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Cost to Become an Amazon Seller in India: Full Breakdown of Fees & Charges 2026

Amazon India has recently introduced some of its biggest fee cuts ever, especially for products priced under ₹1,000. But before you dive in, you need a clear picture of the cost to become an Amazon seller in India. It is a combination of commissions, shipping, and storage fees.
In this blog, we’ll discuss Amazon seller fees in India, cost breakdowns for new sellers, and hidden charges to watch out for. Along the way, we'll take a look at Gonukkad Amazon account management services.
Key Takeaways
- For over 1,800 categories, products priced below ₹1,000 now have a 0% referral fee in 2026.
- Amazon’s shipping fees are based on volumetric weight, so slim packaging is the best way to save money.
- Always add 18% GST to any fee Amazon quotes to you, as it is mandatory for all service charges.
- Sellers don't get their shipping fees back if a customer returns an item, so quality control is important for your budget.
- Using Gonukkad for daily seller account management helps you avoid hidden charges, such as long-term storage fees.
Cost to Sell on Amazon India for Beginners: The Basics
For those just starting, the cost to sell on Amazon India is surprisingly low, with no entry fee or monthly rent for a basic seller account. The primary costs are the Referral Fee (commission), Closing Fee (a fixed fee per sale), and Weight Handling Fee (delivery).
In 2026, Amazon simplified its fee structure to help small businesses. However, Self-Ship sellers now have even lower closing fees starting at just ₹20 for budget items. Understanding the breakdown of Amazon seller charges in India helps you decide whether to store products in your own garage or use Amazon’s FBA warehouses.
Amazon Seller Charges India Breakdown (2026 Estimates)
| Fee Type | Price Range | Estimated Cost |
|---|---|---|
| Referral Fee | Under ₹1,000 | ₹0 (For 1,800+ categories) |
| Referral Fee | Above ₹1,000 | 5% – 15% (Depends on category) |
| Closing Fee | ₹0 – ₹250 | ₹5 – ₹20 (Cheaper for Self-Ship) |
| Closing Fee | ₹501 – ₹1,000 | ₹30 – ₹40 |
| Weight Handling (Local) | 0 – 500g | ₹29 – ₹42 |
| Weight Handling (National) | 0 – 500g | ₹65 – ₹79 |
| FBA Storage Fee | Per Cubic Foot | ₹20 – ₹55 (Increases in Oct–Dec) |
| Removal Fee | Per Unit | ₹10 – ₹100 (If you want stock back) |
How Much Does it Cost to Sell on Amazon India Per Product
Selling on Amazon India typically costs between 15% to 25% of the product's selling price per unit, covering referral fees, closing fees, and shipping. Total fees include a referral fee (often 2%–16% based on category), a fixed closing fee (based on price), weight-handling fees, and GST.
Here is a breakdown of the typical cost components per product:
1. Referral Fees (Commission)
It is a percentage of the total sales price, including shipping.
- Under ₹1,000: 0% Referral Fee for most categories, including apparel, beauty, home, and toys.
- Above ₹1,000: Fees typically range from 2% to 25%, depending on the category.
- Mobile Phones: 5%
- Books: 13.5% for items over ₹1,000
- Fashion Jewelry: 22.5%
2. Closing Fees
It is a fixed fee charged per unit sold, based on the price slab and fulfillment method.
| Price Slab | Easy Ship | Fulfillment By Amazon (FBA) |
|---|---|---|
| ₹251 - ₹500 | ₹9 | ₹28 |
| ₹501 - ₹1,000 | ₹30 | ₹40 |
| ₹1,001 - ₹5,000 | ₹50 | ₹65 |
| Above ₹5,000 | ₹65 | ₹80 |
3. Weight Handling (Shipping) Fees
Amazon's weight handling fees are charges for picking up and delivering your products. The fees depend on the item's weight (using either the actual weight or the size, whichever is greater) and the delivery distance (local, regional, or national).
- Standard Items (under 500g): Starts at ₹29 for local delivery.
- Heavy or Bulky Items: Incur higher rates and additional "Pick and Pack" fees (approx. ₹26 for FBA).
4. Additional Costs
- GST: An 18% GST is applicable on all Amazon seller fees.
- Storage Fees (FBA only): Monthly charge of ₹45 per cubic foot for inventory stored in Amazon warehouses.
- Pick & Pack (FBA only): ₹14 per unit for standard items.
Understanding Hidden Costs: Key Facts to Consider
When selling on Amazon, it's essential to be aware that while the main fees might seem straightforward, several hidden charges can catch sellers by surprise. Here are some important aspects to keep in mind:
a.) Returns Fees
Unfortunately, when a product is returned, you won't receive any reimbursement for the shipping costs or closing fees you initially paid. It can be particularly impactful in high-return categories, such as fashion, where return rates are typically higher.
b.) Labeling and Preparation Costs
In 2026, sellers must ensure their products are labeled and packed in accordance with Amazon’s FNSKU (Fulfillment Network Stock Keeping Unit) standards. If products aren't prepared correctly, sellers may face additional penalties.
c.) Storage Overages
Another cost to be wary of is related to storage fees. If your inventory remains in an Amazon Fulfillment Center (FBA) for more than 270 days, the standard storage fees will increase significantly. It can have a noticeable impact on your overall expenses over time.
d.) Advertising Costs
Many new sellers invest a considerable amount, typically 15-20% of their revenue, in advertising, particularly in "Sponsored Products" campaigns, to attract customers and gain visibility.
Conclusion
Becoming an Amazon seller in India has become much more affordable in 2026, especially for those selling budget-friendly products. You can make a good profit by using the 0% referral fee and keeping your packaging light. However, it’s important to keep track of your Amazon seller account fees and any hidden costs to make sure your profits keep growing.
Related Post:
1. How To Become an Amazon Seller in 2026
2. Documents Required to Become an Amazon Seller in India – Updated 2026 Checklist
3. Documents Required for Amazon Seller Account Registration in India
4. Amazon Seller Registration Fees: What You Pay During Account Setup in 2026
Q. Does Amazon India charge a fixed monthly fee?
A. No, there is no monthly subscription fee for the standard seller plan in India.
Q. What is the referral fee for products under ₹1,000?
A. As of March 2026, it is 0% for over 1,800 categories, including Fashion, Home, and Beauty.
Q. How much GST is on Amazon seller fees?
A. Amazon charges a standard 18% GST on all the fees (referral, closing, and shipping) it deducts from you.
Q. Is FBA more expensive than Easy Ship?
A. FBA has higher storage and pick & pack fees, but it often leads to 3x more sales because of the Prime badge.
Q. Can Gonukkad help me calculate my exact profit margins?
A. Yes, Gonukkad provides ongoing daily seller account management, including detailed profit-and-loss tracking for every SKU.
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