India’s e-commerce market is experiencing unprecedented growth and is projected to exceed $350 billion by 2030, making it the fastest-growing retail e-commerce market globally. With a massive and increasingly digital consumer base, India offers immense potential for foreign companies looking to expand internationally through online channels.

For foreign firms—especially mid-sized companies aiming to scale without the complexities of a full physical presence—e-commerce provides a strategic pathway to enter and test the Indian market. It allows for cost-effective entry, rapid brand exposure, and direct access to a diverse customer base across geographies.

However, entering India’s e-commerce space involves more than just launching a website or listing products online. Foreign entities must navigate specific regulatory restrictions and compliance requirements, particularly around ownership structures, inventory models, and local operations. Understanding these rules is essential to avoid legal and operational setbacks.