{"id":29219,"date":"2026-08-05T05:43:30","date_gmt":"2026-08-05T05:43:30","guid":{"rendered":"https:\/\/www.faceinews.com\/?p=29219"},"modified":"2026-08-05T05:55:59","modified_gmt":"2026-08-05T05:55:59","slug":"frai-tamil-nadu-chapter-warns-against-growing-illicit-trade-and-market-distortion-in-indias-online-retail-ecosystem","status":"publish","type":"post","link":"https:\/\/www.faceinews.com\/?p=29219","title":{"rendered":"FRAI Tamil Nadu Chapter Warns Against Growing Illicit Trade and Market Distortion in India&#8217;s Online Retail Ecosystem"},"content":{"rendered":"<p>`https:\/\/youtu.be\/Vl26V6kOclc?si=8M5YULJOqmlDCPTy<\/p>\n<p>FRAI Tamil Nadu Chapter Warns Against Growing Illicit Trade and Market Distortion in India&#8217;s Online Retail Ecosystem<\/p>\n<p><a href=\"https:\/\/www.faceinews.com\/wp-content\/uploads\/2017\/11\/Faceinews-Logo-Copy.png\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-7654\" src=\"https:\/\/www.faceinews.com\/wp-content\/uploads\/2017\/11\/Faceinews-Logo-Copy.png\" alt=\"\" width=\"173\" height=\"43\" \/><\/a><\/p>\n<p>Retailers Emphasise Robust Enforcement and Fair Market Practices to Protect Consumers and Safeguard Millions of Small Retailers<\/p>\n<p><a href=\"https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0018.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-medium wp-image-29220\" src=\"https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0018-300x169.jpg\" alt=\"\" width=\"300\" height=\"169\" srcset=\"https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0018-300x169.jpg 300w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0018-1024x576.jpg 1024w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0018-768x432.jpg 768w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0018-642x362.jpg 642w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0018-128x72.jpg 128w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0018.jpg 1280w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n<p>Chennai, 04 August 2026: Federation of Retailers Association of India (FRAI) Tamil Nadu State Chapter organised a seminar on \u201cConfronting Illicit Trade in Modern Markets\u201d in Chennai today, where retailers, trader associations and policymakers came together to deliberate on two rapidly growing threats impacting India\u2019s retail ecosystem \u2014 the alarming rise of illicit trade and the increasing prevalence of unfair market practices. Participants expressed serious concern over the growing circulation of counterfeit products, illegal distribution channels and non-compliant goods across markets, while also highlighting how predatory pricing, deep discounting and unchecked expansion of certain quick commerce and e-commerce models are creating severe imbalances for small retailers and traditional businesses.<\/p>\n<p><a href=\"https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0019.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-medium wp-image-29221\" src=\"https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0019-300x145.jpg\" alt=\"\" width=\"300\" height=\"145\" srcset=\"https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0019-300x145.jpg 300w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0019-1024x493.jpg 1024w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0019-768x370.jpg 768w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0019-1536x740.jpg 1536w, https:\/\/www.faceinews.com\/wp-content\/uploads\/2026\/08\/IMG-20260805-WA0019.jpg 1600w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n<p>The seminar highlighted that both illicit trade and unfair market practices are adversely affecting genuine businesses, government revenues, consumer trust and the livelihoods of lakhs of small traders across the state.<\/p>\n<p>&nbsp;<\/p>\n<p>The seminar was graced by. Thiru M.L. Vijayprabu, Hon&#8217;ble MLA, Madhavaram; Thiru M. Harish, Hon&#8217;ble MLA, Alandur; Thiru I. Rajapal, Assistant Commissioner of Police; Thiru S. Vasantha Raj, Inspector, Puzhal; Thiru Mesmur Kanthan Vellaiyan, Secretary, Tamil Nadu Vanigar Sangam; and Thiru R. Dillibabu, Advocate, High Court of Madras, S. Madhan Kumar<\/p>\n<p>Alandur South Secretary<\/p>\n<p>TVK attended the seminar as Guests of Honour.<\/p>\n<p>&nbsp;<\/p>\n<p>Addressing the gathering, C. Chelladurai, President, FRAI Tamil Nadu Chapter, said, &#8220;Illicit trade is no longer merely a commercial issue; it has become a serious threat to consumer safety, fair competition and the livelihoods of millions of honest retailers. Counterfeit and illegally sourced products not only expose consumers to substandard and unsafe goods but also undermine the credibility of legitimate businesses that operate within the law. The FRAI Tamil Nadu Chapter remains committed to working closely with the government, law enforcement agencies and industry stakeholders to strengthen enforcement, raise consumer awareness and build a transparent retail ecosystem where genuine businesses can thrive.&#8221;<\/p>\n<p>&nbsp;<\/p>\n<p>Retailers further highlighted that while quick commerce and e-commerce platforms are rapidly transforming the retail landscape and making products instantly accessible to consumers, the same ecosystem is also creating serious concerns around the rapid spread of illicit trade and counterfeit products. Participants stated that flash sales, unrealistic discounting, aggressive pricing strategies and the constant push for ultra-fast delivery have created an environment where consumers are often unable to differentiate between genuine and counterfeit products.<\/p>\n<p>&nbsp;<\/p>\n<p>The participants pointed out that today almost everything \u2014 from food products, groceries and personal care items to skincare products, electronics and even premium mobile phones worth thousands of rupees \u2014 is being delivered within minutes through quick commerce and e-commerce platforms. However, this extreme accessibility and race for cheaper prices are also opening dangerous entry points for banned, illegal and counterfeit products to penetrate the market at an unprecedented scale.<\/p>\n<p>&nbsp;<\/p>\n<p>According to the retailers, illicit traders and unethical sellers are increasingly exploiting these rapidly expanding digital platforms to push counterfeit and non-compliant products into the market, taking advantage of weak monitoring mechanisms and the growing consumer obsession with deep discounts and instant availability. Retailers warned that consumers are gradually becoming more price-sensitive than quality-conscious, creating fertile ground for illicit trade to flourish unchecked across digital commerce channels.<\/p>\n<p>&nbsp;<\/p>\n<p>The participants also stated that while the rapid rise of such platforms is adversely impacting consumers through the circulation of low-quality and potentially unsafe products, it is equally devastating for genuine offline retailers who spend years building trust, ensuring product authenticity and serving their local communities with accountability. Retailers emphasised that unfair market practices, uneven competition and aggressive pricing structures are making it increasingly difficult for traditional traders to survive despite working tirelessly for 14 to 18 hours every day to sustain their businesses, educate their children and support their families. Participants stressed that this is no longer merely a business issue, but a serious social and livelihood concern affecting millions of honest small retailers across the country.<\/p>\n<p>&nbsp;<\/p>\n<p>During the seminar, participants highlighted that the rapid expansion of platform-driven retail models and the growing circulation of counterfeit and non-compliant products are creating serious challenges for traditional businesses. Retailers stated that while small traders operate with limited margins and high accountability, several large platforms continue to dominate markets through aggressive discounting and rapid expansion strategies. The participants also warned that illicit trade and counterfeit goods are harming genuine businesses, weakening consumer trust and adversely affecting the livelihoods of millions of small retailers across the country. While acknowledging the importance of technology and innovation, they stressed that growth in the retail sector must remain fair, transparent and inclusive.<\/p>\n<p>&nbsp;<\/p>\n<p>The Association is a body of over 3 lakh micro, small and medium retailers from across Tamil Nadu. It also represents the livelihoods of over 15 lakh poorest of the poor retailers and their families and is known for consistently raising issues concerning their lives and livelihoods.<\/p>\n<p>&nbsp;<\/p>\n<p>The participants collectively called for stronger regulatory oversight, fair competition policies and a level playing field for small retailers. They also urged policymakers to ensure measures that ensure complete eradication of illicit and illegal products in the online retail ecosystem<\/p>\n<p>&nbsp;<\/p>\n<p>The seminar concluded with a collective appeal to the government, policymakers and industry stakeholders to protect the interests of small retailers and preserve India\u2019s traditional entrepreneurial ecosystem, which continues to play a critical role in employment generation, local commerce and economic stability.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>`https:\/\/youtu.be\/Vl26V6kOclc?si=8M5YULJOqmlDCPTy FRAI Tamil Nadu Chapter Warns Against Growing Illicit Trade and Market Distortion in India&#8217;s Online Retail Ecosystem Retailers Emphasise Robust Enforcement and Fair Market Practices to Protect Consumers and Safeguard Millions of Small Retailers Chennai, 04 August 2026: Federation of Retailers Association of India (FRAI) Tamil Nadu State Chapter organised a seminar on \u201cConfronting [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":29220,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[32,29,10,30,11,27,28],"tags":[],"class_list":["post-29219","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-classifieds","category-corporate","category-finance","category-new-hopes","category-news","category-value-added-services"],"_links":{"self":[{"href":"https:\/\/www.faceinews.com\/index.php?rest_route=\/wp\/v2\/posts\/29219","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.faceinews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.faceinews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.faceinews.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.faceinews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=29219"}],"version-history":[{"count":2,"href":"https:\/\/www.faceinews.com\/index.php?rest_route=\/wp\/v2\/posts\/29219\/revisions"}],"predecessor-version":[{"id":29223,"href":"https:\/\/www.faceinews.com\/index.php?rest_route=\/wp\/v2\/posts\/29219\/revisions\/29223"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.faceinews.com\/index.php?rest_route=\/wp\/v2\/media\/29220"}],"wp:attachment":[{"href":"https:\/\/www.faceinews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=29219"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.faceinews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=29219"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.faceinews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=29219"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}