The Modi government introduced UPI long ago as part of Digital India, but it is now working on another major project. To compete with all of the e-commerce enterprises, the government is now bringing its platform (Govt Ecommerce Platform). So, if you only buy things from Amazon or Flipkart, you will now have a government option. On Friday, the government started the Open Network for Digital Commerce (ONDC) pilot phase in five cities: Delhi NCR, Bengaluru, Bhopal, Shillong, and Coimbatore. The government thinks that this, like UPI, will be the first step toward revolution.
The pilot project has begun in these 5 cities:
ONDC is now available for selective consumers, sellers, and logistical providers. The goal is to add 150 retailers across Delhi NCR, Bengaluru, Bhopal, Shillong, and Coimbatore. The plan is aimed at limiting the dominance of two giant international e-commerce firms. These businesses dominate more than half of the country's e-commerce activity, restrict market access, favor a few merchants, and cut supplier margins.
They assure fast pace work:
ONDC is a set of standards that vendors, logistics providers, and payment gateways can follow voluntarily, according to Anil Agarwal, Additional Secretary, Department for Promotion of Industry and Internal Trade (DPIIT). Currently, ONDC is working with 80 companies, all of which are in various phases of integration. These businesses create apps for sellers, buyers, logistics, and payment processors.
The working pattern of ONDC:
The buyer and seller do not have to be on the same platform to use ONDC. At the same time, to conduct business on other platforms, the buyer and seller must be on the same platform. Businesses and customers will be able to transact utilizing any platform of their choice under this system. All platforms, including Amazon, Flipkart, Big Basket, Grofers, and Zomato, would be required to register with the Department for Promotion of Industry and Internal Trade (DPIIT)and QCI portal.