Amazon India Seller Base Surpasses 2 Million
Amazon India announced that its total seller base has surpassed 2 million, driven by zero referral fees for low-priced products, AI tools, and preparations for the festive season’s logistics.
What are the key facts?
- 1The Amazon.in seller base has surpassed 2 million
- 2More than 300,000 sellers were added over the past year
- 3Growth was driven mainly by zero referral fees for low-priced products, AI tools, and festive-season logistics preparations
- 4Zero referral fees do not mean zero overall costs
What happened?
Amazon India announced on September 8, 2026, that the number of sellers on Amazon.in had surpassed 2 million, with more than 300,000 new sellers added over the past year. The company said growth was mainly driven by zero referral fees for low-priced products, AI seller tools, and logistics preparations for the festive season. Amazon had previously applied a zero-referral-fee policy to more than 125 million products, primarily covering items priced below 1,000 Indian rupees and other specified categories. Meanwhile, engagement with Seller Assistant increased 7.5 times year over year, adoption of advertising AI tools rose 77% year over year, and the number of ad creatives made with AI by Indian small and medium-sized businesses increased 62% in the first quarter of 2026. The news primarily affects local businesses, cross-border brands, and sellers preparing for the Diwali sales season on the India marketplace. Zero referral fees do not mean zero overall costs: storage, delivery, advertising, returns, and taxes may still apply. Sellers should recalculate profitability by ASIN and fulfillment method.
What does this mean for cross-border sellers?
As the Amazon.in seller base and low-priced product supply expand, cross-border sellers will face stronger price and traffic competition in India. Zero referral fees for low-priced products do not mean zero costs; storage, delivery, advertising, returns, and taxes still affect actual margins. Recalculate profitability by ASIN and fulfillment method before the festive sales season.
What should sellers do now?
- 1This week, screen the ASINs planned for sale or promotion on the India marketplace, confirm individually whether they qualify for zero referral fees under the below-1,000-Indian-rupee threshold or other specified categories, and include storage, delivery, advertising, returns, and taxes in unit-profit calculations.Profit calculator
- 2Set a minimum acceptable price and order profit for priority ASINs, and use break-even calculations to verify that items remain profitable after festive promotions or price reductions.Breakeven calculator
- 3Align inventory quantities, procurement timing, and fulfillment methods with the festive-season sales plan, and first confirm that products likely to enter promotions have sufficient stock.Procurement List
- 4Review the main ASINs in India marketplace advertising, record advertising costs and sales results separately, and use ACoS/ROAS to decide which products to continue advertising, reduce budget for, or pause.ACoS / ROAS calculator