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Amazon to set up seven new fulfilment centres in India

Amazon India will be doubling its storage capacity in the country by setting up seven new fulfilment centres (FC) in the country by the end of the current quarter.

The new fulfilment centres will be set up in Telangana, Haryana, Maharashtra, Madhya Pradesh, Uttar Pradesh and Andhra Pradesh to support its regular business. The company says that new FCs will create 5000 new jobs to fulfill Prime orders faster. Amazon’s FCs will cover a total area of close to 4 million square feet and offer a storage capacity of over 13 million cubic feet.

It had earlier announced seven specialized fulfilment centres for large appliances and furniture.  Amazon is also doubling the storage capacity of centres in Ahmedabad and 6X more space at the urban FC in Delhi to support increased customer and seller demand.

Last year, Amazon India opened six FCs  in Chennai, Mumbai, Delhi and Jaipur to expand its services. At the time it had mentioned that 80% of sellers in India used its fulfilment services. Amazon CEO Jeff Bezos said that the company had increased capacity for sellers by 26% last year.

Bezos continues to be bullish on India had also said that Amazon.in is the fastest growing marketplace and the company “will keep investing in technology and infrastructure while working hard to invent on behalf of our customers and small and medium businesses.” In December, the company made a fresh investment of Rs 2010 crore into the India unit taking the overall investment in India to Rs 7,000 crore in the last financial year.

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– Net sales increased 23% to $35.7 billion in the first quarter, compared with $29.1 billion in first quarter 2016.

– Net profit was $724 million in the first quarter compared with net income of $513 million in first quarter 2016. An increase of 41% year-on-year.

– Amazon India revenues stood at Rs 2,275 crore for the year ended March 2016, compared with Rs1,022 crore in the previous year. The firm’s loss soared to Rs3,572 crore from Rs1,724 crore in the previous year.

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