Around 93 pc of SMBs export to four or more continents: eBay Report 2021
In its first edition, eBay’s report shares insights around how SMBs in India use eBay’s marketplace to successfully sell to consumers in hundreds of export markets each year.
One of the leading global ecommerce leaders, has unveiled its ‘India Small Online Business Trade Report’ today in a virtual event. The report said that 92 percent of eBay-enabled SMBs in India have exported locally-made products to more than 10 international markets in 2021.
The report was unveiled by Ajay Sahai, Director-General and CEO, Federation of Indian Export Organisations (FIEO); Sabyasachi Ray, Executive Director, Gems and Jewellery Export Promotion Council (GJEPC); and Vidmay Naini, Country Manager - India and South East Asia, eBay.
In its first edition, eBay’s report shares insights around how SMBs in India use eBay’s marketplace to successfully sell to consumers in hundreds of export markets each year.
One of its key findings is that 100 percent of eBay-enabled Indian SMBs sold ‘Made in India’ products to customers in an average of 42 different foreign markets each year. An astounding 93 percent of eBay-enabled small businesses export to four or more continents.
With the rise of ecommerce marketplace models, Indian SMBs saw an opportunity to leapfrog into the global e-trade value chain, which further saw an acceleration in the years 2020 and 2021. As per the report, the highest number of eBay-enabled small businesses adopting cross-border trade are from states like Delhi, Rajasthan, Maharashtra, Gujarat, Haryana, Punjab, Madhya Pradesh, West Bengal, etc in categories like fine jewellery, loose diamonds and gemstones, home decor, bedding-related goods, Ayurveda natural remedies, auto parts, and accessories were among the top export products from India.
Commenting on the move, Vidmay Naini said,
"Leveraging the benefits of new-age digitisation amd pandemic-induced ecommerce boom, SMBs in India have become pivotal to India's growth story. At eBay, we connect millions of buyers and sellers in more than 190 markets around the world thereby providing export market access to Indian SMB’s to sell to the world. Our initiative, 'India Small Online Business Trade Report’ is an indicator of how we are enabling SMBs to expand their reach into the international quarters; but more importantly, empowering them to dream big and compete at international scale.
He further added, “Digitalisation and simplification of ecommerce exports processes is the way forward to increase exports and accelerate the growth. eBay has been successful in empowering Indian SMBs to establish their online international presence and export Indian products to more than 190 markets.”
eBay in India is focused on driving cross border trade and providing Indian MSMEs and artisans a platform to expand their reach to global customers. Another trend revealed by the report was that the eBay marketplace was enabling SMBs in growing states and union territories to achieve some state-level export development priorities. In Rajasthan, 39 percent of eBay-enabled small businesses exported products in the Fashion Jewellery category and 35 percent exported products in the Loose Diamonds and Gemstone category to customers directly in US and UK markets. Whereas, for SMBs located in Madhya Pradesh, bedding was a popular export product category with 67 percent of SMBs exporting products from this category to the US or UK regions.
Ajay Sahai said, “The Indian SMBs are the growth drivers of the national economic structure as they are an integral part of the supply chain and contribute over 45 percent to the overall exports. The importance of the SMB sector is evident from the government’s numerous initiatives to catalyse its growth, making them more robust, competitive, and resilient in the national as well as in the global market."
The report also brought out that five major export markets for eBay-enabled small businesses in India were the United States, United Kingdom, Australia, Canada, and Germany. The rate of newcomers/new digital enterprises in Tier III cities was recorded at 37 percent, which surpassed the national average of 32 percent. In fact, the rate was even higher than that of Tier I (32 percent) and Tier II cities (30 percent).
Sabyasachi Ray said, “Gems and jewellery category has been one of the most significant categories in Indian export. With the economy gradually returning to normal, gems and jewellery exports gained momentum in the first half of the fiscal year. At GJEPC, we work extensively towards popularising ‘Make in India’ products and Indian craftsmanship globally. We acknowledge the fact that eBay has become a true partner to local sellers and artisans located not just in Tier I, but also Tier II and III cities of India, empowering them to sell their local products overseas.”
Edited by Kanishk Singh