E-commerce marketplace Meesho has announced that it has made the platform inclusive for non-GST sellers, enabling them to start selling on the platform from October 1, 2023.
This move comes in response to the recent announcement made by the GST Council that allows e-commerce platforms to onboard non-GST sellers with a turnover of up to Rs 40 lakh, the company said in a statement.
“This move will potentially unlock 15-20 million sellers historically under-penetrated states for the company. Meesho also recognises the unique characteristics of non-GST sellers, such as their high motivation and locally relevant selection from categories such as fashion, consumer electronics and home & kitchen,” it said.
Based on industry insights, it has been observed that a staggering 1.2 million sellers drop out every year during the registration process due to GST requirements. This transformative move by the government will empower entrepreneurs and businesses from various sectors, geographical regions, and diverse product selections to join the digital commerce revolution, the company noted.
To support this transformation, Meesho is also developing new educational content tailored specifically for non-GST sellers. This educational material will be available on the Supplier Panel and YouTube, enabling non-GST sellers to adapt to the e-commerce landscape and scale their businesses rapidly.
“In a remarkable step towards fostering an inclusive and digitally empowered India, the government of India’s decision to eliminate mandatory GST registration for small businesses selling online is a watershed moment. It symbolises not only the government’s commitment to enabling economic growth but also its responsiveness to the aspirations of artisans, craftsmen, women entrepreneurs, and millions of SMEs across the country,” Vidit Aatrey, Co-founder and CEO, Meesho, said.
Commenting on the development, Ashish Aggarwal, Vice President and Head of Public Policy at NASSCOM said, “The government’s decision, to allow small businesses to sell online without having to register under GST, will unlock immense potential for businesses in underserved regions, driving economic growth and job creation. Readiness by e-commerce platforms to foster inclusivity within the e-commerce landscape by onboarding non-GST sellers will facilitate economic inclusivity and also contribute to the broader vision of Digital India.”
