CCI publishes Report on Market Study on e-commerce in India |

CCI publishes Report on Market Study on e-commerce in India

competition-commission-india The CCI today released much-awaited “Market Study on E-Commerce in India – Key Findings and Observations”, which was launched in May,2019.

The preliminary findings of the study were presented in a “CCI Workshop on E -Commerce : Changing Competition Landscape in India ” on August 30, 2019 in New Delhi . I attended the said workshop.

In view of the rapid growth and the rising importance of online trade in a large number of product categories, the purpose of the study was to better understand the functioning of e-commerce in India and its implications for markets and competition. The objective was to engage with industry and ascertain the Commission’s enforcement and advocacy priorities in relation to e-commerce, with greater clarity on the market developments and emerging impediments to competition, if any.

The study, a combination of secondary research, questionnaire survey, focused group discussions (‘FGDs’), one-on-one meetings, a multi-stakeholder workshop and written submissions of stakeholders, covered the three broad categories of e-commerce in consumer goods (mobiles, lifestyle, electrical & electronic appliances, and grocery), accommodation services and food services. 16 online platforms, 164 business entities [including sellers (manufacturers and retailers) and service providers (hotels and restaurants)] and 7 payment system providers from across India participated in the study. In addition, 11 industry associations, representing different stakeholder groups, also participated.

Incidentally, the Chairman CCI had spoken about this study recently during the OECD Annual Conference held in Paris on December 04,2019 . In his speech Mr Gupta , had hinted on CCI issuing a “soft advisory” to e-commerce . The text of the Chairman ,CCI speech can be read here.

The Report captures the key market trends and outlines the main features of e-commerce. It also discusses the key competition issues that have emerged from the study. The observations of the Commission based on the findings are also presented.

The study can be accessed here.

P.S. I will come back with my comments on the Study in due course !

About the author

M M SHARMA

 Comdt. (Retd.) M. M. Sharma heads the Competition Law & Policy team in VA since 2009 and has over 30 years’ experience as an Advocate of Delhi High Court and holds a Post Graduate Diploma in Economics of Competition Law from Kings College, London. He has worked in the Competition Commission of India (CCI) as Additional Registrar during 2006-2008 and was responsible for drafting the Implementing Regulations under the Competition Act, 2002. He has experience of working as Head-Legal /In-house Counsel for a large Corporate Group in the Steel and Power sector before joining VA in 2009. He has represented clients as an independent arguing Counsel in landmark cases decided by CCI, the Competition Appellate Tribunal (COMPAT) , High Courts and the Supreme Court. As a prolific writer, he contributes articles and is regularly quoted on competition issues in National Newspapers and interviewed by TV Channels. He also teaches as a visiting faculty in various Universities and Institutions and is widely regarded as a subject expert in various Committees of Apex Business Chambers, such as FICCI, CII, ASSOCHAM and PHD CCI.  Mr. Sharma has been mentioned as a “Notable Practitioner” in the “Competition/Antitrust” category of Chambers & Partners (Asia Pacific) Ranking of Leading Lawyers for Business in India for the year 2012 and 2013. VA’s competition law and policy team has also been awarded the Law Firm of the Year Award for “Competition/Antitrust Law” for 2013 by the Indian Business Law Journal. Included as a ‘Recognised Practitioner’ in Individual Lawyers’ranking by Chamber’s Asia Pacific Guide 2020 for Antitrust/Competition Law.