Amazon India lists US arm Amazon Export Sales as seller on its platform

As Amazon Export Sales LLC debuted as a seller on its Indian website, several categories like fashion, lifestyle and electronics among others were featured with its recently launched Global Store.

The company denied any wrongdoing or violation with regard to the FDI norms claiming the unit was registered overseas and all the transactions would be concluded outside the country.

However, online sellers and brick and mortar retailers expressed apprehensions regarding the move. In itsdefense, Amazon.in said that it was in compliance with the laws.

“Amazon.in enables sellers (domestic and international) to list their products for Indian customers. Amazon Exports Sales LLC is also a listed seller on Amazon. in... Amazon Exports Sales LLC is an exporter of products and therefore the mention of custom duties in their listings. Amazon has a high bar for compliance with laws of the land and Amazon.in is in compliance with all applicable laws,” an Amazon India spokesperson told ET.

The rules say that any e-commerce company with overseas investment shall function as a technology marketplace that connect buyers and sellers. They can’t sell anything directly themselves. They also need to maintain a level playing field for all sellers and cannot influence pricing directly or indirectly.

The All India Online Vendors’ Association, which is formed by a group of 1,000 sellers, said that whenever a seller is owned by the marketplace or is a group company, pricing is likely to be affected.

“Is the seller owned by Amazon paying charges such as commission, advertising and promotional charges at the same rate as others?” asked an AIOVA spokesperson.

“We have different types of sellers on our marketplace... Each group of sellers is treated with parity,” an Amazon spokesperson told ET, thereby dismissing all allegations levelled against it by AIOVA.
(image:Indiatimes)