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India notified FEMA rule allowing FDI-backed e-commerce inventory only for exports
2 Sept 2026
On 2026-09-02, the Department of Economic Affairs notified an amendment to the Foreign Exchange Management (Non-debt Instruments) Rules, 2019 allowing an e-commerce entity to operate an inventory-based model exclusively for exporting goods or products manufactured or produced in India, subject to Foreign Trade Policy 2023 and relevant FEMA export regulations. The notification keeps the restriction on inventory-based e-commerce retailing for domestic B2C sales in place.
Why it matters
This change allows FDI-backed e-commerce firms to hold and sell Indian-origin inventory for export, potentially easing scale-up of exports while maintaining the domestic inventory-model restriction.
Department of Economic Affairs, Ministry of Finance (India)