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Amazon and one of its biggest sellers in India, Cloudtail, will end their relationship next year, both announced recently, following years of allegations from brick-and-mortar retailers that the seller received preferential treatment.
The decision comes after a media investigation in February based on Amazon documents showed the company had offered preferential treatment for years to a small group of sellers, including Cloudtail, and used them to bypass Indian laws.
A joint venture between Amazon and India's Catamaran that controlled Cloudtail was coming up for renewal on May 19, 2022, but the two sides said in a joint statement they had mutually decided not to extend it beyond that date, Indian media reported.
Amazon has denied offering preferential treatment to any seller, saying it complies with Indian laws.
In their joint statement, Amazon and Catamaran did not disclose the reason behind their decision.
Fibre2Fashion News Desk (DS)
Amazon and one of its Indian sellers, Cloudtail, will end their relationship, both have announced, following years of allegations that the seller received preferential treatment. The decision comes after a media investigation showed the company had offered preferential treatment for years to a small group of sellers and used them to bypass Indian laws.