Amazon Fee Calculator India: Referral Fee, FBA Cost & True Profit
- Selling on Amazon India involves at minimum: referral fee (5–35% of selling price by category) + closing fee (₹2–₹25 fixed) + FBA fee (if using Fulfilment by Amazon). Most sellers underestimate total fees by 40–50%.
- For a ₹799 electronics accessory, Amazon takes approximately ₹145–₹195 in fees (18–24%) before your COGS, shipping, and advertising costs.
- FBA fees in India cover pick, pack, and ship — typically ₹40–₹80 for small items, ₹80–₹150 for medium, ₹150–₹300+ for heavy items. FBA is worth it for Prime badge and reduced operational complexity.
- Net margin on Amazon India of 10–15% after all fees is considered healthy. Below 8% is dangerously thin. Calculate before listing.
Use our free Amazon Fee Calculator to find exact referral fees, FBA charges, closing fees, and net profit for any product on Amazon India.
Amazon India Fee Structure (2025)
1. Referral Fee
A percentage of the item's selling price, paid on every sale:
| Category | Referral Fee |
|---|---|
| Electronics (accessories) | 14% |
| Electronics (devices) | 5–8% |
| Mobile phones | 4% |
| Books | 15.5% |
| Clothing & Apparel | 17% |
| Beauty & Personal Care | 16% |
| Home & Kitchen | 12% |
| Toys & Games | 14% |
| Sports & Outdoors | 12% |
| Grocery & Food | 8% |
| Automotive | 12% |
| Shoes & Handbags | 15% |
| Jewellery | 20% (first ₹250) + 5% above |
| Watches | 13% |
2. Closing Fee
Fixed fee per item sold, varies by price tier:
| Selling Price | Closing Fee |
|---|---|
| Below ₹250 | ₹2 |
| ₹250–₹500 | ₹5 |
| ₹500–₹1,000 | ₹10 |
| Above ₹1,000 | ₹25 |
3. FBA (Fulfilment by Amazon) Fee
Covers storage, picking, packing, and shipping by Amazon:
| Size Tier | Weight | FBA Fee |
|---|---|---|
| Envelop (small) | Up to 50g | ₹40–₹55 |
| Small standard | 50–500g | ₹55–₹80 |
| Standard | 500g–1kg | ₹80–₹120 |
| Standard | 1–2kg | ₹120–₹180 |
| Large | 2–5kg | ₹180–₹280 |
| Heavy/Bulky | 5kg+ | ₹280–₹500+ |
4. Storage Fee
For FBA sellers storing inventory in Amazon warehouses:
- Standard: approximately ₹22–₹37 per cubic foot per month
- Long-term storage (365+ days): significantly higher penalty fees
Full Profit Calculation: ₹799 Electronics Accessory (FBA)
Item Amount
Selling price ₹799
Referral fee (14%) −₹111.86
Closing fee −₹10
FBA fee (200g small standard) −₹70
Subtotal after Amazon fees ₹607.14
Product cost (COGS) −₹280
Amazon advertising (PPC) −₹80
Packaging cost (already in FBA) ₹0
GST liability (18% collected, offset by input credit) −₹60 (net)
Net Profit ₹187.14
Net Margin 23.4%
| Item | Amount |
|---|---|
| Selling price | ₹799 |
| Referral fee (14%) | −₹111.86 |
| Closing fee | −₹10 |
| FBA fee (200g small standard) | −₹70 |
| Subtotal after Amazon fees | ₹607.14 |
| Product cost (COGS) | −₹280 |
| Amazon advertising (PPC) | −₹80 |
| Packaging cost (already in FBA) | ₹0 |
| GST liability (18% collected, offset by input credit) | −₹60 (net) |
| Net Profit | ₹187.14 |
| Net Margin | 23.4% |
This example has a healthy margin. However, if the product costs ₹380 instead of ₹280, margin drops to 10.9% — thin but acceptable. At ₹450 COGS, it's 5.9% — dangerous.
Easy Ship vs. FBA vs. Self-Ship
Feature FBA Easy Ship Self-Ship (MFN)
Eligible for Prime ✅ Yes ✅ Yes (select) ❌ No
Storage Amazon warehouse Your storage Your storage
Packing Amazon You You
Shipping Amazon Amazon You arrange
Cost Higher Medium Lower (but effort)
Returns handling Amazon Amazon You
Best for High-volume, light items Moderate volume Large/custom items
| Feature | FBA | Easy Ship | Self-Ship (MFN) |
|---|---|---|---|
| Eligible for Prime | ✅ Yes | ✅ Yes (select) | ❌ No |
| Storage | Amazon warehouse | Your storage | Your storage |
| Packing | Amazon | You | You |
| Shipping | Amazon | Amazon | You arrange |
| Cost | Higher | Medium | Lower (but effort) |
| Returns handling | Amazon | Amazon | You |
| Best for | High-volume, light items | Moderate volume | Large/custom items |
Easy Ship fees (Amazon picks up from your location and ships): Typically ₹40–₹60 per shipment for standard size — cheaper than FBA but requires you to manage inventory and pack orders.
GST on Amazon Sales
Amazon sellers in India must be GST registered (mandatory for inter-state sales and if turnover exceeds ₹20L).
Amazon collects GST from buyers and pays it to the government via TCS (Tax Collected at Source) mechanism:
- Amazon deducts 1% TCS from each payment (1% on intra-state, 2% on inter-state IGST basis — subject to change)
- You claim this TCS credit in your GST return
- Net GST liability depends on your product's GST rate and your input tax credits
GST rates on common Amazon categories:
- Electronics: 18%
- Clothing (above ₹1,000): 12%
- Books: 0%
- Beauty products: 18%
- Food/grocery: 0–5%
Amazon Advertising (PPC) Cost
Most successful Amazon sellers spend 5–15% of revenue on Amazon PPC to maintain visibility. This is not captured in Amazon's fee calculator — but it's real cost.
Typical Amazon India ACOS (Advertising Cost of Sale):
- Competitive categories: 20–35%
- Less competitive: 10–20%
- Target ACOS = Your gross margin % (at this level, ads break even and all organic sales are pure profit)
Example: Gross margin 35% → Target ACOS ≤ 35%. If ACOS is 45%, ads are unprofitable — reduce bids or pause low-performing keywords.
FAQ
Try the Free Amazon Fee Calculator
Use ToolMira's calculator — no signup, no ads, works on mobile.
Open Ecommerce Calculator →Disclaimer: This article is for educational purposes only and does not constitute financial, investment, or professional advice. Please consult a qualified professional before making any decisions based on this content.