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Amazon pushes India to ease foreign investment rules

Business

Amazon is pushing the Indian government to ease foreign investment rules that currently stop it from buying products directly from local sellers for export.
On August 21, 2025, Amazon execs met with the Commerce Ministry, hoping to make it easier for Indian goods to reach global markets.

Potential benefits and concerns

If approved, Amazon could buy products straight from Indian sellers and ship them abroad—potentially making exports smoother.
The current restrictions have been a sore point in trade talks between India and the US.
But small retailer groups are worried this move could sideline them, since big e-commerce players often favor large sellers and offer deep discounts.
The government is being careful not to hurt local shops while weighing changes that could reshape India's online retail scene.