Shein Returns to India After 5-Year Ban, Partnering with Reliance Retail
Chinese fashion giant Shein is back in India after being banned for five years, thanks to a new deal with Reliance Retail, owned by Indian billionaire Mukesh Ambani. According to the BBC, Shein was banned in 2020 along with other Chinese apps like TikTok due to concerns over data security and rising tensions between India and China. Now, Shein is making a comeback under strict rules, including storing all user data within India.
Reliance Retail has signed a long-term deal with Shein to sell products made in India on its platform. As reported by the BBC, Shein’s app was quietly relaunched in India on Friday night and has already been downloaded by over 10,000 people. The app offers trendy clothes starting at just 199 rupees ($2.30), making it a hit among budget-conscious shoppers.
For now, Shein is delivering only to Delhi, Mumbai, and Bengaluru, but it plans to expand across India soon. The BBC notes that Shein’s return is a big deal because it was one of the most popular fast-fashion brands in India before the ban. Its affordable prices and trendy designs had won over many Indian shoppers.
India’s Commerce Minister, Piyush Goyal, explained to the Indian parliament in December that Shein’s return comes with strict conditions. Reliance Retail will have full control over operations and data, while Shein will act as a technology partner. All customer data will stay in India, and Shein won’t have access to it.
The BBC highlights that this partnership is a rare exception to India’s ban on over 200 Chinese apps in the last five years. Apps like TikTok and PUBG were banned for allegedly mishandling user data. While PUBG made a comeback under a new name, Battlegrounds Mobile India (BGMI), TikTok remains banned.
Reliance Retail’s move to partner with Shein is part of a larger strategy to diversify its business. The company already sells international brands through its online platform, Ajio. Now, with Shein, it aims to boost India’s textile and garment exports by using the country as a global supply hub.
Shein’s return is expected to shake up India’s fast-fashion market, which saw local brands fill the gap after the ban. With its affordable prices and trendy designs, Shein could once again become a favorite among Indian shoppers.
Source: BBC
https://www.bbc.com/news/articles/cwypk49y8dxo