How Shein, Once Banned in India, Is Planning a Comeback with Reliance Retail 

Shein is all set to come back to India. This time, the Chinese fast fashion company will be reintroduced by Reliance Retail. This was first reported by The Economic Times.  

Shein clothes will soon be available on Reliance Retail outlets and its app adds the report. Speaking to the Economic Times, an executive said, “Shein is expected to be paid a licence fee as a share of profit of the Indian company, and any payment to Shein will only be made out of profits of the Indian company.” The agreement reportedly says that the Chinese fast fashion company will do manufacturing in India and will also store customer data locally.  

Additionally, based on the percentage of profit, the company will earn a license fee, adds the report. Former Meta director Manish Chopra will be reportedly roped in to head the Shein operations in the country. 

Shein is always famous for its affordable fashion. Now, the company will face competition from the likes of Zudio and Myntra. The company is returning to India after a gap of four years. Speaking to the Economic Times, an executive had said, "Shein wants to reduce dependence on China...The partnership with Reliance will help Shein scale up sourcing from India.” 

Shein was banned in India in 2020 as part of the efforts by the government to come down heavily on Chinese apps. During that time, along with the fast fashion brand, the government banned 58 other apps. Fowling the ban, Shein had said that it was in the process of “preparation and submission of relevant documents required by Indian Government to comply with the new policies". Shein’s India entry is coming at a time when the company is facing heat in the USA and Europe. In the USA, there are allegations that Shein uses import tax exemption to undercut rivals and escape customs checks of their products.