Amazon will develop a second fulfilment centre in India.
The company announced the plans to launch the new site near Bangalore, which will be operational by next month. The centre, the first to be opened in the south of the country, will cover 150,000 sq ft.
It will support both incoming and outgoing deliveries, while also being equipped with the company's state-of-the-art warehousing systems to store products for sellers using its Fulfilment service.
A company statement said the move was part of the firm's continuing commitment to improve the shopping experience for customers in India and to enable small and medium enterprises to get a national foothold. Vice-president and country manager Amit Agarwal added: "We are very excited by the tremendous response from sellers of all sizes for our Fulfilment by Amazon offering since the launch of Amazon.in."
The new centre will also be a boost for buyers, allowing them to order a wide spectrum of products which are eligible for the guaranteed next-day delivery service.