NEW DELHI, Sept 5 (Reuters) - Amazon Inc plans
to export about $5 billion of small-ticket items from India this
year, up from nearly $3 billion in 2023, supplying markets such
as the United States and Britain, a company official said,
marking a shift away from China.
The move by one of the world's largest e-commerce companies
underscores India's growing role in the global supply chain and
reflects a broader trend among multinational corporations to
diversify sourcing away from China.
Walmart Inc ( WMT ) plans to hike its supplies from India to
$10 billion a year by 2027, up from about $3 billion in 2020.
"India is naturally one of the largest sources of selection
for Amazon ( AMZN )," Bhupen Wakankar, director of global trade at
Amazon ( AMZN ), told Reuters in an interview on Thursday.
He said Amazon ( AMZN ) had partnered with the India's commerce
ministry and trade associations to connect with thousands of
small manufacturers across the country, offering products from
textiles and jewellery to household items and Ayurveda products.
Such items are usually easy to post directly to
customers abroad and less affected by import taxes than costlier
products.
"We are investing significantly in tools and technologies to
help sellers optimise their reach, enhance product discovery,
and increase sales," he said, ahead of an exporters' meeting in
New Delhi.
Amazon ( AMZN ) and Walmart's ( WMT ) Flipkart have reshaped India's retail
landscape in recent years, investing billions of dollars to
source supplies from small businesses and attracting consumers
through hefty discounts.
But they face criticism from trading and political groups.
India's commerce minister has accused Amazon ( AMZN ) and other
e-commerce companies of predatory pricing practices and said the
sector's rapid rise should not disrupt millions of
brick-and-mortar stores operating in the country.
Last June, Amazon ( AMZN ) announced plans to increase its
investments in India to $26 billion by 2030, including funds for
its cloud business.
Through the Global Selling Programme, initiated in 2015,
Amazon ( AMZN ) has enabled about 150,000 small Indian exporters to sell
roughly $8 billion worth of products directly to overseas
consumers by the end of 2023, Wakankar said.
The company aims to facilitate $20 billion in cumulative
e-commerce exports from India by 2025, he added.