SUMMARY
- Amazon aims to boost Indian exports to USD 5 billion and reach USD 20 billion by 2025.
- Amazon and Walmart are reshaping India’s retail sector amid criticism over pricing.
- Global supply chains are shifting from China to India, driven by Amazon and Walmart’s investments.
Amazon is all set to help Indian exporters sell USD 5 billion worth of small ticket items, which is a significant increase from the almost USD 3 billion that was recorded in the year 2023. Around 1,50,000 small Indian exporters have been able to sell commodities like textiles, jewelry, home goods, and Ayurvedic medicines directly to the Indian market.
As the Director of worldwide trade at Amazon Mr. Bhupen Wakankar told Reuters in an interview, that the company is making significant investments in cutting-edge tools and technologies to boost small exporters’ sales and the potential to improve product discovery.
Amazon intends to assist Indian companies in exporting more than USD 13 billion in total e-commerce by the end of 2024, with a goal of USD 20 billion by 2025. Amazon’s initiative coincides with the trend of multinational corporations shifting their supply chains away from China and toward India, which is becoming a more important hub for international trade. Similar to other high-profile targets, Walmart announced that it will increase its yearly procurement from India to USD 10 billion by 2027 from USD 3 billion in 2020.
Investments by giants like Amazon and Walmart have changed the retail industry in India but with criticisms including being accused of using predatory pricing tactics by India’s commerce minister and trade associations. However, Amazon is still determined to strengthen its position in India, and by 2030, it intends to have invested USD 26 billion total.
