Amazon will invest more than Rs 2,000 crore (about $233 million) in India in 2025 as it strengthens its logistics and safety standards, said the ecommerce company on Thursday.

The investment will be used for expanding and modernising the company’s infrastructure, employee safety and wellness initiatives, and developing technologies for its fulfillment network.

The planned outlay highlights Amazon’s ambition to operate what it calls India’s “safest, fastest, and most reliable” logistics network. The company said the new capital commitment builds on a series of prior investments that have enabled it to service every deliverable postal code in the country.

“For over a decade now in India, we have been focused on building the best-in-class logistics infrastructure — designed to deliver with safety, speed, scale, and reliability for our customers across the country,” said Abhinav Singh, vice-president – operations, Amazon India and Australia. “These latest investments reflect our commitment to continually expand and upgrade our operations across our fulfilment, sortation and delivery network.”

India remains a critical growth market for Amazon, which continues to face intense competition from rivals like Walmart-owned Flipkart, Reliance’s JioMart and the Tata Group.

Amazon plans to use the investment in India to launch new sites and upgrade existing facilities across its fulfilment, sortation, and delivery network. The move is aimed at boosting processing capacity, speeding up order fulfilment, and improving overall operational efficiency.

The facilities will feature energy-efficient systems and new technology. Amazon says its fulfilment centres are designed for accessibility, with ongoing improvements in cooling, safety measures, and rest areas to support employee well-being and create an inclusive work environment.

The investment highlights Amazon’s strategy to deepen its logistics footprint in India, enhance customer experience, empower sellers, and support local economic growth.

Amazon has invested more than $11 billion in India, including data centres, fulfillment facilities, a nationwide logistics network, digital payment infrastructure, and technology aimed at digitizing small sellers and boosting exports. The company has also directed capital toward enhancing customer experience, supporting local content creators, and expanding its entertainment offerings.

In June 2023, Amazon CEO Andy Jassy reaffirmed the company’s long-term commitment to the country during a meeting with Prime Minister Narendra Modi. At that time, Amazon announced plans to invest an additional $15 billion in India by 2030. This would bring its total investment in the market to $26 billion, underscoring the strategic importance of India as a key growth driver for the company.

Author Credits- Peerzada Abrar
Business Standard