex issues and details. According to the Ministry of Consumer Affairs, the draft e-commerce rules were made open to public consultation to be more robust and based on the data received, they would be fixed in due course.