Amazon Inc is poised to significantly boost India's export market, targeting $5 billion in small-ticket sales this year, up from $3 billion in 2023. Through the Amazon Global Selling program, 150,000 Indian exporters are set to reach international consumers directly. Amazon's focus on tools to enhance outreach reflects its dedication to empowering Indian businesses. Aligning with India's growing role in global supply chains, Amazon's strategies aim to propel Indian exports to $13 billion by 2024 and $20 billion by 2025, underlining a shift away from China in multinational sourcing practices.
Amazon Inc is set to play a pivotal role in boosting India's export market this year, with expectations to facilitate the sale of approximately $5 billion in small-ticket items through its platform, a significant increase from the $3 billion recorded in 2023, according to a company official.
Through the Amazon Global Selling programme initiated in 2015, close to 150,000 small-scale exporters from India are gearing up to showcase their products directly to international consumers via the company's e-commerce platform.
Bhupen Wakankar, director of global trade at Amazon, highlighted the company's substantial investments in tools and technologies aimed at assisting sellers in expanding their outreach, improving product visibility, and ultimately driving sales. This commitment underscores Amazon's dedication to empowering Indian businesses and fostering their success in the global market.
With ambitious projections, Amazon is on course to support tens of thousands of Indian enterprises in surpassing a combined $13 billion in e-commerce exports by the close of 2024, as stated in a company release.
This strategic move by Amazon signifies India's increasing prominence in the global supply chain landscape and mirrors a broader trend among multinational corporations to diversify their sourcing away from China.
In a similar vein, Walmart Inc outlined its intentions in 2020 to elevate its procurement from India to $10 billion annually by 2027, a substantial increase from the $3 billion mark at that time.
Wakankar emphasized the collaborative efforts between Amazon, India's commerce ministry, and trade associations to engage with small-scale manufacturers across the nation, offering a diverse range of products spanning textiles, jewelry, household goods, and Ayurvedic items.
These products, typically easier to ship directly to international customers and subject to fewer import taxes compared to higher-value goods, present lucrative opportunities for Indian exporters looking to expand their global footprint.
Despite the transformative impact of Amazon and Walmart's Flipkart on India's retail sector, characterized by substantial investments in sourcing from small enterprises and attracting consumers through competitive pricing, these e-commerce giants have faced scrutiny from trade organizations and political entities.
India's commerce minister has voiced concerns over alleged predatory pricing practices by Amazon and other e-commerce entities, emphasizing the need to safeguard the interests of traditional brick-and-mortar stores amidst the rapid growth of online commerce.
Noteworthy is Amazon's pledge last June to ramp up its investments in India to $26 billion by 2030, including substantial allocations for its cloud services division. Additionally, the company envisions facilitating $20 billion in cumulative e-commerce exports from India by 2025, further reinforcing its commitment to bolstering India's export capabilities and fostering a thriving digital economy.
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