Retailers flag illicit trade, unfair pricing practices in online markets
The Tamil Nadu chapter of the Federation of Retailers Association of India (FRAI) has raised concerns over the growing circulation of counterfeit products and unfair market practices in India’s online retail ecosystem. They highlighted issues like predatory pricing and deep discounting, which impact genuine businesses, government revenue, and consumer safety.
Why it matters
This addresses significant challenges faced by traditional retailers due to the rapid growth of e-commerce, impacting fair competition, consumer safety, and the livelihoods of many small businesses in India.
The Tamil Nadu chapter of the Federation of Retailers Association of India (FRAI) has raised concerns over the growing circulation of counterfeit and non-compliant products and unfair market practices in India’s rapidly expanding online retail ecosystem.
The concerns were raised at a seminar on ‘Confronting Illicit Trade in Modern Markets’ organised by FRAI Tamil Nadu in Chennai on Tuesday. Retailers, trader associations, and other stakeholders discussed the impact of illicit trade, predatory pricing, deep discounting, and the rapid expansion of quick commerce and e-commerce platforms on traditional businesses.
Participants said counterfeit products and illegal distribution channels not only affected genuine businesses and government revenue but also posed risks to consumers and the livelihoods of lakhs of small traders.
C. Chelladurai, president of the FRAI Tamil Nadu chapter, said illicit trade had emerged as a serious threat to consumer safety, fair competition, and the livelihoods of legitimate retailers.
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