Consumer Protection in e-commerce and DPI

WTO: India submits papers on consumer protection in e-commerce and digital public infrastructure.

India has filed two papers to the World Trade Organization on e-commerce, one on working on consumer protection and the other on the role of digital public infrastructure.
This would provide an “alternative paradigm” to debates on e-commerce rule-making at the multilateral forum, which a group of countries now dominates in a plurilateral manner.

Overview
- Electronic commerce or e-commerce is a business strategy that lets corporations and individuals buy and sell products over the Internet.
- Increased smartphone adoption, the launch of 5G networks, and rising consumer wealth are driving this trend.
- By 2026, the Indian e-commerce market is estimated to reach $200 billion.
- The Indian e-commerce business has been expanding rapidly and is predicted to overtake The US as the world’s second-largest e-commerce market by 2034.

Increase the Competitiveness of Indian goods
- They offer small sellers discounted raw material rates, lowering their production costs.
Increase Exports
- These platforms have enabled small enterprises to expand their reach across the country and even enter export markets.
Efficient service delivery
- They have made product returns easier for customers and enhanced product quality and diversity.
Improved Logistics
- They have transformed the country’s logistics and supply systems.
Employment Generation
- Their contribution to job creation is now significant.

There is less accountability for e-commerce enterprises, and product quality may or may not exceed client expectations.
It is heavily reliant on network connectivity and information technologies. Mechanical breakdowns can have unanticipated consequences for overall processes.
Definitive law to control e-commerce transactions, both locally and internationally, has yet to be drafted, resulting in a lack of industry regulation.
The customer’s privacy, cultural, or economic identity is sometimes violated.
There is a possibility of fraudulent financial activities and the loss of sensitive financial information.

About
- Solutions and systems that enable the effective delivery of essential societal functions and services in the public and private sectors.
- Digital forms of ID and verification, civil registration, payment, data exchange, and information systems are all examples of this.

Pradhan Mantri Jan Dhan Yojana (PMJDY)
- When the scheme began in 2015, only 15% of the accounts were operated by women; this figure has since risen to 56%.
- Furthermore, 67% of account holders are from rural and semi-urban areas, bridging the gender gap.
- This massive digital inclusion can be attributed to India’s digital public infrastructure.

About
- The World Trade Organization is a global organisation that works directly in trade.
- The primary purpose of the WTO is to create international trade laws and regulations to help the trading population involved in importing, exporting, and supplying enterprises and services.
- WTO has 164 members (including the European Union) and 23 observer states.
- The headquarters of the WTO is located in Geneva, Switzerland.
Functions
- It oversees the legislation governing trade agreements.
- Organize trade negotiating conferences.
- Sort out and address any trading-related difficulties.
- Examines trade policies
- Consult with and work with economic groups.
Major Agreements under the WTO
- The WTO will have authority over products, services, and intellectual property.
- They will resolve trading-related difficulties.
- They advise and oblige countries to establish their trade policies and notify the World Trade Organization.
- It has signed approximately 60 agreements, most of which are legal papers.
- Before entering the WTO, a country must sign and ratify the WTO’s agreements.

Pic Courtesy: Freepik

Content Source: The Hindu