E-commerce entities in the UAE are set to intensify their scrutiny of products offered on their platforms, particularly those from third-party vendors, to guarantee their safety, authenticity, and suitability for consumers in the Emirates.
This initiative was announced following the signing of the Compliance Pledge by 11 prominent e-commerce firms in the UAE with the Ministry of Industry and Advanced Technology (MoIAT) on Monday. Signatories included Amazon, Noon, Sharaf DG, Eros, Nikai, Samsung, and others. Nilesh Khalkho, CEO of Sharaf DG, emphasized the implementation of stringent measures to ensure only legitimate third-party sellers are allowed on their platform. He noted that e-commerce platforms not only sell through authorized distributors but also through third-party sellers, who must ensure their products are authorized and safe.
Khalkho further explained that Sharaf DG will now demand Esma certificates for listed products and will rigorously verify products at their fulfillment centers before dispatch to consumers. He highlighted that about 50% of Sharaf DG's online sales are from third-party sellers, for whom they conduct thorough product screening, ensuring they possess a trade license, distributor authorization, and correct sourcing. He advised consumers to be cautious about product origins and authenticity, rather than just focusing on price.
The UAE's e-commerce sector has seen substantial growth, reaching $5 billion this year and is forecasted to hit $9 billion by 2026. Omar Ahmed Suwaina Al Suwaidi, Undersecretary of MoIAT, underscored the importance of operators ensuring product safety and compliance with regulations. He noted that this voluntary pledge enhances consumer confidence in online product quality and safety.
Paras Shahdadpuri, Chairman of Nikai Group of Companies, believes the Compliance Pledge will enhance the reliability and trustworthiness of UAE's e-commerce platforms, encouraging consumers to shop with increased confidence. He emphasized the pledge's aim to ensure online products are safe, reliable, and original, and that it will promote self-regulation among e-commerce platforms.
