MSME Industry Bodies Urge RBI for E-commerce Export Reforms

Ahmedabad, Mar 15 (KNN) Micro, Small, and Medium Enterprises (MSME) industry bodies have urged the Reserve Bank of India (RBI) to revise regulations governing e-commerce exports.

The request was made during a meeting with the central bank in Ahmedabad last week.

According to an industry source familiar with the discussions, MSME representatives highlighted challenges in the current system, which requires manual matching of shipping bills with inward remittances (IRMs).

The industry contends that this process is impractical for high-volume e-commerce exports, causing delays and inefficiencies.

To address this issue, MSME bodies have proposed the integration of an automated reconciliation system within the RBI’s Export Data Processing and Monitoring System (EDPMS).

They have suggested leveraging artificial intelligence (AI) algorithms to streamline the process, reducing the burden on exporters and improving efficiency.

The demand for regulatory reforms comes at a time when India’s e-commerce export sector is experiencing rapid growth. Many small and medium exporters rely on global marketplaces to reach international customers, but the existing regulatory framework has been a bottleneck.

Industry experts believe that an AI-driven reconciliation system would enhance transparency, reduce errors, and facilitate smoother transactions for MSME exporters.

The RBI has reportedly taken note of the concerns and is expected to evaluate the feasibility of implementing such changes.

The MSME sector is a crucial driver of India's economy, contributing significantly to employment and exports.

Stakeholders hope that the RBI will introduce necessary reforms to support the sector's expansion in global markets.

Further developments on this matter are awaited as discussions between industry representatives and the central bank continue.

(KNN Bureau)