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Shayne must cede control of Indian data and field operations in order to re-enter India

TechBrunchBy TechBrunchDecember 17, 20242 Mins Read
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New government disclosures reveal how the apparel and accessories retailer secured rare merchandise, according to new government disclosures revealing how the apparel and accessories retailer secured rare items. It has to hand over management to its partner Reliance Retail and maintain fully local operations. Exception to India's ban on China-related apps.

India's Commerce Minister Piyush Goyal said in a parliamentary disclosure on Tuesday that Shein will operate purely as a technology partner and Reliance will maintain full ownership and control of the platform through its wholly-owned subsidiary, Reliance Retail Ventures Limited. Ta.

India's largest conglomerates Reliance and Shein confirmed last year that they had reached an agreement for the Chinese retailer to return to the world's most populous country.

The platform is subject to security audits by government-backed cybersecurity auditors, a level of oversight not typically required for retail partnerships.

The technology agreement between Reliance Retail and Singapore-based Shein calls for the e-commerce platform to be hosted on Indian infrastructure. All platform data, including personal and non-personal information, collected from customers in India must remain in India, and Shein has no access to or rights in such data. you can't.

The Commerce Department's response reveals for the first time how Shein was able to secure approval while hundreds of other China-related apps remain banned in India.

Since mid-2020, India has banned more than 300 China-related apps, including ByteDance's TikTok, Alibaba's UC Browser, and Xiaomi's Community and Video Calling, citing national security concerns. The Chinese government said India's ban on the app violated World Trade Organization guidelines and harmed “the legitimate rights and interests of Chinese companies.”

Minister Goyal said on Tuesday that the process to lift the ban on Shein included extensive government scrutiny and the Textiles Ministry had consulted both the IT Ministry and the Home Ministry before granting approval.

Through this agreement, local manufacturers and suppliers will produce Shein-branded products for both domestic and global markets, which the government expects will support India's textile manufacturing sector and jobs. There is.



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