Amazon's global selling program hits $2 billion in cumulative exports

KEY HIGHLIGHTS:

• Amazon's global selling program has 60,000 sellers
• Exporters from Delhi, Maharashtra & Rajasthan take the lead
• In 2019, around 834 MSMEs saw export sales of over Rs 1 crore on the platform
• Global sellers program started in 2015 took 5 years to hit $2 billion export mark

E-commerce giant Amazon's global selling program, which helps Indian exporters sell on international marketplace, has crossed $2 billion in cumulative exports since its beginning in 2015. According to the company, nearly 60,000 Indian MSMEs are exporting through its global program on 15 Amazon websites globally with Delhi, Maharashtra, Rajasthan, Gujarat, Uttar Pradesh and Haryana emerging as the top states with e-commerce exporters. With plans of reaching $10 billion in exports by 2025, Amit Agarwal, Senior VP and Country Head Amazon India, says that it took them three years to hit cumulative exports of $1 billion. "It grew 100 per cent to hit the next $1 billion in less than 18 months to cross the $2 billion milestone in cumulative exports from India."

Amazon also released its annual export digest which said that over 800 Indian MSMEs surpassed Rs 1 crore in exports sales in 2019. According to the report, the company's big sale events such as  Prime Day, Black Friday and Cyber Monday saw Indian exporters witnessing a year-on-year growth of  72 per cent, 76 per cent and 55 per cent, respectively. While the report indicated a good demand  for 'Made in India' products in global markets, there were a few interesting insights on how Indian products are finding additional or alternate use case. "Whether it is people using 'Ghee as creamers for making Bulletproof Coffee' or 'Ayurvedic Soap Bars being used as Shaving Foam' or 'Cotton bedsheets and pillow cases being used for making face masks - they are uncovering a whole new demand for their products," the report said.

Region-wise exports data shows north India leading in sports goods, nautical collectibles, copper mugs, apparel, books while South India in bed sheets, kitchen linen, toys, towels, apparel, spices, leather bags. The eastern states led in tea, leather wallets, home decor, leather shoes, grocery, and automotive accessories and west in jewellery, kantha quilts, bed sheets, tapestry, and home decor items.  Ever since the beginning of the COVID-19 pandemic, the e-commerce platform said that Made in India products across categories like health and hygiene, nutritional supplements and home essentials saw heightened demand from customers in markets like the United States of America, Canada, Europe, Mexico, Japan, Australia, among others.

While stressing on the need to create low cost logistics solutions for India to gain benefit from exports, Gopal Pillai Vice President, Amazon India Marketplace feels a step in that direction would be to enable India with post-parcel tracking with foreign postal systems. "We hope that the new Foreign Trade Policy addresses some of the key enablers and for businesses of all sizes to use e-commerce marketplace and export their products in global markets," he added.

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