CAIT criticises states for entering into MoUs with Amazon, threatens further protests

By

Isabelle Crossley

Published
Dec 6, 2021

The Confederation of All India Traders has criticised a number of Indian states for signing memorandums of understanding (MoUs) with U.S.-owned e-commerce giant Amazon, accusing the company of illegal business practices.

On December 5, CAIT made statements criticising state governments for signing MoUs with Amazon India to retail products made by government agencies on the business’ e-commerce store. The MoUs are designed to boost sales of locally made products such as handloom textiles which is designed to aid micro, small, and medium enterprises but CAIT argues the agreements will have a negative effect on the states’ local economies. 
 
“Madhya Pradesh Home Minister Dr Narottam Mishra in past few days had admitted involvement of Amazon in 'ganja' supply racket and therefore at the first instance, the MP government should immediately cancel all its MoUs with Amazon,” said CAIT’s national president B.C. Bhartia and general secretary Praveen Khandelwal in a joint statement, Indo-Asian News Services reported. 

CAIT is attempting to set up talks with chief ministers in each state to discuss the situation, it announced. The organisation also plans to hold protests across India against the MoUs. 
 
CAIT has threatened new protests across India and previously carried out numerous boycotts and strikes against Amazon. The traders’ body has accused Amazon of a range of misdemeanours including facilitating the sale of illegal products, violating foreign direct investment regulations, engaging in deep discounting, and harming the businesses and livelihoods of Indian traders, among other accusations.