How will the network open for e-commerce work? – times of India

NEW DELHI: The government is trying to replicate the success of the UPI model as it makes Open network for digital commerce (ONDC), is expected to form a backbone on which sellers and logistics service providers can connect with buyers.
Positioned as a “network”, the idea enables consumers to log in and search for products or services to meet their needs. Based on their location, sellers will be listed with product details and price to enable buyers to choose, sources familiar with the plan told TOI.
The proposed ONDC will be linked to the payment gateway and the platform will also offer delivery and logistics service providers in case of specific requirements.

Government sources said a comprehensive framework of the model exists and the advisory group, which includes Infosys President Nandan Nilekani and national health authority Consultations are being held with CEO RS Sharma among others to create a strong platform.
An initial pilot involving auto-rickshaws and taxis has been conducted, where cabbies and three-wheeler operators were asked to register. Going forward, the focus is on plans grocery storeDelivery Service Provider and FMCG players for trial in Delhi, Bengaluru, Jaipur, Kochi and Varanasi. Sources said the plans are to make these pilots in the next six months.
Officials suggested that nothing like this has been tried in other parts of the world. The Center has been trying to launch a platform for B2B and B2C transactions for several months now. Sources said the government is trying to change the rules of the game as it believes that the current platform centric model requires buyers and sellers to be on the same platform, focusing the market on a handful of players, Sources said the vendors are also not in control. .
If the ONDC model works, it has emerged as a rival to Amazon and Flipkart, with officials expecting big private players to come on board, like the UPI boom.
“The case of ONDC is similar to that of e-mail, where the sender and recipient do not need to be on the same platform to exchange emails. Google, the other person can turn on Yahoo,” said a source.

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