E-commerce giant Amazon is on track to achieve its target of achieving $20 billion in cumulative exports and creating 2 million employment opportunities by 2025, according to Manish Tiwary, vice president and country head, Amazon India.
Amazon says it plans to digitise one crore small businesses in India. According to Tiwary, the e-commerce behemoth has digitised 6.2 million) small businesses this year vis-a-vis 4 million businesses last year. The company has enabled $8 billion in cumulative exports so far and plans to reach $13 billion in less than eight months. The company has so far created 1.3 million jobs, says Tiwary.
"In the last 10 years, India has seen a massive transformation. The Indian economy has grown from $2 trillion to $3.75 trillion. With over 90 billion transactions on UPI, India now accounts for 50% of the global instant payment transactions," says Tiwary.
"Our focus has been on creating an Amazon that is made for India, by India and in India. Our approach has been to digitise businesses of all sizes and to use technology to remove the inefficiencies and to lack value for our customers," he adds.
In May this year, Amazon announced that it will invest $12.7 billion (₹1.05 lakh crore) in cloud infrastructure in India by 2030 to meet the growing customer demand for cloud services in the country. According to the e-commerce behemoth, the investment in data centre infrastructure will support approximately 1.31 lakh full-time equivalent (FTE) jobs in Indian businesses each year and will contribute approximately $23.3 billion (₹1.94 lakh crore) to India’s GDP (gross domestic product) by 2030.
In June this year, Amazon's CEO Andy Jassy announced an additional investment of ₹15 billion by 2030 in order to bolster its presence in the Indian market. With this, the company has mapped out a total investment of $26 billion across various businesses by 2030.
"These investments will be made to digitise small businesses and start-ups, create jobs, enable exports and empower individuals in small businesses to compete globally," says Tiwary.
According to a report by EY, the country's consumer digital economy is expected to reach $1 trillion in 2030, supported by rapid digitisation and increasing investments.
"After a rapid growth of over 33% for the past five years (2016 – 2021), the Indian E-commerce industry is entering its next phase of development marked by focusing on building a sustainable business model. With this phase being marked by damp macroeconomic conditions, increasingly demanding customers and depleting cash influx, the e-commerce sales are expected to decelerate to a 20% CAGR in 2021-2030," says the report.
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