The sector was recently invited to submit plans to establish e-commerce export hubs (ECEH) for review, assistance, and handholding by India's Directorate General of Foreign Trade (DGFT).

These designated regions would serve as hubs for advantageous business infrastructure and facilities related to international e-commerce.

The objective is to provide e-commerce exporters with predictability and the fastest turnaround time feasible, facilitate e-commerce returns and rejections with an easy re-import, and consolidate different cross-border e-commerce stakeholders under one roof. Additional features that the hubs may offer include labeling, testing, repackaging, return processing, warehouse space, and customs clearance. Through these hubs, small producers will be able to sell to aggregators, who will locate markets for their products. Jewelry, clothing, and handicrafts are examples of export commodities with enormous e-commerce potential.

According to a DGFT trade notice, more information will be confirmed in light of the suggestions in order to enable smooth and quick export clearances, including software requirements for ECEH. According to the government, pilot ECEH launch plans have been developed, and on the basis of these draft modalities, the government would want to begin ECEH operations. In the most recent union budget, the government announced the creation of these centers with the goal of fostering exports via e-commerce in the context of public-private partnerships. Initially, 10 to 15 of these hubs are intended to be installed.

The draft modalities cover the following topics: moving products from the supplier's location to ECEH; pre-screening items; designing these hubs; and the customs clearing process after a customer is located. ECEH will consist of two physical parts: a fulfillment area where items will be packed, labeled, and stored following pre-screening and until a buyer is located; and a customs station where goods will be cleared and prepared for shipping following the customer's discovery. China currently exports $300 billion worth of e-commerce annually, whereas India only exports $5 billion.