Saturday, February 21, 2026

New online trade directives further enhance consumer rights

Kathmandu, Feb. 19

The government has implemented a fresh directive to regulate the online trade (e-commerce) with enhanced provisions for consumer rights protection.

The Electronic Trade (E-commerce) Directives, 2082 issued by the Ministry of Industry, Commerce and Supplies (MoICS) on Tuesday has provisions for return and exchange of goods purchased online, protection of consumer rights and data privacy and confidentiality.

The Ministry has issued the new policy as mandated by the Electronic Trade (E-commerce) Act, 2081.

It said that the Directives were implemented to make trade conducted through electronic means transparent, secure, reliable, and consumer-friendly.

According to the Directives, consumers have the right to return or exchange goods if they are found to be defective, damaged, or do not match the description provided on the platform. The entrepreneur must facilitate the return or exchange process within the timeframe specified in their policy, which must comply with consumer protection laws.

Likewise, entrepreneurs are prohibited from engaging in unfair trade practices, including misleading advertisements or the sale of prohibited or counterfeit goods.

The Directives also has a provision that the entrepreneurs must establish a dedicated grievance handling mechanism to address consumer complaints effectively. Such complaints should be addressed within the timeframe specified by the Department of Commerce, Supplies and Consumer Protection.

Similarly, personal and financial information of consumers collected during transactions must be kept confidential and protected from unauthorised access. The Directives have restricted the concerned companies from using consumer data except for the purpose of completing the transaction or as permitted by the consumer. Selling or sharing consumer data with third parties without explicit consent is strictly prohibited.

This rule equally applies when accepting electronic payments, and the company must ensure the security and confidentiality of the consumer's financial data in accordance with prevailing banking and cyber security laws.

According to the Directives, the online traders must disclose the name and nature of goods, services or information, total price including applicable taxes, quantity, date of manufacturing and expiry, and name and address of manufacturer – or name of distributor in case of imported goods. Shipping or delivery charges and estimated timeframe for delivery and terms and conditions regarding the return, exchange or refund of the goods and services should be clearly specified.

The price of goods or services listed on the e-commerce platform must be clearly mentioned in Nepali rupees. If there are any discounts, offers, or loyalty schemes, they must be explicitly stated alongside the original price.

Similarly, the new policy has mandated that the entrepreneur or the delivery service provider shall be responsible for the safety of the goods until they are handed over to the consumer.

The Electronic Trade (E-commerce) Act, 2081 has also provisioned that if any purchased goods or services do not meet the buyer’s requirements, the buyer is entitled to return them to the concerned trader.

The trader is obliged to accept the returned goods or services without any conditions. Upon returning the goods or services, the buyer may, if they wish, obtain another item or service of equivalent value in exchange.

Under the Act, traders, sellers, intermediaries, and transporters would be punished, with imprisonment of 2-3 years or a fine between Rs. 300,00 to 500,000, if they violated the provisions of the Act.

The Act also prohibits traders from publishing advertisements for goods or services that mislead buyers or consumers regarding their actual features, method of use or other relevant details.

Published in The Rising Nepal daily on 20 February 2026.     

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