After being banned in India for nearly five years, the Chinese application Shein has now returned to the Indian market. This return is attributed to the collaboration with Asia's richest man, Indian billionaire Mukesh Ambani, and his Reliance Industries, which helps alleviate previous concerns about data security.
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03-04, 2025In less than two weeks since the app's quiet re-release, it has surpassed 100,000 downloads on Google Play and ranked ninth in the shopping category on the Apple App Store. This article will review the background of Shein's ban in India, as well as the views of consumers and business owners in India and Australia regarding its return.
Why was the Shein application banned in India? Primarily due to concerns about data security. Furthermore, the ban was part of a broader crackdown by the Indian government on a range of Chinese applications, including TikTok, WeChat, and Weibo. The ban occurred after a deadly clash in 2020 in the disputed eastern Ladakh region of the Himalayas between the two countries' borders. As tensions with China escalated, the Indian Ministry of Technology issued an order banning 59 primarily Chinese applications, citing that they were "prejudicial to the sovereignty and integrity of India, the defense of India, national security, and public order."
What are the terms of Shein's return to India? According to a statement made by the Indian government to parliament, the return comes with strict conditions, granting Reliance Industries full control over its operations and data. The statement clarified that "the sale of Shein-branded products in India has not been prohibited," only the Shein application was banned. All e-commerce operations, logistics, and marketing will be the responsibility of Reliance Industries, while Shein will act as a design and brand partner. Currently, Shein only offers delivery services to Delhi, Mumbai, and Bangalore, but plans to expand its reach. All customer and application data will be "hosted on Indian infrastructure," the statement read. "Personal and non-personal data generated from the platform's operations, including all data collected from Indian customers, will remain in India, and Shein will not have access to it."
Perhaps the most important term of the partnership is that Shein's products will now be manufactured by Indian manufacturers, rather than being imported from China. The fashion retailer partners with approximately 5,400 third-party manufacturers, primarily located in China, and adjusts its production based on customers' favorite products. The Indian government believes that this change will have a positive impact on India's textile industry and employment opportunities. "It is expected that this will help the development of India's textile manufacturing industry, including local handicrafts, and create a large number of employment opportunities," the statement read. For Indian university student Rewa Goswami, Shein's return to India is also a good thing. Goswami said that she "missed shopping on it" during the years the application was banned. "They are very quick to catch up on trends, and the prices are always affordable," she told the Australian Broadcasting Corporation. "In my opinion, nothing has really filled the void left by Shein. A lot of companies have tried, but obviously nothing can compete with the giant that is Shein. Whether it's lifestyle, beauty, or fashion, trends will be more accessible than before, and I definitely support that." However, Goswami is also cautious about the quality of Shein's products. "I've always been picky when shopping on Shein. I'd rather spend a little more money on good quality fabric."
"Anyone responsible would sound the alarm." Shein is not without controversy. Issues such as unsafe workplaces, child labor, harmful environmental impacts, and a lack of transparency in the supply chain have led to a series of lawsuits. In 2022, Shein released its first sustainability and social impact report in response to these complaints. The report showed that among the 700 suppliers audited, 83% had at least one significant risk, 12% had significant violations that threatened closure, and nearly one-third of suppliers were not prepared for fire safety. The use of child labor was found in less than 1% of suppliers. Shein and Reliance Industries did not respond to the Australian Broadcasting Corporation's request for comment. Some sustainability experts have expressed concern about the fast fashion giant's return to India, including Dr. Sanyat Islam, Senior Lecturer in Fashion Enterprise and Sustainable Innovation at RMIT University. "This will only be economically beneficial for India," Dr. Islam told the Australian Broadcasting Corporation. "My question is: Will this lead to Indians consuming more? I mean, consuming more waste." Dr. Islam said that "anyone responsible would sound the alarm about Shein's return to India." "On the Shein India app, clothes can be bought for just 200 rupees ($3.66)," he said. "That's what leads to overconsumption." Dr. Islam stated that "all brands that have certification and source responsibly have a price tag." But Shein does not. "That's because they may not be sourcing products responsibly, or they may not be doing things the right way. There is no accountability in terms of what is being made, who is making it, and where it is being made."
Won't last "nearly as long." Australian business owners operating in India have also expressed the same concerns as Dr. Islam. Priya Ravindra is the founder and CEO of Punar, an award-winning startup that sells ethically sourced luxury gifts and fashion textiles, all handmade in India. "Every artisan at Punar enjoys equal wages, leave, insurance, fixed working hours, and mandatory breaks," she told the Australian Broadcasting Corporation. "I am not funded by the government, nor am I funded by investors. I am putting my time, money, and energy into something that is bigger than me." When you purchase an item from Punar, Ms. Ravindra includes a card telling you how many jobs have been created and how much waste has been diverted from landfills. "That's the transparency we bring, and you won't find the same transparency in Shein, Temu, or many large luxury brands." This is why Ms. Ravindra is disappointed to see Shein return to India. "Their products won't last as long as organically or sustainably manufactured products."
"Transparent and sustainable – that's how brands should operate." Huda Cadekiwala, an Australian Pakistani, is following in Ms. Ravindra's footsteps, and she is about to launch her own brand, Qaim Collective. Cadekiwala and her team manufacture in India, using upcycled textiles, re-making them into modern garments. "The whole process isn't cheap. But it is transparent and sustainable – that's how brands should operate," she told the Australian Broadcasting Corporation. The Melbourne-born designer said she is "very concerned" about Shein's return to India. "Their clothes are cheap and trendy, which is very attractive to young people like university students with limited budgets," she said. "But they don't see that these clothes will eventually generate a lot of waste and landfills." Ms. Cadekiwala said she witnessed this firsthand while traveling in India. "I saw piles of fabric and clothes on the side of the road, and I thought, 'I can't contribute to this anymore.'" Both Ms. Cadekiwala and Ms. Ravindra believe that Shein's return to India marks the time to "educate and raise awareness about sustainability." "Please do your research, support local and independent brands," Ms. Ravindra said. "You can absolutely purchase products without throwing them back at the earth."
