wordpress blog stats
Connect with us

Hi, what are you looking for?

Amazon applies for government nod to store and sell food online

Amazon wants to make further inroads into the food delivery and has filed an application with the Department of Industrial Policy and Promotion (DIPP) which will allow it to stock and sell locally produced items online, reports the Economic Times. The publication added that Amazon will be making an investment of $500 million for online food retailing. A spokesperson for the company confirmed to MediaNama that it has made an application to the DIPP.

“We are excited by the government’s continued efforts to encourage FDI in India for a stronger food supply chain. We have sought an approval to invest and partner with the Government in achieving this vision.”

Last year, the government allowed 100% FDI in single brand retailing for the ecommerce sector, giving a boost to sub-industry sectors including online grocery startups. However, this was applicable only in food retail. Most startups in the grocery delivery segment also sell other household items such as soap, shampoos, cleaning agents etc.

Currently, online grocery delivery service Grofers, which has applied for FDI in food retail on ecommerce, will most likely have to separate its food business from the rest of its operations to attract investment.

Amazon currently has two services which deliver groceries, Amazon Pantry and Amazon Kirana Now, and it is unclear if the new retail business will add to these, or be launched separately.

Amazon Pantry is a service which delivers household items and grocery and is present in 14 cities in the country. Pantry ships goods in a box that can hold up to 3 cubic feet (or 15kg) of products and will charge users a delivery cost of Rs 20 per box ordered.

Advertisement. Scroll to continue reading.

Kirana Now is a local grocery service launched in Bangalore in March last year. Pantry service is a little different from Kirana Now in that Amazon will deliver Pantry items in 24 hours as opposed to 2-4 hours for Kirana Now. It will also deliver household items as opposed to fruits/vegetables and other perishables delivered by Kirana Now.  Amazon had partnered with local kirana stores to offer the service.

Image credit: Flickr user Lars P under CCBY.20

Written By

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

India's IT Rules mandate a GAC to address user 'grievances' , but is re-instatement of content removed by a platform a power it should...

News

There is a need for reconceptualizing personal, non-personal data and the concept of privacy itself for regulators to effectively protect data

News

Existing consumer protection regulations are not sufficient to cover the extent of protection that a crypto-investor would require.

News

The Delhi High Court should quash the government's order to block Tanul Thakur's website in light of the Shreya Singhal verdict by the Supreme...

News

Releasing the policy is akin to putting the proverbial 'cart before the horse'.

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ