1.25 lakh Indian exporters on Amazon Global Selling to cross $8 billion in cumulative exports in 2023
E-commerce giant Amazon India recently announced its annual Export Digest report, stating that it is on track to enable $8 billion in cumulative e-commerce exports by the end of 2023. This represents a significant increase from $5 billion in exports recorded last year, marking a 60 per cent jump. These figures align with Amazon’s target of achieving $20 billion in cumulative e-commerce exports from India by 2025 as part of its Amazon Global Selling program initiated in 2015.
Bhupen Wakankar, Director Global Trade at Amazon India, expressed enthusiasm regarding the progress made, stating that $5 billion in exports was achieved in the first seven years of the program, while an additional $3 billion was added in a little over a year. This growth showcases the momentum and positive trajectory of Amazon’s business in India.
The Amazon Global Selling program aims to empower Indian MSMEs (Micro, Small, and Medium Enterprises) to expand their reach and tap into international markets through e-commerce. By leveraging Amazon’s platform and global infrastructure, MSMEs can overcome geographical barriers and access a wider customer base across the globe.
The program offers a range of support and resources to participating sellers, including guidance on product listing, international shipping, and customer service. Amazon also provides localized services and tools to help sellers tailor their offerings to different markets and customer preferences.
The significant increase in e-commerce exports highlights the potential of Indian MSMEs in leveraging digital platforms for cross-border trade. By embracing e-commerce, MSMEs can overcome traditional barriers to international trade, such as high costs and limited market access. E-commerce platforms provide them with a level playing field and the opportunity to compete globally.
The growth in e-commerce exports also signifies the increasing preference of international customers for Indian products. Indian MSMEs offer a diverse range of goods, including handicrafts, textiles, jewellery, and home decor items, which have gained popularity and demand in global markets.
According to Bhupen Wakankar, Director Global Trade at Amazon India, the number of registered exporters on the Amazon Global Selling program has exceeded 1.25 lakh (125,000). These exporters are spread across over 200 cities in 28 states and seven union territories in India. This signifies the widespread adoption of the program by sellers from various geographical locations in the country.
Additionally, Wakankar mentioned that more than 1,200 exporters on the program achieved sales of over $120,000 (Rs 1 crore) in 2022. This indicates the success and growth potential for Indian exporters leveraging the Amazon Global Selling platform. Achieving significant sales figures demonstrates the effectiveness of e-commerce in enabling MSMEs to access a global customer base and generate substantial revenue.
Wakankar further expressed excitement about the growing number of sellers participating in the program, emphasizing the geographical diversity of the seller base. The fact that the program has attracted sellers from a wide range of locations in India is a positive development, as it represents opportunities for MSMEs from various regions to expand their business and tap into global markets.
The geographic diversity of sellers highlights the inclusive nature of the Amazon Global Selling program, as it enables sellers from different parts of the country to access international customers and compete on a global scale. This diversity also contributes to the overall growth and development of the Indian export ecosystem.
According to Bhupen Wakankar, Director of Global Trade at Amazon India, the Amazon Global Selling program has enabled registered exporters to sell over 266 million products on Amazon’s 18 international marketplaces. Among these marketplaces, the United States, the United Kingdom, Canada, France, Spain, and Italy were the top destinations for Indian exporters. Additionally, emerging marketplaces such as Saudi Arabia, the United Arab Emirates (UAE), Japan, and Australia have shown promising growth for Indian exporters.
Wakankar highlighted that while the US and the UK have traditionally been strong export destinations for India, there is now a noticeable growth trend in smaller marketplaces such as the UAE, Australia, and Japan. This growth indicates that Indian exporters are diversifying their target markets and expanding their reach to emerging economies. It reflects India’s efforts to strengthen trade ties with these countries from an export perspective.
The expansion into new markets presents opportunities for Indian exporters to tap into the growing consumer base and demand in these regions. By leveraging the Amazon Global Selling program, exporters can access international customers and showcase their products on a global scale. This not only helps them increase their sales but also contributes to the overall growth of India’s export economy.
The shift towards emerging marketplaces signifies the evolving dynamics of global trade and the increasing demand for Indian products in these regions. It highlights the potential for Indian exporters to explore new avenues for growth and diversify their export destinations beyond traditional markets.
In conclusion, the Amazon Global Selling program has facilitated Indian exporters in selling millions of products on international marketplaces. While established destinations like the US and the UK remain strong, there is growing traction in emerging marketplaces such as the UAE, Australia, and Japan. This diversification of export destinations demonstrates India’s efforts to strengthen ties with these countries and opens up new growth opportunities for Indian exporters.
By embracing global marketplaces, Indian exporters can expand their reach and contribute to the country’s export growth.Amazon India has reported that exporters from 25 small cities in India collectively achieved sales of over $10 million (Rs 80 crore) in 2022. This showcases the growing success and participation of exporters from smaller cities in leveraging the Amazon Global Selling program. Some notable examples include exporters from Sri Ganganagar, Rajasthan, who cumulatively crossed $13 million in sales; exporters from Haridwar, Uttarakhand, who cumulatively crossed $23 million in sales, and exporters from Neemuch, Madhya Pradesh, who cumulatively crossed $1 million in sales.
In terms of product categories, toys accounted for over 50 percent of the share among exports, followed by the kitchen category with over 35 percent share, beauty with over 25 percent share, and furniture and luggage categories with over 20 percent share. This indicates the popularity and demand for these categories among international customers.
The success of exporters from smaller cities showcases the inclusivity and democratizing nature of the Amazon Global Selling program. It provides opportunities for sellers from various regions to access global markets and achieve significant sales figures. This trend also reflects the entrepreneurial spirit and innovation present in smaller cities, as exporters from these locations capitalize on the e-commerce platform to reach a global audience.
The dominance of categories like toys, kitchens, beauty, furniture, and luggage indicates the diverse range of products that Indian exporters offer to international customers. It highlights the strength of Indian craftsmanship, manufacturing capabilities, and expertise in these sectors.
By leveraging the Amazon Global Selling program, exporters can overcome geographical barriers and tap into the global demand for their products. This not only benefits the exporters themselves but also contributes to the growth of India’s export economy and showcases the country’s potential in various product categories.
In conclusion, Amazon India’s report highlights the success of exporters from smaller cities in achieving significant sales figures through the Amazon Global Selling program.
The dominance of categories like toys, kitchens, beauty, furniture, and luggage showcases the diversity and strength of Indian products in the global market. The growth of exports from smaller cities demonstrates the inclusivity and entrepreneurial spirit fostered by the program. Overall, it represents a positive development for the Indian export ecosystem and the continued growth of Indian MSMEs on the global stage.
