After the United States and China, Pakistan is now the third-largest popular new seller on Amazon Marketplace with over 1.2 million registered vendors.
Pakistan was allowed to enter Amazon in May 2021 a year after the talks began in 2020, following the implementation of Pakistan’s first e-commerce policy, Marketplace Pulse research reported.
The country which has just registered itself with the Amazon is home to the world’s three largest Amazon seller groups: “E-commerce by Enablers” with over 1.2 million members, “Extreme Commerce by Sunny Ali” has 1.1 million members, and “E-commerce Success Pakistan” has nearly 200,000 members.
These groups started long ago before Pakistani sellers were officially allowed to sell on Amazon, according to Market Plus.
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These vendors are expected to contribute to Pakistan’s over $28 billion in exports. Young entrepreneurs and small and medium-sized enterprises across the country will be able to avail the benefits offered by Amazon which will widen and diversify Pakistan’s export basket.
This will not only enhance their revenues but also help the government in improving the macroeconomic outlook of the country, it added.
The expansion of the e-commerce industry is important to support the medium and small-sized businesses to help operate profitability with the rising cost of doing business.
Pakistan’s e-commerce policy is part of the overall ‘Digital Pakistan’ policy launched aimed at paving the way for holistic growth of e-commerce in the country by creating an enabling environment where enterprises have equal opportunities to grow steadily.
The major exports of Pakistan that contribute over $28 billion per annum to the national economy include textiles, leather and sports goods, chemicals, carpets, and rugs. Pakistan also exports significant quantities of rice, sugar, cotton, fish, fruits, and vegetables.
With an increase of 45 per cent, the Pakistani e-commerce market contributed to the worldwide growth rate of 15 per cent in 2021. Just like in Pakistan, global e-commerce sales are expected to increase over the next years.
As new markets are emerging, global growth will continue over the next years. East and Southeast Asia will propel this development with their growing middle class and their lagging offline infrastructure”.
With a yearly growth rate of 7 per cent between 2021 and 2025, Pakistan is even expected to outperform the global average of 6 per cent, it further adds.
Pakistan adopted an e-commerce policy in 2019. Still, a lot more is required to do on a privacy statute of general application or national consumer protection, which applies directly to electronic commerce.
E-commerce’s success is solely linked to the consumer’s trust and sense of satisfaction which must be ensured on industrial and state levels to give exports further stride.