TMI BlogGuidelines for Foreign Direct Investment (FDI) on E-commerceX X X X Extracts X X X X X X X X Extracts X X X X ..... i) A manufacturer is permitted to sell its products manufactured in India through e-commerce retail. ii) A single brand retail trading entity operating through brick and mortar stores, is permitted to undertake retail trading through e-commerce. iii) An Indian manufacturer is permitted to sell its own single brand products through e-commerce retail. Indian manufacturer would be the investee company, which is the owner of the Indian brand and which manufactures in India, in terms of value, at least 70% of its products in house, and sources, at most 30% from Indian manufacturers. 2.0 In order to provide clarity to the extant policy, guidelines for foreign direct investment on e-commerce sector have been formulated and are enume ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) Marketplace e-commerce entity will be permitted to enter into transactions with sellers registered on its platform on B2B basis. iii) E-commerce marketplace may provide support services to sellers in respect of warehousing, logistics, order fulfillment, call centre, payment collection and other services. iv) E-commerce entity providing a marketplace will not exercise ownership over the inventory i.e. goods purported to be sold. Such an ownership over the inventory will render the business into inventory based model. v) An e-commerce entity will not permit more than 25% of the sales affected through its marketplace from one vendor or their group companies. vi) In marketplace model goods/services made available for sale elect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 100% under automatic route is permitted in Business to Business (B2B) e-commerce. No FDI is permitted in Business to Consumer (B2C) e-commerce. However, FDI in B2C e-commerce is permitted in following circumstances: i) A manufacturer is permitted to sell its products manufactured in India through e-commerce retail. ii) A single brand retail trading entity operating through brick and mortar stores, is permitted to undertake retail trading through e-commerce. iii) An Indian manufacturer is permitted to sell its own single brand products through e-commerce retail. Indian manufacturer would be the investee company, which is the owner of the Indian brand and which manufactures in India, in terms of value, at least 70% of its pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2.3 Other Conditions: i) Digital electronic network will include network of computers, television channels and any other internet application used in automated manner such as web pages, extranets, mobiles etc. ii) Marketplace e-commerce entity will be permitted to enter into transactions with sellers registered on its platform on B2B basis. iii) E-commerce marketplace may provide support services to sellers in respect of warehousing, logistics, order fulfillment, call centre, payment collection and other services. iv) E-commerce entity providing a marketplace will not exercise ownership over the inventory i.e. goods purported to be sold. Such an ownership over the inventory will render the business into inventory based m ..... X X X X Extracts X X X X X X X X Extracts X X X X
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