**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.
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.
*********