Alphabet Inc's Google is in talks with the Indian government to integrate its shopping services with the country's open e-commerce network ONDC, two sources familiar with the matter told Reuters.
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Late last month India soft-launched its Open Network for Digital Commerce (ONDC) as the government tries to end the dominance of U.S. companies Amazon.com and Walmart in the fast-growing e-commerce market.
The government estimates the Indian e-commerce market was worth more than $55 billion in gross merchandise value in 2021 and will grow to $350 billion by the end of this decade.
ONDC's chief executive, T. Koshy, told Reuters that Google was one among many companies it was in discussions over an association with the project.
Google's talks follow the success of its payments business because of the government's initiative for financial transactions, the Unified Payments Interface, said one of the sources, both of whom declined to be named as they were not authorised to discuss the matter with the media.
Google's existing shopping business works solely as an aggregator of listings online and doesn't carry out any order fulfilment like delivery, which the likes of Amazon do.
A Google spokesperson declined to comment on whether it was in talks with the government.
