Selling Handmade Products Abroad: Amazon, Etsy, Own Site and India Post
Quick answer: Small makers usually sell abroad through Amazon Global Selling (18+ marketplaces, needs IEC and a bank AD code), Etsy (US$0.20 per listing plus a 6.5% transaction fee and payment processing) or their own website with a cross-border payment gateway. For shipping, India Post’s Dak Ghar Niryat Kendras (DNKs) let you book export parcels, file the postal bill of export online and claim export incentives, at regular postal rates shown when you book.
Who this guide is for
This is for women who make or source handmade goods: block-printed textiles, embroidery, handloom, jewellery, home decor, toys, paper crafts. You are selling to individual customers abroad, one parcel at a time, rather than shipping containers to a wholesaler.
Before your first overseas sale, sort out the basics in our guide on starting to export: IEC, GST and LUT, and an RCMC from EPCH or the right council if you want incentives. Selling to customers is trade, so the personal-use exemption from IEC does not apply.
Comparing the three routes
| Amazon Global Selling | Etsy | Your own website | |
|---|---|---|---|
| Best for | Products that sell in volume, standard sizes | One-of-a-kind, handmade, vintage, custom | Brands with their own audience |
| Reach | 18+ Amazon marketplaces incl. US, UK, UAE, Japan, Australia | Global buyers looking for handmade | Only the traffic you bring |
| Key fees | Category-wise referral fees and fulfilment fees, by marketplace | US$0.20 per listing, 6.5% transaction fee, payment processing | Platform subscription, payment gateway fees |
| Documents | PAN, GST, IEC, AD code, LUT | Shop and payment account set-up, ID and bank details | IEC, LUT, a cross-border payment gateway |
| Shipping | FBA (Amazon stores and ships) or self-ship | You ship | You ship |
Route 1: Amazon Global Selling
Amazon’s India export page lists what you need: PAN, GST, an IEC, a 14-digit AD code from the bank where you hold your business current account, and an LUT so you can ship without paying IGST upfront. Depending on category and shipping method, you may also need a shipping bill, commercial invoice, packing list, certificate of origin or inspection certificates.
You choose between:
- Fulfilment by Amazon (FBA): you send stock to Amazon’s warehouse in the destination country. Amazon packs, ships and handles returns. Someone must act as the Importer of Record, who is responsible for customs duty and compliance there.
- Merchant Fulfilled Network: you ship each order yourself, for example by post or courier.
Payments reach your Indian bank account in rupees. Referral and fulfilment fees vary by category and marketplace and are published on Amazon’s pricing pages for each region. Amazon also lists new-seller incentives for some marketplaces, such as a percentage back on early branded sales. Read the current terms, as they change.
When it works: consistent products (stoles, cushion covers, jewellery lines) where you can keep stock at a steady quality.
Route 2: Etsy
Etsy is built for handmade, vintage and craft supplies. Etsy’s fee basics, as of October 2026:
- Listing fee: US$0.20 per listing, charged whether or not it sells. Renewals and each sale of a multi-quantity listing cost another US$0.20.
- Transaction fee: 6.5% of the total order, including the shipping and gift wrap you charge.
- Payment processing: a fixed amount plus a percentage, which depends on your bank’s country. Check the current rate for India in Etsy’s Fees and Payments Policy.
- Offsite Ads: extra fees apply if a sale comes through Etsy’s advertising on other sites.
Price for all of this. A ₹1,500 item can lose a noticeable share to fees, currency conversion and shipping, so build them into your price rather than absorbing them.
When it works: one-off pieces, personalised orders and makers with good photographs and a clear story.
Route 3: Your own website
A website (Shopify, WooCommerce or similar) gives you control of your brand, prices and customer data. You will need:
- A cross-border payment aggregator (PA-CB) authorised by RBI, or a gateway that supports international cards. RBI rules cap each cross-border transaction processed by a PA-CB at ₹25 lakh, which is well above typical retail orders.
- Clear shipping and returns policies for each country.
- A way to bring buyers: Instagram, WhatsApp, the diaspora network, craft fairs.
Many makers run a website alongside Etsy or Amazon rather than instead of them. For how money arrives and what proof you need, see our guide on getting paid from abroad.
Shipping through Dak Ghar Niryat Kendra
DNKs are export counters at post offices, run by the Department of Posts with CBIC. A government release in January 2026 counted 1,013 DNKs across the country.
How it works:
- Register on the DNK portal (dnk.cept.gov.in) with your IEC and KYC details.
- Create the shipment online: enter the buyer, invoice and item details. The portal generates the Postal Bill of Export (PBE-I for e-commerce exports, PBE-II for other commercial exports).
- Pay from the portal’s wallet and print the label.
- Hand over the parcel at the DNK or arrange pick-up. Customs clearance is done electronically (“faceless”), and the post office records proof of export.
- Track the parcel on the portal.
Services and weight limits (India Post):
| Service | Weight limit |
|---|---|
| Registered packet | Up to 2 kg |
| International Tracked Packet Service (ITPS) | Up to 2 kg (5 kg for some destinations) |
| Air parcel | Up to 20 kg |
| EMS Speed Post | Up to 35 kg |
Costs. India Post publishes rates by service, weight and destination, and the DNK portal shows the charge before you pay. We have not listed rates here because they vary by country and change. A circular from the Council for Leather Exports reported India Post tariff cuts of up to 49% from 1 April 2025.
Export incentives by post. From 15 January 2026, Duty Drawback, RoDTEP and RoSCTL can be claimed electronically on postal exports. You need to be registered on ICEGATE with your bank account before you claim, and you must make the claim when filing the PBE.
Shipping to the US. The US withdrew duty-free treatment for low-value postal parcels in August 2025, and India Post suspended US bookings until 15 October 2025. Services resumed on a Delivered Duty Paid basis: customs duty is collected in India at booking and passed to US Customs, and India Post said it adds no extra handling charge for this. US duty rates are subject to change, so check India Post’s latest notice before you quote a US customer.
Common mistakes
- Selling abroad without an IEC because “it’s only parcels”. Selling is trade.
- Forgetting the LUT and paying IGST on every export invoice.
- Pricing without fees, shipping and destination duty, then losing money on each order.
- Not claiming RoDTEP on the PBE when you file it. It is hard to claim later.
- Vague product descriptions on the invoice. Customs in both countries need clear descriptions and values.
- Under-declaring value to help the buyer. It creates mismatches when you reconcile payments.
Tip for small makers: start with a few products that ship well (light, flat, unbreakable), test two or three countries, and keep a simple sheet of each order’s invoice number, PBE number, tracking number and payment reference. That one sheet makes incentive claims and bank reconciliation much easier.
FAQ
Q: Do I need a company to sell on Etsy or Amazon abroad?
A: No. A proprietorship with PAN, a business bank account and an IEC can sell. Amazon also asks for GST and an AD code.
Q: Is shipping by post cheaper than courier?
A: Often for small, light parcels, but compare rates for your weight and destination on the DNK portal and with couriers before deciding.
Q: Can I ship to the US by post now?
A: Yes, since 15 October 2025, with duty collected upfront in India. Check the current duty rate before you price.
Q: Do I need an RCMC to sell handicrafts abroad?
A: Not to sell. You need one from EPCH (or the right council) to claim incentives such as RoDTEP.
Q: What is an AD code?
A: A 14-digit code your bank issues against your current account so export shipments can be linked to your bank. Amazon and customs systems ask for it.
Q: Can I claim export incentives on post office shipments?
A: Yes, since January 2026, if you are registered on ICEGATE with your bank details and claim on the postal bill of export.
Official links
- Dak Ghar Niryat Kendra portal: https://dnk.cept.gov.in
- India Post, export of commercial items: https://indiapost.gov.in/MBE/Pages/Content/ExportofCommercialItems.aspx
- ICEGATE: https://www.icegate.gov.in
- Amazon Global Selling India: https://sell.amazon.in/grow-your-business/amazon-global-selling/exports
- Etsy Fee Basics: https://help.etsy.com/hc/en-us/articles/360035902374-Etsy-Fee-Basics
- DGFT (IEC, RCMC): https://www.dgft.gov.in
- EPCH: https://www.epch.in
Last checked: October 2026. Rules, limits and fees change; confirm with the official source before you apply. This guide is general information, not legal, tax or financial advice.
Sources: Amazon Global Selling, India exports page (October 2026); Etsy Fee Basics (October 2026); India Post, Export of Commercial Items through Postal Channel (October 2026); Department of Posts Public Notice DA-40/2/2025-DA-DOP (October 2025); IANS, Export benefits for MSMEs rolled out on postal channel (January 2026); Council for Leather Exports circular on DNKs (April 2025); RBI Master Direction on Regulation of Payment Aggregators (September 2025); South Asian Herald, India restarts postal shipments to America (October 2025)