Nirmala Sitharaman has said that the success of quick commerce startups can boost India’s global reputation as a hub for innovative solutions
Sitharaman described quick commerce as a “one-of-a-kind innovation” unique to India
She urged the startups in the segment to leverage their solutions internationally
Finance minister Nirmala Sitharaman has said that the success of quick commerce startups can boost India’s global reputation as a hub for innovative solutions.
Speaking at an event, Sitharaman described quick commerce as a “one-of-a-kind innovation” unique to India.
She urged the startups in the segment to leverage their solutions internationally, positioning the country as a destination for modern and scalable innovations.
“India’s businesses, particularly the startups, especially the quick commerce for instance are truly one of a kind innovation that only India has,” the minister said.
However, she also acknowledged the challenges the quick commerce platforms pose to traditional kirana stores.
“… that’s not to say the brick-and-mortar retail is not doing fine, they are being challenged, I recognise that,” the FM said, stressing the need for a balanced approach.
“We need to handhold and support our brick-and-mortar retail. No doubt. But use this to brand India as a destination of innovative solutions to modern, urban needs. This will serve as an incentive to scale up internationally,” she added.
As the quick commerce segment has seen a rapid growth in popularity over the last few years, there have also been demands from various quarters to keep a check on the segment. For instance, the All India Consumer Products Distributors Federation (AICPDF) alleged that quick commerce players are creating an uneven playing field and called for a probe into Zepto, Zomato-owned Blinkit, and Swiggy Instamart for alleged predatory pricing.
Recently, veteran banker Uday Kotak said that quick commerce has succeeded only in India. Calling the success of the sector a sign of Indian innovation, he also said that it poses a challenge to retailers.
Amid all these, the competition in the quick commerce space continues to intensify. As the likes of Blinkit, Zepto, and Swiggy Instamart expand their catalogues, a number of other companies are also cutting their delivery time to keep up with them.
Earlier today, Inc42 reported that Myntra is piloting a new 30-minutes to 2-hours delivery feature, after piloting a similar 4-hour delivery feature.
Meanwhile, Flipkart has already launched its Flipkart Minutes product, under which the company is piloting 8-16 minute deliveries in select cities.
Similarly, Amazon India was said to be mulling to launch a similar service early next year.
