Live Markets, Charts & Financial News

Amazon, Flipkart found to have violated Indian quality control rules during warehouse raids

1

(Reuters)-The government-run products agency in India said on Thursday that the retail giants Amazon Wall Mart have violated the Indian quality control rules by storing products that did not have the required standards certificate.

A government statement said that the raids on the warehouses run by both companies, which were conducted on Wednesday by the Indian Standards Office in the Terofalur region in the southern state of Tamil Nadu, found that companies had violated the bases by storing, selling and displaying products that did not carry Mark BIS.

Amazon and Flipkart did not respond immediately for suspension requests.

These raids are the latest headache for the two companies, as they were a leader in the e-commerce market in India, which Bain Consulting estimated at $ 57 billion-60 billion dollars in 2023, and its value is worth $ 160 billion by 2028.

In the Amazon warehouse, 3,376 products were seized without the standard brand, including bottles, isolated food containers, games and ceiling fans, according to the statement, while officials seized diapers, woolen vessels and stainless steel water bottles from the Flipkart warehouse.

Last September, the anti -monopoly investigation found that the two companies violated the laws of local competition by giving preference to selecting sellers on their shopping sites.

A few weeks later, in November, the investigators raided a number of Amazon and Flipkart sellers in the aftermath of Reuters in 2021 based on Amazon's internal documents that showed that the company had given years of preference treatment to small groups of sellers, and used them to overcome Indian laws.

The Amazon denied violations.

(Participated in the reports of Shelba Ghamshandikar; edited by Kirsten Donovan)

Comments are closed, but trackbacks and pingbacks are open.