Anti-FDI Small Traders Embrace E-commerce, Join Hands with eBay

It looks like the country’s 6 crore odd anti-FDI small traders will soon be coming around to conducting business online. Over 10 small trader associations from various parts of the country have decided to trade on eBay’s marketplace platform (via).


Praveen Khandelwal, the General Secretary of the Confederation of All-India Traders further endorsed the marketplace model followed by eBay and SnapDeal, by saying that it would help local traders to grow.

“Small traders will be interested to join hands with eBay because the company will facilitate their online stores and will never compete with sellers,” he told the Business Standard.

The traders association also said that they chose to work with eBay since the e-commerce company was the first to approach them. Previously, small traders associations and the Government had introduced the “e-Vyapar” platform to help small traders trade online.

What this means for eBay

eBay had recently invested in online marketplace SnapDeal. The company has been in India for about 7 years now. Onboarding small retail traders who were anti-FDI will give the company a more neutral and small-retailer friendly image than the rest. This will bring on board more sellers, and easier access to the small traders in the $500 bn offline retail market.

Companies which own their own retail brands and marketplaces like Flipkart will run the risk of being seen as competition to the small retailers.

The move also makes sense for small retail traders from whom the e-Vyapar initiative by the Government does not provide returns. Opening and undergoing the different processes of online storefronts on sites like Build A Bazaar, Zepo or Shopify is not a feasible option for them either.

The list of small trader associations involved in the move include

  • Khadi and Village Industries Commission

  • Engineering Export Promotion Council


  • Jaipur Jewellers Association

  • Delhi Hindusthan Mercantile Association

  • Eastern U.P.Exporters Association

  • Gurgaon Chamber of Commerce

  • Tirupur Exporters Associations

  • Surat Diamond Association

  • District Industries Centre, Thrissur

  • Vijayawada Chamber of Commerce

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