India's E-commerce Just Got a HUGE Transparency Upgrade: Your Shopping Will NEVER Be the Same!

The Ministry of Consumer Affairs' Department of Consumer Affairs has proposed an amendment to the Legal Metrology (Packaged Commodities) Rules, 2025. This amendment will make it mandatory for all e-commerce platforms to provide searchable and sortable filters indicating the 'Country of Origin' for every packaged commodity sold online. The government is currently seeking public and stakeholder feedback on this draft amendment until November 22.

The Ministry views this initiative as crucial for empowering consumers with more information, enhancing transparency in online marketplaces, and aligning with national priorities like 'Atmanirbhar Bharat' (self-reliant India) and 'Vocal for Local.' It aims to create a level playing field for Indian manufacturers by ensuring their products receive equal visibility alongside imported goods, thereby encouraging consumers to opt for local alternatives.

This is not the first attempt; the Consumer Protection (Ecommerce) Rules, 2020, already mandated e-commerce players to display the 'Country of Origin' tag. Furthermore, sellers on the Government-e-Marketplace (GeM) were also required to display this information. However, many platforms did not comply. This led to past actions, including the Delhi High Court issuing notices to major players like Amazon and Flipkart, and the Centre sending out 148 notices in 2021 to non-compliant e-commerce entities, with 56 compounding their offenses and paying fines up to INR 34 lakh.

Impact: This new mandate will necessitate significant technological and operational adjustments for e-commerce platforms to implement robust search and filter functionalities for 'Country of Origin'. It could influence consumer purchasing decisions by highlighting domestic products, potentially boosting sales for Indian manufacturers. The increased transparency might also lead to greater scrutiny of imported goods and better compliance tracking for regulatory bodies. Rating: 7/10

Difficult Terms: Legal Metrology: A field of applied science that deals with measurement, including units, standards, methods of measurement, and instruments. In this context, it pertains to regulations for packaged commodities. Packaged Commodities: Goods that are pre-packaged and sold to consumers, subject to specific labeling regulations. Ecommerce Entities: Businesses that conduct commercial transactions primarily through the internet. Atmanirbhar Bharat: A Hindi phrase meaning "self-reliant India," a vision promoted by the Indian government to boost domestic manufacturing and capabilities. Vocal for Local: A campaign that encourages consumers to buy local products, supporting Indian businesses and artisans. GeM (Government-e-Marketplace): An online platform for procurement of common goods and services required by various Government Departments, Organizations and PSUs. Compounded it (the offence): In a legal context, this means settling a case or offense, often by paying a fine or penalty, instead of proceeding to trial.