NEW DELHI — India’s apex consumer rights regulator, the Central Consumer Protection Authority (CCPA), has imposed monetary penalties on major e-commerce platforms Amazon, Flipkart, and JioMart for facilitating the sale and promotion of an unregistered agrochemical substance marketed as “Cyclosinone Herbicide”.
The regulatory body fined Amazon Seller Services and Flipkart Internet 10 lakh rupees each, while Reliance Retail’s JioMart was slapped with a five lakh rupee penalty. In its directive issued on September 22, the watchdog instructed all three online marketplaces to immediately pull down listings and halt promotional campaigns for the product. The regulator noted that the chemical was being distributed without any statutory disclosure concerning its active ingredients or chemical composition.
The regulatory scrutiny was initiated following a complaint from the Crop Care Federation of India (CCFI), which was subsequently referred to the watchdog by the Union Ministry of Agriculture and Farmers Welfare. The ministry confirmed that the compound “Cyclosinone” does not appear anywhere in the Schedule to the Insecticides Act, 1968. Consequently, commercial distribution of the substance had entirely evaded mandatory toxicity assessments, bio-efficacy trials, and regulatory quality controls required by law.
In its specific finding against Amazon, the authority highlighted the extensive consumer exposure generated by the listing, citing records of 38,410 customer orders spanning 43,634 individual units, with aggregate transactions exceeding 96.42 lakh rupees. The regulator emphasised that the platforms failed to carry out fundamental, independent verification of the chemical’s statutory standing before hosting the commercial listings.
Rejecting the companies’ common defence that product liability rests solely on third-party marketplace vendors, the authority ruled that private merchant agreements cannot supersede legislative mandates meant to safeguard buyers. Invoking the Consumer Protection (E-Commerce) Rules, the regulator underscored that relying merely on vendor self-declarations amounts to gross negligence and exposes severe deficiencies in merchant onboarding and content moderation protocols.
Beyond the financial penalties, the three digital retailers have been ordered to conduct an internal compliance self-audit to identify and eliminate hazardous or unlawful inventory across their platforms, with comprehensive compliance reports due within 15 days