E-commerce rules cast cloud over Amazon, Walmart and local rivals

NEW DELHI: New e-commerce rules will raise costs for all online retailers but particularly Amazon and Walmart’s Flipkart as they may have to review their business structures, senior industry sources told Reuters.

The ministry of consumer affairs outlined plans on Monday which include limiting “flash sales” by online retailers, reining in a private label push, compelling them to appoint compliance officers and impose a “fall-back liability” if a seller is negligent.

The new rules are expected to have an impact across the board in an e-retail market India forecasts will be worth $200 billion by 2026, with players including from Tata’s BigBasket, Reliance Industries’ JioMart and Softbank-backed Snapdeal to market leaders Amazon and Flipkart.