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I don't think this bill will quite do what you think it will.
I'm guessing that a more likely interpretation is that India has certain additional laws in place that prevent foreign companies from importing content without having a local distributor. So yes, you could purchase an ebook directly from the source -- but only if they are willing to sell it to you.
However, Amazon is under no obligation to sell you any content, no matter where you live. If my understanding is correct, they cannot bar you as a customer on racial, ethnic, religious or gender grounds, but other criteria is fair game.
So this law does remove a critical barrier, and that's a good thing. But if the seller still does not want to provide you with the goods in question, you will still be limited in what you can purchase. As such, I expect you will continue to see lots of geo restrictions until the various contractual obligations are sorted out.
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