Lok Sabha Question No. 3939 (UNSTARRED), answered on 2025-03-25
Subject: Quick-Commerce Platforms
Ministry: COMMERCE AND INDUSTRY
Asked by: Shri Arun Bharti

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE

## LOK SABHA

UNSTARRED QUESTION NO. 3939.

TO BE ANSWERED ON TUESDAY, THE 25 TH  MARCH, 2025.

## QUICK-COMMERCE PLATFORMS

## 3939.  SHRI ARUN BHARTI:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री

- (a) the  impact  of  Government  has  any  policies  on  the  growth  of  the  quick commerce industry during the last two years;
- (b) the details of data on the percentage increase in the number of jobs created in 2024 in comparison to previous years;
- (c) whether any measures have been taken to ensure the safety and rights of gig workers in the quick commerce industry, and if so, the details thereof;
- (d) whether rural markets have benefitted from the quick commerce platforms, and if so, the details thereof; and
- (e) whether any steps are being taken to ensure the availability of employment benefits to the gig workers in the industry, and if so, the details thereof?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री णिणिन प्रसाद ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA)

- (a): The  e-commerce  sector  is  governed  by  a  comprehensive  legal  and  policy framework. Some of the Acts applicable to e-Commerce Sector are Consumer Protection  Act,  2019;  Consumer  Protection  (E-commerce)  Rules,  2020; Competition, Act, 2002; Central Goods and Services Tax (CGST) Act, 2017; Information  Technology  Act,  2000;  Payment  and  Settlement  Systems  Act, 2007; Companies Act, 2013; Copyright Act, 1957 etc. FDI policy and Foreign Exchange Management Act (FEMA), 1999 contain provisions related to Foreign Direct Investment (FDI) in e-Commerce Sector.

The  Department  for  Promotion  of  Industry  and  Internal  Trade  (DPIIT)  has pioneered the initiative of Open Network for Digital Commerce (ONDC). The initiative aims at promoting open networks for all aspects of exchange of goods and  services  over  digital  or  electronic  networks.  ONDC  is  playing  a  role  in enabling quick commerce by fostering an open, interoperable, and competitive marketplace  where  sellers,  logistics  providers,  and  buyers  can  connect seamlessly.

ONDC fosters  a  decentralised  ecosystem,  empowering  small  businesses  SMEs, Kirana stores, farmers, artisans, SHGs, etc, to participate and compete effectively  in the digital marketplace. Consumers benefit from a wider selection of sellers and potentially greater price transparency. ONDC's open ecosystem also  supports  hyperlocal  logistics  players,  making  quick  deliveries  viable without  reliance  on  a  single  platform.  By  reducing  dependence  on  large aggregators, ONDC is helping small retailers participate in quick commerce, ensuring a broader distribution of economic benefits.

- (b): The  data  on  Employment  and  Unemployment  is  collected  through  Periodic Labour Force Survey (PLFS) which is conducted by the Ministry of Statistics & Programme Implementation (MoSPI) since 2017-2018. The survey period is July to June every year.

As  per  the  latest  available  Annual  PLFS  Reports,  the  estimated  Worker Population Ratio (WPR), including formal and informal sector, on usual status for persons of age 15 years and above during the years 2021-22 to 2023-24 is as follows:

| Years   |   Worker Population Ratio (in%) |
|---------|---------------------------------|
| 2021-22 |                            52.9 |
| 2022-23 |                            56   |
| 2023-24 |                            58.2 |

Source: PLFS, MoSPI

The  data  indicates  that  the  Worker  Population  Ratio  (WPR),  indicating employment, has an increasing trend over the years.

- (c): For  the  first  time,  the  definition  of  'gig  workers'  and  'platform  workers'  and provisions  related  to  the  same  have  been  provided  in  the  Code  of  Social Security, 2020 which has been enacted by the Parliament.

As per the Code, the gig worker has been defined as a person who performs work or  participates  in  a  work  arrangement  and  earns  from  such  activities outside  of traditional employer-employee relationship.

The  Code  provides  for  framing  of  suitable  social  security  measures  for  gig workers and platform workers on matters relating to life and disability cover, accident insurance, health and maternity benefits, old age protection, etc. The Code also provides for setting up a Social Security Fund to finance the welfare scheme.

- (d): Ministry of Rural Development under Deendayal Antyodaya Yojana-National Rural  Livelihoods  Mission  (DAY-NRLM)  has  undertaken  tie-ups  with  eCommerce  Players  for  promotion  of  SHG  products.  In  collaboration  with Government e- marketplace (GeM) a "Saras Collection" has been created as a Store  Front  in  GeM  for  marketing  of  SHG  products.  Also,  Memorandum  of Understandings  (MoUs)  have  been  entered  between  the  Ministry  of  Rural Development  and  several  E-  commerce  companies  to  allow  the  Self  Help Groups (SHGs) producers including the artisans, weavers and craftsmen to access national markets through various programs/initiatives for marketing of SHGs  products.  An  e-Commerce  platform  (www.esaras.in)  has  also  been

launched by the Ministry of Rural Development for online marketing of SHG products.  e-Saras  is  also  live  as  a  Seller  Network  participation  on  ONDC. Curated products  of  women  SHGs are  available  on  several  apps  of  ONDC network.

Open Network Model of E-commerce like ONDC in collaboration with various Ministries/Departments/Financial Institutions is also engaging in various initiatives to promote business in rural areas:

- i. The  Ministry  of  Electronics  and  Information  Technology's  network  of Common Services  Centers  (CSCs)  is  being  utilised  to  connect  every village  in  India  to  the  national  digital  market  through  ONDC. With  their network of 4 Lakh+ Village Level Entrepreneurs (VLEs) - CSC through ONDC  is  unlocking  Assisted  e-Commerce  across  rural  India.  This integration  allows  rural  citizens  to  access  a  vast  e-commerce  network, thereby boosting entrepreneurship opportunities and incomes for VLEs.
- ii. The Ministry of Agriculture is supporting Farmers Producers Organisation (FPOs)  and  making  it  easier  for  them  to  access  markets  nationwide through ONDC. More than 7000 FPOs have already been onboarded to ONDC- complaint applications, enabling them to sell their produce in 160+ cities across India supported with innovative joint digital  demand generation initiatives. This initiative provides farmers and FPO enterprises with digital empowerment and market access.
- iii. Prasar Bharati is working to bundle broadband services with Over the Top (OTT)  and  e-commerce  platforms  for  rural  India  riding  on  BharatNet infrastructure under the Universal Service Obligation fund (USOF) through ONDC.  This  includes  enabling  shopping  on  WAVES,  Prasar  Bharati's OTT platform,  integrated  with  ONDC's  digital  commerce  framework  to enable sale of products and services, bridging the digital divide for rural sellers.
4. (e): Open network model of E-Commerce like ONDC empowers gig workers, such as drivers and delivery partners, by ensuring better earnings and direct access to customers without high platform commissions. The result is that gig workers receive greater financial benefits, transparency, and autonomy in their work.

A key example is the Namma Yatri model, where ride-hailing services operate independently  on  ONDC,  allowing  drivers  to  retain  a  larger  share  of  their earnings.

Additionally,  initiatives  like  Yatri  Sathi-a  collaboration  between  the  West Bengal government and Namma Yatri as a TSP (Technology Service Provider) - demonstrate how state governments are leveraging ONDC's open ecosystem to support and empower drivers with fairer terms and improved livelihoods.

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