Amazon announces zero referral fees on 12.5+ crore products; sellers to save up to 70% in fees

Amazon India on Monday announced a landmark fee reduction aimed at accelerating growth for lakhs of sellers across the country. Building on last year’s fee revision, the company has expanded zero referral fees coverage more than 10x from 1.2 crore products in 2025 to over 12.5 crore products priced under Rs 1,000 across 1,800+ categories.

In addition, Amazon has reduced Easy Ship fees by over 20 per cent for products priced below Rs 300.

Easy Ship allows sellers to store products at their own premises while Amazon handles pickup and delivery, making it a preferred choice for sellers starting or scaling their e-commerce journey due to its lower upfront logistics costs. Sellers shipping multiple units in a single box can also see savings of up to 90 per cent on selling fees for the second unit, further improving overall savings.

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The revised fees will come into effect from March 16, 2026.

“Building on the strong impact of last year’s fee reductions, we are now expanding that commitment to benefit a much larger cohort of sellers. This move is designed to make selling on Amazon.in more lucrative and simpler particularly for small businesses and entrepreneurs in Tier 2 and Tier 3 cities. By eliminating referral fees across 1,800+ categories covering over 12.5 crore products, and reducing logistics costs, sellers can save up to 70% in fees. Together, these changes reflect Amazon’s continued effort to pass operational efficiencies back to sellers and customers,” said Amit Nanda, Director, Selling Partner Services, Amazon India.

“As a small business in Bengaluru, every rupee counts—and we've been relentlessly aggressive on Amazon ads, inventory optimization, and every growth lever to scale fast. When Amazon axed referral fees on products under Rs 300 last year, it was a game-changer: it suddenly made low-priced heroes like single seed packs, moringa powders, and specialty flours viable to sell profitably for the first time,” said Ashish Agarwal, Co-Founder - Earthen Story, and a seller on Amazon.in.

“No more sidelining these high-demand items—we listed them aggressively, and the savings let us crank up ad spends like never before, now that pricing finally pencils out. The result? 50% explosive growth, with more momentum to conquer even bigger categories. For hustlers like us, this wasn't just a fee tweak; it was pure rocket fuel giving us the edge to dominate,” added Agarwal.

Sellers on Amazon.in can choose from three fulfilment options: ship orders directly to customers themselves; use Easy Ship (ES), where they store products at their premises and Amazon handles pickup and delivery; or opt for Fulfilled by Amazon (FBA/FC), where Amazon manages storage, packing, and shipping on their behalf.

Here are a few illustrative examples of potential per-unit savings effective March 16, 2026:

• A seller offering a fashion jewellery necklace set priced at Rs 999 through the Easy Ship (ES) channel will save Rs 224 per unit — a 69% reduction in total fees. Total fees will decrease from Rs 324 to Rs 100 per unit (product weight under 500g).
• A seller selling earphones priced at Rs 798 through Fulfilled by Amazon (FC) channel will save Rs 139 per unit — a 56% reduction in total fees. Total fees will drop from Rs 248 to Rs 109 per unit (product weight under 500g).
• A seller selling a T-shirt priced at Rs 299 through the Easy Ship (ES) channel will save Rs 15 per unit — a 21% reduction in total fees. Total fees will reduce from Rs 71 to Rs 56 per unit (product weight under 500g).

For more details on the updated fees, please click here.

The Amazon.in marketplace is operated by Amazon Seller Services Private Ltd, an affiliate of Amazon.com, Inc.