NEW DELHI, July 23, 2026 — India has relaxed foreign-investment rules to allow overseas-funded e-commerce companies to purchase goods directly from Indian sellers and export them to international customers.
Under the earlier framework, foreign-backed platforms generally operated as marketplaces connecting buyers with independent sellers. The new rules permit companies to take ownership of products when those goods are intended for export.
The change is considered particularly beneficial for Amazon, which had sought greater flexibility in building an India-based export operation. It could also help smaller manufacturers reach customers outside India through established logistics and digital-sales networks.
The revised framework does not provide the same freedom for inventory-led domestic retail, which remains politically sensitive because of concerns from small Indian shopkeepers.
Why it matters: The policy could increase Indian exports, attract logistics investment and expand international access for small and medium-sized businesses.
