India Internet E-Commerce FAQ

What are the most popular search engines in your country? How does a U.S. manufacturer submit sites to those search engines?

Google, Yahoo, and MSN are the most popular search engines in India. Indian mirror exists for each of these sites and are hosted in India. U.S. manufacturers can contact these search engines directly for submission.

Is it necessary to have the site in the local language for the website to be indexed?

It is not necessary, but is recommended. Google has already set up sites in local Indian languages, such as Hindi, Tamil, Bengali, Telugu and Marathi.

Is it necessary for the site to have the domain of the country? If so, is it possible for a U.S.-based site to obtain the local domain?

It is not necessary, but is recommended. Local domain registry is available online, on a first come first served basis through accredited registrars. For details visit: www.inregistry.in

Are there any popular online marketplaces or auctions, like amazon.com or ebay.com in the U.S.?

The most popular online marketplace is Bazee.com, which is an affiliate of eBay. Besides, there are popular consumer portals, such as sify.com, rediff.com, and indiatimes.com. For B2B transactions, there are sector specific portals too.

Can the exporter advertise its Internet site/product/service in pop up ads on the local ISP's networks? Are there any regulations on spam or privacy? Other e-commerce laws?

Yes, exporters can advertise its Internet site/product/service in pop up ads on the local ISP's. As of now, there is no regulation on spam or privacy, but is in the offering. The only law is the Information Technology ACT 2000, which is currently under review for enhancements. Current IT act can be found on: http://www.mit.gov.in/it-bill.asp

Are there restrictions on advertising (Are comparative ads allowed? Are there restrictions on ads targeting children? Is it permissible to use lotteries, competitions, contests, games or bets as part of a promotional offer?)

Advertising Standards Council of India (ASCI) is the industry's self-regulatory body. As of now, there are no restrictions pertaining to children. However, certain Indian states have disallowed online lotteries.

To what extent can a buyer in this market pay for an order over the Internet by use of a credit card or other Internet-based financing vehicle, such as Pay Pal?

Credit cards are acceptable, subject to merchant's affiliations, domestic as well as international.

Are Internet transactions recognized as legal sales contracts? Is there a digital signatures law that recognizes digital signatures?

Yes, Internet transactions are legal sales contracts. Information Technology Act 2000 has sections on digital signatures.

Would there be any undue Customs or related delays incurred on Internet-transacted sales?

It is possible for delays incurred on internet-transacted sales, especially for international sales.

Is there a national webseal or trustmark program in this market that increases consumer confidence? E.g., BBBOnline in the U.S.

As of now, there is no national webseal. However, VeriSign trusted web certificate is the de facto standard.

If disputes arise between seller and buyer, is there a timely and low cost dispute resolution mechanism available?

This would have to be dealt within the preview of the Contracts Act and other laws. However, jurisdiction issues may mar the progress, especially for trans-border transactions.

Can U.S. manufacturers participate in local government procurements via Internet based tenders? If so, how are these tenders publically advertised?

Most tenders are off-line. Some G2B procurement is via Internet based tenders.

Is there any additional advice you would give to U.S. exporters targeting this market through the Internet?

It is prudent for such exporters to tie-up with an Indian merchant and route the transaction so that they are within the national jurisdiction of India.