ONDC Expansion: Navigating the Regulatory Landscape of Ecommerce in India

Competition in Focus: Addressing Concerns in Ecommerce Regulation


Ecommerce in India has become a focal point of discussion in the Parliament’s Winter Session, with particular attention on the One Nation One Digital Ecosystem (ONDC). The Minister of State (MoS) for Commerce and Industry, Som Parkash, recently shed light on ONDC’s significant expansion, declaring its presence in 500 towns and cities across the nation.

Key Points:

  1. Ecommerce Rules Apply to ONDC: MoS Parkash emphasized that all existing laws and regulations governing ecommerce in India are applicable to the ONDC network. This statement underscores the government’s commitment to ensuring a level playing field and regulatory consistency across the rapidly growing ecommerce sector.
  2. Competition-related Issues: In response to inquiries about competition-related concerns, the government clarified that no specific studies have been conducted to address the issues identified by a Parliamentary panel on the promotion and regulation of ecommerce in India. This opens the door to future discussions and potential regulatory measures to foster fair competition within the ecommerce landscape.
  3. ONDC’s Nationwide Reach: The revelation that ONDC is now operational in 500 towns and cities signifies a significant milestone in its expansion strategy. This widespread coverage is poised to impact the accessibility and convenience of ecommerce services for consumers and businesses in various regions of the country.
  4. Government’s Collaboration with Ecommerce Platforms: The Directorate General of Foreign Trade (DGFT) is actively collaborating with various ecommerce platforms to promote ecommerce exports from India. This collaborative effort highlights the government’s focus on leveraging ecommerce as a catalyst for boosting exports and enhancing the global presence of Indian products.


As ONDC expands its footprint across India and the government reaffirms its commitment to regulatory adherence, the ecommerce landscape is undergoing notable transformations. The integration of ONDC into 500 towns and cities demonstrates a concerted effort to bridge the digital divide and empower businesses and consumers across the nation. The government’s engagement with ecommerce platforms for export promotion further underscores the strategic role of ecommerce in India’s economic growth. As discussions continue in the Parliament, stakeholders in the ecommerce sector will be keenly observing the evolving regulatory framework and its implications for the industry’s future.

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