The Confederation of All India Traders (CAIT) has welcomed the notification of the Consumer Protection (E-Commerce) (Amendment) Rules, 2026, describing them as a transformative step towards creating a transparent, accountable and equitable digital commerce ecosystem in India.

The Rules, effective from January 1, 2027, introduce key consumer-centric measures including transparency in search rankings, disclosure of sponsored listings, fair representation of discounts, integration with the National Consumer Helpline, stronger grievance redressal systems and safeguards against dark patterns.

Shri Praveen Khandelwal, Member of Parliament from Chandni Chowk and Secretary General of CAIT, said that under the leadership of Prime Minister Shri Narendra Modi, India continues to strengthen consumer rights while ensuring that traders, retailers, startups and MSMEs receive a fair opportunity to participate in the digital economy.

Khandelwal noted that CAIT has consistently highlighted concerns regarding deep discounting, opaque algorithms, misleading promotions, search manipulation and preferential treatment to select sellers. The new framework addresses several of these long-standing issues and moves India closer to a level playing field between online and offline commerce.

He particularly welcomed provisions requiring disclosure of sponsored listings, preventing manipulation of search results and mandating the display of the lowest price offered in the previous thirty days whenever discounts are advertised. These measures will enhance consumer confidence and discourage deceptive pricing practices.

Khandelwal stated that the reforms are aligned with the vision of Vocal for Local, Atmanirbhar Bharat and Local to Global, and will help create a more inclusive digital marketplace that supports India’s small businesses and entrepreneurs.

While welcoming the rules, CAIT urged the Government to pursue the next phase of reforms by ensuring strict action against predatory pricing and loss-funding practices,Strong enforcement of FDI regulations in e-commerce, Greater transparency in algorithms governing search rankings and recommendations, Elimination of preferential treatment to select sellers and related entities, Regulation of exclusive launches that distort market competition, Robust safeguards for consumer and seller data, Timely payments and fair contractual terms for MSME sellers, Disclosure of all commissions, fees and charges imposed on sellers.

Khandelwal emphasized that the true success of digital commerce lies not merely in the growth of large platforms, but in its ability to empower millions of traders, retailers, women entrepreneurs, startups and MSMEs across the country.

CAIT also expressed its appreciation to Union Consumer Affairs Minister Shri Pralhad Joshi and the Department of Consumer Affairs for undertaking these important reforms in response to evolving market challenges and stakeholder concerns.