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Amazon pledges $20 billion in India exports by 2025 – TechCrunch

Amazon said on Wednesday it aims to export $20 billion worth of locally produced Indian goods by 2025, doubling its initial target of $10 billion during the same period the e-commerce group attracts more than 100,000 exporters. in the key foreign market.

The company, which launched its export program, called Amazon Global Selling, in India in 2015, took three years to record $1bn worth of exports from the country, he said. The firm added the next $2 billion in just 17 months, he said at a virtual event on Wednesday. In all, the company said it is on track to hit $5 billion in cumulative exports from India.

“We are excited to build a strong foundation for MSMEs to realize their export potential, help them become globally competitive and contribute to the Honorable Prime Minister’s vision of making India an export powerhouse,” said Amit Agarwal, Senior Vice President from India and Emerging Markets for Amazon. in the event.

The company has enabled Indian merchants to sell to customers around the world through Amazon’s 18 international websites, including in countries such as the United States, United Kingdom, Canada, Mexico, Germany, Spain, Australia and France, it said. .

At an event in 2020, attended by company founder Jeff Bezos, Amazon pledged to export $10 billion worth of goods produced in India by 2025. At that point, Bezos said, “our hope is that this investment bring millions more people into the industry. India’s future prosperity while exposing the world to ‘Made in India’ products that represent India’s rich and diverse culture.”

At the event, the company also announced an additional $1 billion investment in its Indian operations over the next five years. Amazon has announced an investment of more than $6.5 billion in India to date, betting aggressively to make the world’s second largest internet market its next major region.

But the company’s ambitions have seen several obstacles in the country. It has been the subject of multiple antitrust investigations in the country and has gone up against Reliance Retail, the country’s largest retail chain run by Mukesh Ambani, one of the richest men in Asia.

The US firm spent more than two and a half years fighting to stop the merger between Reliance Retail and Future Retail, the country’s second-largest retail chain. (Amazon is an investor in a unit of Future Group.) His wish came true last month or so after Reliance called off the merger with Future Retail, yet the country’s most valuable company (by market capitalization) is already expanding its network. with future assets through brokerage agreements with landowners and store owners.

In a newspaper advertisement earlier this year, Amazon accused its split partner and Reliance of engaging in fraudulent practices and attempting to “remove the substance of the dispute.”

Narayan Rane, Union Minister for Micro, Small and Medium Enterprises, said in a statement: “MSMEs are the backbone of India’s economy, contributing to around a third of India’s GDP and powering nearly half of India’s businesses. country’s exports. Enhancing the export potential of Indian MSMEs is a key priority of the government and efforts are being made to support Indian MSMEs to succeed in international markets. Amazon’s continued efforts to improve the export share of MSMEs are commendable, and its commitment to enable $20 billion in exports by 2025 is timely. I would like to congratulate Amazon and all MSMEs for playing a major role in driving export-led growth to help make the vision of an Aatmanirbhar Bharat a reality.”

This is a developing story. More to follow…