Dropshipping Amazon India to Amazon Canada - Worth it or Not ?

This is a crucial topic to understand correctly. Your proposed plan is a direct and serious violation of Amazon's policies and will lead to your account being permanently suspended.

Let me guide you on why that model is not allowed and then show you the correct, Amazon-approved way to sell Indian products on Amazon Canada.

🛑 Important Warning: Why Your Plan Will Not Work

The model you described, "Buy from India amazon (Amazon.in) and sell to Canada amazon (Amazon.ca)," is a form of Amazon-to-Amazon dropshipping.

This is strictly prohibited.

Amazon's dropshipping policy states that you must be the "seller of record" for all products. This means:

  • All packing slips, invoices, and external packaging must identify you as the seller.
  • You cannot purchase products from another retailer (including another Amazon site) and have them ship directly to the customer.

If you buy from an Amazon.in seller, the package will arrive in Canada with Amazon.in branding and an invoice from the Indian seller. This confuses the customer and is a direct policy violation. You will be caught and suspended.

✅ The Correct Method: Amazon Global Selling

The official and profitable way to achieve your goal is through the Amazon Global Selling program. This program is designed specifically for sellers like you who want to sell products from their home country (India) in an international marketplace (Canada).

Here is a step-by-step guide to setting this up correctly.

Step 1: Get Your Business Documents in India

Before you register, you must have the required Indian business documents for export:

  • Importer Exporter Code (IEC): A mandatory 10-digit code from the Directorate General of Foreign Trade (DGFT) for anyone exporting from India.
  • GST Registration: You will need a GSTIN. For exports, you can file a Letter of Undertaking (LUT) to export goods without paying GST.
  • Authorized Dealer (AD) Code: A code from your bank that is required for customs clearance and receiving foreign payments.

Step 2: Register for an Amazon Canada Seller Account

  1. Go to the Amazon Global Selling website (you can start from sell.amazon.in/global-selling).
  2. Choose to register for the North America marketplace, which includes Canada (Amazon.ca), the USA, and Mexico in one unified account.
  3. You will need the following for registration:
  • An international-chargeable credit card.
  • Your ID proof (like a passport).
  • Your business address and bank account details.

Step 3: Find Your Suppliers (Not Amazon.in)

This is the most critical step. Instead of buying from Amazon.in, you must source your products directly from:

  • Indian manufacturers
  • Wholesalers
  • Local artisans

This allows you to get competitive pricing and, most importantly, control your own branding and packaging.

Step 4: Choose Your Fulfillment Method

You have two main options for how to get your products to Canadian customers.

  • Option 1: Fulfillment by Amazon (FBA) (Highly Recommended)
  1. You ship in bulk: You export your products (e.g., 200 units of a product) from India to an Amazon FBA warehouse in Canada.
  2. Amazon does the rest: When a Canadian customer buys your product on Amazon.ca, Amazon handles the storage, packing, and shipping to the customer. They also manage customer service and returns.
  3. Benefits: Your products become eligible for Amazon Prime, which massively boosts sales. You don't have to worry about international shipping for every single order.
  • Option 2: Fulfillment by Merchant (FBM) / Self-Ship
  1. You ship each order: You list your products on Amazon.ca, but they stay in your inventory in India.
  2. When a customer in Canada places an order, you are responsible for packing and shipping that single item from India to their address in Canada.
  3. Challenges: This is very difficult. International shipping is expensive, slow, and you must handle Canadian customs and import duties for every single package, which leads to a bad customer experience.

Step 5: List Products and Handle Logistics

  1. Create Listings: List your products on the Amazon.ca Seller Central dashboard. All descriptions and pricing must be for the Canadian market (e.g., prices in $CAD).
  2. Handle Export & Import (for FBA): To send your bulk shipment to the FBA warehouse, you must:
  • Use a freight forwarder or courier (like DHL, which partners with Amazon).
  • Ship your goods DDP (Delivered Duty Paid). This means you (the seller) must pay all Canadian import taxes (like GST/HST) and customs fees upfront.
  • You will need to assign an Importer of Record (IOR) in Canada, which a customs broker or freight forwarder can help you with.

Summary: Your Plan vs. The Correct Plan

Feature

Your Plan (Amazon-to-Amazon)

The Correct Plan (Global Selling FBA)

Policy

🚫 Violation

Approved

Account Status

Will be suspended.

Safe and supported by Amazon.

Sourcing

Buying retail from Amazon.in

Buying wholesale from Indian manufacturers.

Branding

Amazon.in branding (violation)

Your own branding (you are seller of record).

Shipping

One by one (if it even worked)

In bulk to an Amazon warehouse.

Profit Margin

Very low (buying at retail)

High (buying at wholesale).

Customer Speed

Very slow

Fast (Prime shipping within Canada).

I strongly advise you to forget the "dropshop" idea and focus your efforts on building a real export business using the Amazon Global Selling program.

Would you like me to find the official Amazon Global Selling registration page for Indian sellers?

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