After a Reuters report revealed the alleged preferential treatment of vendors on its platform, the Confederation of All India Traders (CAIT) has urged the government to ban the India operations of Amazon, the global e-commerce giant.
In its report, Reuters has cited several internal documents of Amazon to claim that the company for years has been giving preferential treatment to a small group of sellers on its India platform
and has circumvented the country's strict foreign investment regulations.
The report says that Amazon has played with India's government, adjusting its corporate structures each time the government imposed new restrictions aimed at protecting small traders.
The Confederation of All India Traders (CAIT), which claims to represent 80 million retail stores in India, has said in a statement that "the shocking revelations" in the Reuters story are "sufficient enough to immediately ban operations of Amazon in India."
The group has contacted Commerce Minister Piyush Goyal, urging him to take immediate note of this "important and burning issue and order for a ban on operations of Amazon in India."
Shortly after CAIT issued its call for the ban, Amazon re-tweeted the Reuters report, criticizing it as "unsubstantiated, incomplete, factually incorrect," without going into specifics. It added that "Amazon remains compliant with Indian laws."