E-commerce rules tightened, fake discounts targeted from 2027

New consumer protection rules for e-commerce platforms will take effect on 1 January 2027. The consumer affairs department has amended the Consumer Protection (E-Commerce) Rules, 2020, to make online shopping more transparent…

New consumer protection rules for e-commerce platforms will take effect on 1 January 2027. The consumer affairs department has amended the Consumer Protection (E-Commerce) Rules, 2020, to make online shopping more transparent and safeguard buyer interests.

E-commerce rules tightened, fake discounts targeted from 2027

Platforms must now show the lowest price of a product in the last 30 days alongside the discounted price. Search results cannot be manipulated to favour costlier or own-brand items, and paid or sponsored listings must be clearly labelled. The rules also ban dark patterns such as fake urgency and subscription traps, and prohibit platforms from bundling unrelated fees at checkout.

Sellers must provide details including best-before date, return and warranty policies, payment terms, and import origin. Customer data cannot be used without consent. Companies must share complaint copies with customers and connect to the National Consumer Helpline convergence system. All platforms must conduct a self-audit annually and display a compliance certificate.

Indian Opinion Analysis

The rules close a long-standing gap: the 2020 framework required transparency but lacked teeth on how discounts were calculated and how search results were ranked. The 30-day price reference is borrowed from global practices such as the EU's Omnibus Directive, which took effect in 2023. The self-audit and compliance certificate requirement shifts some enforcement burden onto companies, though the department has not specified penalties for violations yet. The next signal to watch is whether the rules are notified in the gazette before implementation, and whether platforms begin displaying the 30-day price history voluntarily ahead of the 2027 deadline.


Source: bazaar.businesstoday.in

This brief was synthesised by AI from the source linked above.

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