New Delhi - The Commerce and Industry Ministry has circulated a proposal seeking comments from various central government departments on allowing foreign direct investment (FDI) in the inventory-based model of e-commerce, but only for export activities, media reported citing an official.

The proposal, initiated by the Directorate General of Foreign Trade (DGFT), aims to boost India’s exports through the ecommerce route without affecting domestic retailers. The Department for Promotion of Industry and Internal Trade (DPIIT) is examining the proposal.

Currently, India’s FDI policy prohibits overseas investment in the inventory-based e-commerce . . .