Exporting from India to the USA with Amazon
Export from India to USA with Amazon means going up a notch in business. India has many products that hold a lot of value and are in demand in the U.S.A. This includes leather goods, tea, coffee, textiles, and stunning jewellery. Ayurveda and herbal beauty products are gaining popularity. Sports goods, toys, spices, and everyday consumables are also in demand. And let us not forget the growing market for organic and personal care items. With time, the accessibility of Indian products in the USA has increased. Moreover, this demand makes the USA a good market to sell Indian products.
Amazon has emerged as a powerful platform to tap into this growing market. With millions of American consumers browsing and buying online, it’s the ideal marketplace for Indian exporters. The platform offers unprecedented reach and convenience, making it easier than ever to connect with customers across the U.S.A. Hence, in this article, we will guide you through the step-by-step process to export from India to the USA with Amazon.
A Step-By-Step Guide to Export from India To USA With Amazon
Preparing to Sell: The Equipment You Need
Before starting the journey, make sure you have the following in order:
Legal Requirements
Amazon USA can only be used by adhering to US policies on sales regulations. During the completion of the earlier requirements, you will also need an Indian Permanent Account Number PAN for the entity as well as a current Goods and Services Tax GST registration. Additionally, to avoid complications in receiving the sales revenues, the recommended option is to open a US bank account.
The process begins when the seller creates an account with Amazon Seller Central to become a seller. This procedure involves entering business information and providing the necessary information. Read more about how to sell on Amazon from India.
Obtain IEC Certificate
Before exploring the products, it is important to understand the importance of IEC certificate. This document is also known as import export code, which is mandatory for any business involved in import or export activities in India. An IEC is a unique 10 digit code which is used for Indian business to import or export goods. Below are the steps to apply for IEC:
- Online Application: Visit the DGFT website and apply for an IEC.
- Basic Details: Provide PAN, mobile number, and email.
- Complete Information: Fill in business and personal details as required.
- Verification: Verify your application with an OTP.
- Payment and Submission: Pay the fee and submit your application.
- Certificate Issuance: DGFT will issue your IEC within 10-15 days.
Product Research
In today’s competitive marketplace, many products and services have reached a point of saturation. This means there’s a lot of competition, and it’s harder for new businesses to stand out. To increase your chances of success, it’s crucial to find products or services that aren’t overcrowded. These are often referred to as “unsaturated markets.”
By carefully analyzing trends, seasonality, and competition, you can identify products or services with high sales potential and low saturation. For example: A new type of exercise equipment that aligns with a growing fitness trend (trend) and is released before the peak fitness season (seasonality) with limited competition (competition) could be a successful product.
Remember, while high sales are a good indicator of potential, it’s essential to conduct thorough market research to understand customer needs and preferences before launching a product or service.
Creating the Basic Amazon Seller Account
Account Creation
- If you want to begin the process of creating a new account now, please click on the button that says “Register Now” on the web page of Amazon Seller Central.
- Following the next on-screen instructions, provide some details about the business’s contracts and tax status.
Verification Process
To use Amazon, one has to log in by authenticating the identity as well as the company details. This involves uploading photocopies of the bank statement, PAN card, and GST registration-certified scans.
Selecting the Best Plan
- The two available seller plans on Amazon include the professional seller plan and the individual seller plan.
- The Professional plan is for businesses that use larger quantities of stock and comes with some additional features like the bulk upload list.
- While the individual plan is most suitable for users who intend to list a smaller number of products, according to the nature of the business, the package to be chosen must be capable of tackling the sales volume and the business objectives at large.
Listing the Products
Product Listings
To help ensure that customers are attracted to the products, effective and well-written product descriptions are needed. Ensure that there is accurate product information and well-written product descriptions. Also, make sure that the product images that are provided are quality images taken from various angles.
SEO Tip
To make the listings even more SEO-friendly, use backend keywords, descriptions, and titles that contain the necessary keywords. Thus, while looking for a phrase that is used by US buyers to search, make use of the Amazon search terms.
Compliance
Ensure that all your products conform to various laws and safety standards. Find out if there are any other conditions that may be applicable to the category of the product.
Shipping and fulfilment Through Amazon FBA
Options for Shipping
Indian merchants can choose from many shipping options, including:
Fulfilment by Amazon FBA
Use the Amazon FBA service, where they pack, store, and ship the products to customers in the USA. This can considerably help both in satisfying the customer and in delivering the products as fast as possible.
Customs and duties
When importing the products into the United States, there could be some taxes as well as clearing fees that should be taken into consideration as well. Read more about customs clearance process.
Shipping and fulfilment Through Amazon MFN
Merchant fulfilled network (MFN) means you handle everything. Amazon lists your products. You store them, pack orders, ship them, and handle customer queries. No Prime badge, no Amazon warehouses. You control your inventory and shipping. Think of it as running your entire fulfilment operation. You can do it yourself or use a third-party logistics company like ShipGlobal.in.
Starting with MFN
New Amazon sellers often begin with MFN. It’s simpler to start; no approvals are needed. Smaller businesses often self-fulfil, while larger ones might use an international logistics company.
List Your Products
Create compelling product listings on Amazon. Use high-quality images, detailed descriptions, and effective keywords. Consider your marketing strategy to compete effectively.
Manage Your Inventory
Store products in your warehouse or fulfilment centre. Optimise the location for shipping costs. Smaller sellers might start at home or in a storage unit.
Fulfil Orders Promptly
Ship orders on time based on promised delivery dates. Use Amazon’s shipping labels or your own. Always provide tracking information.
Handle Returns
Set up a return process. Amazon provides return labels. Ensure your return address is correct.
Here, MFN gives you full control but requires efficient operations to satisfy customers.
Conclusion
In conclusion, export from India to the USA with Amazon presents a lucrative opportunity for businesses to reach a wider audience and expand their reach. By following the steps outlined in this guide, from legal requirements, product research to shipping and fulfillment, Indian sellers can successfully navigate the process and establish themselves in the US market. So, are you ready to take your business global? With careful planning and execution, Amazon can be your gateway to success in the United States. Once you’ve started export from India to USA, you can focus on scaling your global business by utilizing Amazon service tools.
FAQs: Exporting to USA from India with Amazon
Yes, after registering as a global seller on Amazon, you can sell your products.
With the help of the Amazon Global Shipping Service, you can ship some selected products internationally.
Yes, the subscription fee is USD 39.99.
Products like textiles, apparel, pharmaceuticals, machinery, pearls, diamonds, etc. are in huge demand.
With the Fulfillment by Amazon (FBA) service, you may assign order fulfillment to Amazon and provide free two-day shipping for consumers using Prime.
An organization called the Food and Drug Administration (FDA), which works to guarantee the efficacy, safety, and quality of food and medicine goods that are exported to the United States.
For exporting products from India to the USA, you may browse through more than thirty categories available on Amazon. You may sign up with Amazon and begin exporting once you have a better idea of what items are in demand and how you want to marke
No. You are able to utilize your current Indian bank account. Revenue from Amazon in USD is converted to INR, and the same money is credited to your bank account immediately.