Home India COMMERCE AND INDUSTRY Parliament Question: e-Commerce Market...
Date: 2026-02-10 Category: Not Applicable State: Union Government Country: India

Parliament Question: e-Commerce Market

Issued by COMMERCE AND INDUSTRY · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document presents the Ministry of Commerce and Industry's response to Unstarred Question No. 1793 concerning the e-commerce market in India. The response, dated February 10, 2026, acknowledges the growth of the sector, highlights the government's efforts to support its expansion, and explains initiatives like ONDC for greater e-commerce integration. **Key Points / Main Content** * **E-commerce Growth:** The e-commerce sector in India has grown due to increased digital adoption, improved logistics, and greater consumer and enterprise participation. However, the growth and compound annual growth of the e-commerce market is not centrally maintained. * **Regulatory Support:** The expansion is supported by an evolving regulatory framework promoting fair competition, consumer protection, data security, and transparency. * **Sector Composition:** The e-commerce sector includes multiple stakeholders and operating models. * **Expansion Needs:** The sector's expansion requires greater integration of local retail, broader penetration beyond metropolitan areas, and easier digital participation for small sellers, including those in rural areas. * **Open Network for Digital Commerce (ONDC):** The Department for Promotion of Industry and Internal Trade (DPIIT) has initiated ONDC, a neutral and open network to enable small sellers to participate in digital commerce without dependence on any single proprietary e-commerce platform. * **Deendayal Antyodaya Yojana-National Rural Livelihoods Mission (DAY-NRLM):** The Ministry of Rural Development provides support to Self Help Groups (SHGs) for adopting e-commerce. * **MSME TEAM Scheme:** The Ministry of Micro, Small & Medium Enterprises (MSME) supports MSMEs via the TEAM Scheme, promoting e-commerce adoption and digitization, including access to ONDC. **Impact Analysis** **Stakeholder: Small Businesses, Local Traders, and MSMEs** * **Impact:** The ONDC initiative ensures that small businesses, local traders, and MSMEs are not digitally excluded by providing a fair, transparent, and non-discriminatory discovery within the e-commerce environment. * **Action Required:** MSMEs need to explore opportunities provided by ONDC (government-backed storefronts, digital payments, and logistics) to digitize operations and promote e-commerce adoption. **Stakeholder: Rural Entrepreneurs and Artisans** * **Impact:** Can benefit from e-commerce adoption through support from DAY-NRLM to market and sell their products. * **Action Required:** Rural entrepreneurs should explore opportunities for e-commerce marketing and sales with the support of SHGs. **Stakeholder: Consumers** * **Impact:** Affected by the improvements in consumer protection, data security, and transparency measures being implemented to support the expansion of the e-commerce sector. * **Action Required:** No action required, as the expansion of the e-commerce sector is supported by measures to ensure customer safety and fair market conditions.

Key Entities Referenced

Ministry of Commerce & Industry: The primary ministry responsible for matters related to commerce and industry, including the e-commerce sector. Open Network for Digital Commerce (ONDC): A DPIIT initiative to create a neutral, interoperable open network to enable small sellers to participate in digital commerce. Department for Promotion of Industry and Internal Trade (DPIIT): Department under the Ministry of Commerce & Industry that has pioneered the Open Network for Digital Commerce (ONDC) initiative. MSME TEAM (Trade Enablement and Marketing): Initiative by Ministry of Micro, Small & Medium Enterprises (MSME) supported by “Raising and Accelerating MSME productivity (RAMP) program E-Commerce Market: The central subject of the unstarred question, focusing on its growth, bottlenecks, and penetration into rural areas.
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GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE LOK SABHA UNSTARRED QUESTION NO. 1793. TO BE ANSWERED ON TUESDAY, THE 10TH FEBRUARY, 2026. E-COMMERCE MARKET 1793. SHRI ESWARASAMY K: Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री (a) whether it is a fact that India is the fastest growing e-Commerce market in the world; (b) if so, the details of growth and compound annual growth during the last five years and the current year, year-wise; (c) whether Ministry has found any bottlenecks which are hampering further growth of e-Commerce in the country; (d) if so, the details thereof and the manner in which the Ministry is planning to clear those bottlenecks; and (e) the manner Ministry is going to help e-Commerce penetration into rural and uncovered areas? ANSWER वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री (श्री णिणिन प्रसाद) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA) (a) to (e): The e-commerce sector in the country has witnessed growth in recent years, driven by increased digital adoption, improved logistics, and wider participation of consumers and enterprises across regions. The growth and compound annual growth of e-commerce market is not centrally maintained. The expansion of the sector is supported by an evolving regulatory framework for fair competition, consumer protection, data security and transparency, in line with the extant laws and guidelines governing the digital marketplace. The e-commerce sector in the country comprises multiple stakeholders and operating models, and its expansion necessitates greater integration of local retail, wider penetration beyond metropolitan areas, and easier digital participation for small sellers, including those in rural and uncovered areas.To address these aspects, Department for Promotion of Industry and Internal Trade (DPIIT) has pioneered the initiative of Open Network for Digital Commerce (ONDC). ONDC is a neutral, interoperable and open network that enables small sellers, including those in rural and uncovered areas, to participate in digital commerce without dependence on any single proprietary e-commerce platform. ONDC unlike traditional e-commerce platforms that operate in silos, creates an open ecosystem where sellers can reach customers across multiple platforms without being restricted by platform-specific terms and conditions. ONDC plays a big part in ensuring that small businesses, local traders and MSMEs are not digitally excluded in the emerging e-commerce environments by providing a fair, transparent, and non-discriminatory discovery within emerging e-commerce environment through size, scale or digital sophistication. ONDC has enabled partnerships with a wide range of logistics service providers to improve last-mile delivery, warehousing and fulfilment options for small and rural sellers. In addition, Ministry of Rural Development under its initiative of Deendayal Antyodaya Yojana-National Rural Livelihoods Mission (DAY-NRLM), is providing support to Self Helf Groups (SHGs), which include rural entrepreneurs and artisans for adopting e-Commerce for marketing and sale of their products. Ministry of Micro, Small & Medium Enterprises (MSME) through its initiative of MSME TEAM (Trade Enablement and Marketing) supported “Raising and Accelerating MSME productivity (RAMP) program to empower Pan India MSMEs to expand their market reach via e-commerce. The TEAM Scheme digitizes MSME operations and promotes e-commerce adoption by providing MSMEs access to the government-backed ONDC for online storefronts, digital payments, and logistics; enabling seamless onboarding and cataloguing without the need to build individual e-commerce platforms. *********

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