New Delhi, Dec 6 (KNN) In a bid to assure that e-commerce companies follow and function according to the norms, the government has made it mandatory for e-commerce companies like Amazon and Flipkart to submit FDI policy compliance report by statutory auditor by September 30 every year.

As per the government notification issued on Thursday, e-commerce companies have to obtain statutory auditor report by September-end for the preceding financial year.

"Against Sl. No. 15.2.3, for entry (p), the following entry shall be substituted, namely-(p) e-commerce marketplace entity with FDI shall have to obtain and maintain a report of statutory auditor by 30th of September every year for the preceding financial year confirming compliance of the e-commerce guidelines," the gazatte notification said.

Trader bodies have been raising concern over violation of foreign direct investment (FDI) norms.

Meanwhile, the Confederation of All India Traders (CAIT) wrote a letter to Commerce and Industry Minister Piyush Goyal and lauded the step taken by the government.

''We highly appreciate the steps taken by you so far to streamline the e commerce business in the Country but the predatory pricing and deep discounting is still continuing which is a major concern and resulting into mass scale of closure of shops across Country,'' said in a letter to Goyal on Friday. 

CAIT further requested the government to set up “Price Monitoring Committee “ consisting of senior officials and representatives of stakeholders to monitor the prevailing prices on e-commerce and inform the Government  about the disparities and anomalies to enable the Government to regulate the prices and the fundamentals of FDI policy can be made followed by one and all and the intent of the Government to ensure sustainable & fair growth of e commerce in India could be achieved.

The CAIT has often complained about predatory pricing and discounts, along with other violations of the FDI policy, particularly during festive season.

Commerce and Industry Minister Piyush Goyal had warned e-commerce companies of strict action if they do not halt predatory pricing on their platforms, flouting FDI rules.