India Tightens E-Commerce Rules on Search Rankings, Discounts, Dark Patterns and Sponsored Listings

India has tightened its e-commerce regulations with a new set of rules aimed at improving transparency in online shopping, curbing misleading practices and strengthening consumer grievance redressal.

The Department of Consumer Affairs has amended the Consumer Protection (E-Commerce) Rules, 2020 through the Consumer Protection (E-Commerce) (Amendment) Rules, 2026.

The new framework will come into force on January 1, 2027.

The amendments cover several areas that have become increasingly important in digital commerce, including search-result manipulation, sponsored listings, discount pricing, dark patterns, seller disclosures, use of consumer information and bundled fees.

Search Results Cannot Be Manipulated to Mislead Users

One of the most significant changes concerns how products are displayed in search results.

E-commerce platforms will not be allowed to manipulate search rankings in a way that misleads users or reduces the relevance of results to the consumer’s search query.

The provision is intended to make it harder for platforms to distort search results in favour of particular sellers or products without a legitimate basis.

At the same time, advertisements and paid placements will have to be clearly distinguished from ordinary search results.

Sponsored Listings Must Be Clearly Identified

The amended rules require e-commerce companies to make clear and prominent disclosures for sponsored listings.

This means consumers should be able to distinguish between products that appear because they are relevant to a search and those that are being promoted through paid placement.

The change is aimed at reducing ambiguity around advertising inside online marketplaces.

New Rules for Online Discounts

The government has also introduced a more precise standard for displaying price reductions.

Whenever a platform announces a discount, it will have to display both the reduced price and the prior price.

The prior price is defined as the lowest price at which the goods or services were offered during the 30 days before the discount was announced.

This provision is intended to curb artificial discounting practices in which prices are raised shortly before a sale and then presented as heavily discounted.

Annual Dark-Pattern Audit Becomes Mandatory

E-commerce companies will also face stronger obligations under India’s Guidelines for Prevention and Regulation of Dark Patterns, 2023.

Platforms will be required to conduct a yearly self-audit to assess compliance with the dark-pattern guidelines and prominently display a certificate confirming compliance.

Dark patterns refer to interface designs or online practices that manipulate users into making decisions they may not otherwise have taken.

These can include misleading prompts, forced actions, hidden charges or design choices that make it unnecessarily difficult to cancel a service or decline an offer.

Mandatory Integration With National Consumer Helpline

Every e-commerce entity will also be required to become a partner in the convergence process of the National Consumer Helpline.

The government says this will strengthen the integration of e-commerce platforms with India’s national grievance-redressal system.

The scale of the issue is significant.

During 2025, the National Consumer Helpline received 17,71,622 grievances, of which 5,11,196 — roughly 29% — were related to the e-commerce sector.

Under the amended rules, consumers will also have to be given a copy of the complaint as recorded by the platform’s grievance officer.

More Information on Sellers and Products

Marketplace platforms will have to provide consumers with more complete information before a purchase is made.

This includes details such as:

• best-before or use-before dates;
• return and refund conditions;
• warranty information;
• delivery details;
• payment conditions.

The objective is to ensure that consumers are able to make informed purchasing decisions before placing an order.

Tighter Rules on Use of Consumer Information

The amendments also place restrictions on how marketplace e-commerce companies can use consumer information.

Platforms will not be permitted to use such information for specified purposes without express and affirmative consent from the consumer.

The requirement strengthens the principle that consumers should actively agree to certain uses of their information rather than being assumed to have consented by default.

Bundled Fees Restricted

The new rules also address the practice of charging consumers for unrelated services through bundled fees.

Marketplace e-commerce entities will not be allowed to collect bundled charges for services unrelated to the e-commerce platform.

An exception has been provided for certain loyalty and membership programmes.

The provision is intended to make final prices more transparent and reduce charges that may otherwise be added without a clear connection to the main purchase.

Country of Origin and Importer Details Mandatory

For imported products, platforms will have to disclose both the country of origin and importer details.

This strengthens existing transparency requirements around imported goods and allows consumers to identify where products originate and who is responsible for bringing them into India.

Balancing Consumer Protection With Ease of Doing Business

The Department of Consumer Affairs said the amendments have been designed to strengthen consumer protection without creating unnecessary regulatory burdens for e-commerce companies.

The government has emphasised that the framework should support a transparent, accountable and consumer-centric digital marketplace while maintaining a level playing field for businesses.

The changes also reflect the way India’s online retail market has evolved since the original E-Commerce Rules were notified in 2020.

As platforms increasingly influence how consumers discover products, compare prices and make purchasing decisions, the government is placing greater emphasis on transparency not only at the point of sale but also in the algorithms, advertisements and interface design that shape the shopping experience.

The Consumer Protection (E-Commerce) (Amendment) Rules, 2026 will take effect from January 1, 2027, giving e-commerce companies time to modify their systems, disclosures and compliance processes before the new framework becomes mandatory.

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Reference

Press Information Bureau / Department of Consumer Affairs — September 10, 2026
Government amends E-Commerce Rules to strengthen consumer protection and promote transparency

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