The Indian government's Open Network Digital Commerce (ONDC) platform is all set for launch next month. ONDC is currently holding pilot programmes in 21 cities and is engaging with industry associations, restaurant associations, and venture capitalists to get more companies onto the network.

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Efforts are underway to ensure a level playing field with a strong grievance redressal system compared to other existing players, government sources told CNBC-TV18.

Also read: Explained: What is ONDC and how it will take on Amazon, Flipkart

Intending to boost hyperlocal e-commerce, the government has laid down protocols for search results, cataloguing, and plugging onto ONDC architecture. The network will recognise sellers by a unique identity like a PAN number which will bar blacklisted sellers from using the platform.

Companies and sellers on the platform wouldn't have to pay high commissions anymore, compared to several intermediaries which charge commissions as high as 30 percent as of now, the sources added.

Petpooja, an app linked to both Swiggy and Zomato, is already working with GrowthFalcons on ONDC; and so is e-commerce player Snapdeal. Even as demonstrations on restaurant orders have already started taking place, the government intends to provide full customer details to onboarded restaurants and aims to make 30 percent commissions by intermediaries a thing of the past by instituting a "democratic" marketplace.

Also read: Explained: What is ONDC project and how will it curb digital monopolies?

The initiative aims to make open networks for e-commerce attractive to the extent of making customers treat it as a basic standard while buying from the online market.

What is ONDC?

ONDC is an open-source network, which will help local commerce across segments, such as mobility, grocery, food order, delivery, hotel booking, and travel, to reach and engage more people through a network-enabled application.

Apart from enhancing the value and experience of consumers, this initiative of the Department for Promotion of Industry and Internal Trade (DPIIT) seeks to digitise the entire value chain, standardise operations and promote the inclusion of suppliers.

Also read: Snapdeal will go live on ONDC platform next month, to cover over 2500 cities and towns

(Edited by : Nishtha Pandey)

First Published:Jul 25, 2022 4:23 PM IST