Investments/Developments

Some of the major developments in the Indian e-commerce sector are as follows:

• The indigenous e-commerce giant Flipkart is poised to raise US$ 1 billion in a new funding round, with its parent company Walmart anticipated to contribute US$ 600 million.
• On August 25, 2023, Zepto, a two-year-old company, achieved unicorn status by securing US$ 200 million in funding, resulting in a valuation of US$ 1.4 billion, marking India's inaugural unicorn of 2023.
• In October 2023, Tata Group announced a US$ 1 billion investment in its super app, Tata Neu, in addition to the US$ 2 billion previously invested in its digital division earlier that year.
• In 2023, Amazon India achieved significant milestones, including surpassing a seller base of 14 lakh with three lakh new additions, digitizing 6.2 million small businesses, facilitating US$ 8 billion in exports, and generating 1.3 million jobs. Additionally, they committed to further digitizing 10 million businesses, enabling US$ 20 billion in exports, and create two million jobs by 2025, while also signing an MoU with DGFT for MSME capacity-building initiatives.
• On January 17, 2024, Shiprocket and Truecaller collaborated to empower sellers with seamless e-commerce transactions. This strategic partnership aims to streamline mobile onboarding to shopping journeys for three lakh Shiprocket merchants, enhancing the consumer experience.
• On December 4, 2023, ODN partnered with Middle East-based Channel Engine for the GCC e-commerce market, aiming to redefine the landscape by connecting brands and retailers to global sales channels for cross-border success.
• On February 6, 2024, Flipkart inaugurated its fourth grocery fulfilment centre in Malda, West Bengal, fostering over 700 local jobs and facilitating nationwide market access for local sellers, MSMEs, and farmers. The 1.13 lakh square feet center processes over 7,000 orders daily, affirming Flipkart's commitment to prompt delivery and enhancing regional economic prospects.
• In October 2023, a tech-driven logistics platform iThink Logistics announced a strategic collaboration with India Post to boost e-commerce deliveries across remote parts of the country.
• Amazon CEO Mr. Andy Jassy announced that the company is committed to investing US$ 26 billion in India by 2030, out of which US$ 11 billion has already been invested.
• In July 2023, the post office departments of Canada and India recently entered into an agreement, which is aimed at facilitating e-commerce exports and establishing an International Tracked Packet Service (ITPS) between the two countries.
• As of May 2023, the Indian government's open e-commerce network ONDC has expanded its operations into 236 cities in the country while adding more than 36,000 merchants.
• In June 2023, Amazon India launched its new and affordable Amazon Prime Lite membership plan for shoppers in the country.
• Walmart is preparing to spend over US$ 2.5 billion in India as the retailer doubles down on the opportunities it sees in India’s e-commerce and payments markets.
• Hyperlocal e-commerce startup, Magicpin announced that its daily order volume has zoomed 100-fold to 10,000 per day from over 100 within a month of joining the government-promoted Open Network for Digital Commerce (ONDC) network.
• In June 2022, Amazon India signed an MoU with Manipur Handloom & Handicrafts Development Corporation Limited (MHHDCL), a Government of Manipur Enterprise to support the growth of artisans and weavers across the state.
• India’s eCommerce sector received US$ 15 billion of PE/VC investments in 2021 which is 5.4 times increase year on year. This is the highest investment value received by any sector ever in India.
• In February 2022 Xpressbees a logistics ecommerce platform became a unicorn valued at US$ 1.2 billion in 2022. The firm raised US$ 300 million in its Series F funding.
• In February 2022, Amazon India launched the One District One product (ODOP) bazaar on its platform to support MSMEs.
• In February 2022, Flipkart launched the “sell back program” to enable trade in smartphones.
• In January 2022, Walmart invited Indian sellers to join its US marketplace with the aim of exporting US$ 10 billion from India each year by 2027.
• In January 2022, Flipkart has announced expansion in its grocery services and will offer services to 1,800 Indian cities.
• In November 2021, XPDEL US-based ecommerce announced expansion in India.
• In September 2021, CARS24, India's leading used car e-commerce platform, raised US$ 450 million in funding, comprising a US$ 340 million Series F equity round and US$ 110 million in debt from various financial institutions.
• In September 2021, Amazon launched Prime Video Channels in India. Prime Video Channels will give Prime members a seamless experience and access to a variety of popular video streaming services.
• In September 2021, Bikayi, a mobile commerce enabler, raised US$ 10.8 million in a Series A funding round, led by Sequoia Capital India.
• Flipkart, India's e-commerce powerhouse, announced in July 2021 that it has raised US$ 3.6 billion in new funding from various sources including sovereign funds, private equities, and Walmart (parent company).