Indian E-Commerce May Grow 50 Percent in Next 5 Years: Survey

Indian E-Commerce May Grow 50 Percent in Next 5 Years: Survey
Advertisement
As Internet penetration in India is on the rise, the e-commerce sector in the country is likely to witness a growth of over 50 percent in the next 5 years, says the Economic Survey.

The government document, however, raised concerns over consumer safeguards and proposed amendments to the Consumer Protection Act.

"India's e-commerce market is expected to grow by more than 50 percent in the next five years," the Economic Survey 2014-15, tabled in Parliament on Friday by Finance Minister Arun Jaitley, said.

As per industry body Internet and Mobile Association of India (IAMAI), as of October 2014 India had 278 million Internet users.

On the hurdles being faced by the sector, the Economic Survey said: "Inventory management, logistics planning and resource availability are important hurdles for online retail in India."

It further said: "Consumer safeguard being another concern for consumers of e-commerce, the government proposes including sufficient provisions in the ongoing amendment to the Consumer Protection Act, 1986."

Prime Minister Narendra Modi had set up a Task Force last year to give suggestions to drive up revenues of India Post in with various services including e-commerce.

The Task Force, which submitted its report in January this year, recommended setting up a holding company under the Department of Posts to roll out of banking, insurance and e-commerce services by the world's largest postal network.

The task force added that rural India should be the main target area. India has a postal network of over 1,55,015 post offices of which (89.76 percent) are in the rural areas.

Telecom Minister Ravi Shankar Prasad has on several occasions said India Post with its unparalleled rural, urban and semi-urban reach is best suited to offer delivery services to e-commerce players.

According to consultancy firm PwC, the e-commerce sector has grown by 34 percent (CAGR) since 2009 to touch $16.4 billion (roughly Rs. 1,01,375 crores) in 2014 and is further expected to touch $22 billion in 2015.

Comments

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.

Further reading: E Commerce, Internet
Fable Legends to Be Free-to-Play on Windows 10 and Xbox One
Moto 360 Smartwatch to Get Moto Maker Customisation Option Soon
Share on Facebook Gadgets360 Twitter Share Tweet Snapchat Share Reddit Comment google-newsGoogle News
 
 

Advertisement

Follow Us

Advertisement

© Copyright Red Pixels Ventures Limited 2024. All rights reserved.
Trending Products »
Latest Tech News »