Businesses can benefit from document assistance among other things provided by Amazon’s export-oriented programme.
Key Highlights
- Businesses can opt for end-to-end logistical services through the Amazon Global Selling Programme.
- Amazon recently signed a pact with DGFT to help exporters from select districts.
- Businesses can leverage the programme during lean periods to maintain a steady revenue.
Exports are one of the most profitable businesses given a favourable exchange rate.
So much is the importance of this sector, that economists time and again contend that to ensure sustainable long-term growth, the Indian government has to ensure that it is mainly driven by exports.
Yet, Indian exporters face very high competition from their Chinese and Southeast Asian counterparts and struggle to expand their customer base.
It is then crucial for exporters to find new and innovative ways to reach out to customers, especially from high-income countries like the US and nations of the European Union (EU).
It’s here that a programme launched by Amazon can help Indian MSME exporters increase their sales.
In 2015, Amazon had launched its flagship “Global Selling” programme in India to help exporters capitalise upon the platform’s global user base to increase their revenue.
As of now, more than 1.25 lakh exporters from more than 200 cities across India are already enrolled in the programme.
The programme aims to reduce the barriers to entry for exporters by providing assistance for export documentation, end-to-end logistics services, advertising, and performance analytics among other things.
For Indian businesses, Amazon India is subsidising the cost of subscription for the first three months if the business registers to sell in the United Kingdom and Germany from Oct 4, 2023 to March 31, 2024.
A similar offer is applicable for businesses wanting to sell in the US, Canada, and Mexico if they complete the registration by June 6, 2024.
Recently, the Directorate General of Foreign Trade (DGFT) collaborated with Amazon India under its Districts as Exports Hubs Initiative to help MSMEs through its Amazon Global Selling Programme.
How Indian businesses can benefit from ‘Amazon Global Selling’
The programme allows businesses to register and catalogue their products on Amazon for any of the provided countries.
It allows business to either choose their own logistics or opt for Fulfillment by Amazon (FBA) for providing end-to-end logistics services, including customs.
Businesses can sell various types of products through the programme, including but not limited to Home Textiles, Apparel, Health and Personal care products, Ayurveda, Electronics, and Books.
Additionally, businesses can benefit from the programme by keeping their sales volumes afloat during lean seasons.
Recently, Indian businesses had ramped up their offerings for the Black Friday and Cyber Monday sales on Amazon.
Recent data from the global marketplace claims that Indian businesses encounter a growth in business around sale events, which can range upto 70% year-on-year.
Considering that a recent report by ICRIER postulated that not joining any e-commerce platform could hamper the growth prospects of businesses, with a possibility of even a threat to survival, exporters must also take necessary steps to safeguard their bottom line.
