Amazon signs MoU with Gujarat, CAIT criticises

The Confederation of All India Traders (CAIT) on Tuesday criticized the Gujarat government for signing a pact with Amazon, alleging the US-based e-commerce giant indulges in anti-competitive practices.

Amazon has said it has inked an agreement with the Industries and Mines Department of Gujarat to help drive e-commerce exports from the state.

As part of the Memorandum of Understanding (MoU), Amazon will train and onboard MSMEs from the state on Amazon Global Selling, enabling them to sell their unique Made in India products to millions of Amazon customers across over 200 countries and territories.

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"Beside the traders of Gujarat, the traders across the country felt cheated at the hands of the Gujarat Government for shaking hands with a known law offender Company. The CAIT will oppose such MOU," CAIT said in a statement.

On one hand the Centre's statutory bodies like the Competition Commission of India (CCI) and Enforcement Directorate (ED) are conducting investigation against Amazon for anti-competitive practices and violation of e-commerce rules, while the Gujarat government is shaking hands with them for boosting sales, it said.

"It is highly regretted that the lawyers of the Central Government are exposing Amazon in various Courts including Supreme Court but on the other hand the State Government of Gujarat is entering an MOU with Amazon," it added.

The confederation said it will raise the issue with BJP President J P Nadda and Union Commerce Minister Piyush Goyal and apprise them of the political consequences of this act of the Gujarat government.