Finance Minister Nirmala Sitharaman believes that the success of quick commerce startups can boost India’s global reputation as a hub for innovative solutions. She described quick commerce as a “one-of-a-kind innovation” unique to India.
Q-commerce are one of an innovation that only India has – FM
“India’s businesses, particularly the startups, especially the quick commerce for instance are truly one of a kind innovation that only India has,” she said in an event.
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Reportedly, Sitharaman urged startups in the segment to leverage their solutions internationally, positioning the country as a destination for modern and scalable innovations. However, she also acknowledged the challenges quick commerce platforms pose to traditional kirana stores. “… that’s not to say the brick-and-mortar retail is not doing fine, they are being challenged, I recognise that,” she said.
Meanwhile, she stressed the need for a balanced approach. “We need to handhold and support our brick-and-mortar retail. No doubt. But use this to brand India as a destination of innovative solutions to modern, urban needs. This will serve as an incentive to scale up internationally,” she added.
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AICPD alleges q-commerce violating competition laws
The quick commerce segment has seen rapid growth in popularity over the last few years. However, there have been demands to keep a check on the segment. The All India Consumer Products Distributors Federation alleged that quick commerce players are creating an uneven playing field. Veteran banker Uday Kotak said that quick commerce has succeeded only in India, posing a challenge to retailers.
Amidst the competition, companies are launching new features to stay ahead. Myntra is piloting a 30-minute to 2-hour delivery feature. Flipkart has launched its Flipkart Minutes product, offering 8-16 minute deliveries in select cities.
Further, Amazon India is also planning to launch a similar service early next year.
