BIS cracks down on e-commerce warehouses owned by American companies amid US-India trade talks

March 27, 2025

New Delhi: The Bureau of Indian Standards (BIS) has intensified its crackdown on substandard products sold by e-commerce platforms, conducting major raids at warehouses linked to Amazon and Flipkart in Delhi.

In a search-and-seize operation at Amazon Sellers Pvt. Ltd’s facility in Mohan Cooperative Industrial Area on 19 March, BIS officials confiscated over 3,500 products, including water geysers, food mixers and electrical appliances, for either lacking the mandatory ISI mark or carrying fake labels, as per a consumer affairs ministry release.

This is the second such raid conducted by the BIS on Amazon and Flipkart in March. The first was on 7 March. The estimated value of goods seized in the 19 March raidsstands at around ₹70 lakh, as per the ministry.

Also read | BIS cracks down on e-commerce platforms like Amazon and Flipkart

A separate raidon 19 Marchat Instakart Services Pvt. Ltd, a Flipkart subsidiary in Tri Nagar, led to the seizure of around 590 pairs of sports footwear, valued at about ₹6 lakh. These came without the required ISI mark and date of manufacture, as per the consumer affairs ministry release.

The crackdown comes at a time when a high-level US delegation is in India for talks on a proposed bilateral trade agreement (BTA). With trade negotiations gaining momentum, India’s emphasis on enforcing quality control measures signals a push to strengthen consumer protections and align its regulatory framework with global standards.

Both Amazon and Flipkart are owned by American parent companies.

Over the past month, the BIS has carried out similar operations in Delhi, Gurgaon, Faridabad, Lucknow and Sriperumbudur, targeting non-compliant products that violate India’s mandatory certification norms, the ministry said.

Also read | Trade talks: US demands level playing field in e-commerce, India resists

In response to online platforms asserting that they operate only as marketplaces and not as inventory holders, a senior ministry official stated that being a marketplace does not exempt platforms from responsibility for selling substandard products. The official emphasized that they must comply with government rules and regulations, and the recent raids were conducted strictly within the purview of these regulations.

With 769 products under compulsory certification, the regulator has warned that the manufacture, import, distribution, sale or storage of these goods without a valid BIS licence or certificate of compliance is strictly prohibited, the ministry said.

Violators face penalties under the BIS Act, 2016, including imprisonment, fines, or both.

During the earlier raids, the products under scrutiny included domestic pressure cookers, handheld blenders, food mixers, electric irons, room heaters, PVC cables, gas stoves, toys, two-wheeler helmets, switches, sockets and aluminum foil used for food packaging.

Also read | India may reconsider e-commerce regulations in a post Trump world

In the raids conducted on 7 March at a Flipkart warehouse in Gurugram, authorities confiscated 534 uncertified stainless-steel vacuum-insulated bottles, 134 toys and 41 speakers.

An Amazon India spokesperson said, “Amazon operates a marketplace in India. We require sellers who list and sell products on Amazon to comply with applicable laws, regulations, and Amazon policies. Upon being notified of any non-compliance, we take appropriate action. We are engaged closely with various stakeholders, including regulators, to provide customers with a great shopping experience.”

Queries have been sent to spokespersons for Flipkart, and a response is awaited.

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