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Big relief for sellers: Amazon India removes referral fees on products under Rs 1,000 from March 16

  • March 2, 2026
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Amazon India has expanded its zero referral charge programme to cowl greater than 12.5 crore merchandise priced below Rs 1,000 throughout over 1,800 classes, in a structural shift

Big relief for sellers: Amazon India removes referral fees on products under Rs 1,000 from March 16


Amazon India has expanded its zero referral charge programme to cowl greater than 12.5 crore merchandise priced below Rs 1,000 throughout over 1,800 classes, in a structural shift aimed toward reducing the price of promoting on its market.

The adjustments will take impact on March 16.

Alongside the waiver of referral charges, the corporate will cut back Simple Ship charges by greater than 20% for merchandise priced beneath Rs 300. Amazon India mentioned the mixed measures may assist sellers save as much as 70% in whole promoting charges.

Referral charges are the fee charged to sellers for every merchandise bought on the platform. These usually vary between 2% and 16.5% of a product’s value. Simple Ship permits sellers to retailer merchandise at their very own premises, whereas Amazon handles pickup and supply.

The newest transfer marks a major growth of a programme first launched in April 2025, when Amazon India eradicated referral charges on round 1.2 crore merchandise priced beneath Rs 300 throughout 135 classes.

The corporate mentioned that initiative contributed to a 50% enhance in new vendor registrations and accelerated development, notably in Tier II and Tier III cities. Its vendor base has since grown to almost 1.7 million.

In November 2025, Amazon eliminated referral charges for merchandise priced beneath Rs 1,000 till December 31, indicating {that a} broader rollout would rely on vendor suggestions. With the present announcement, the zero referral charge programme now scales from roughly 1.2 crore merchandise in 2025 to over 12.5 crore objects.

“This transfer is designed to make promoting on Amazon.in additional profitable and easier notably for small companies and entrepreneurs in tier II & III cities,” mentioned Amit Nanda, Director, Promoting Accomplice Companies, Amazon India.

In accordance with the corporate, the growth addresses three recurring issues raised by sellers: reducing the price of promoting, simplifying operations and enabling quicker development.

The charge adjustments apply to on a regular basis merchandise that account for a big share of market demand. These embody T-shirts, footwear, earphones, sarees, mattress sheets, electrical kettles, espresso tables, chairs, pet equipment, vogue jewelry and toys.

Amazon shared illustrations of potential financial savings below the revised construction. A vogue jewelry necklace priced at Rs 999 and bought by Simple Ship may save a vendor Rs 224 per unit, translating to a 69% discount in whole charges. Earphones priced at Rs 798 and bought by Fulfilled by Amazon may end in financial savings of Rs 139 per unit, or a 56% discount. A T-shirt priced at Rs 299 and bought through Simple Ship may see financial savings of Rs 15 per unit, a 21% discount.

The corporate added that sellers delivery a number of items in a single field may save as much as 90% on promoting charges for the second unit onward, compounding the advantages of the revised construction.