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    Home»Business»How to Start Selling on Daraz in Pakistan: Seller Fees and Real Startup Costs (2026)
    Business

    How to Start Selling on Daraz in Pakistan: Seller Fees and Real Startup Costs (2026)

    Hamna RamzanBy Hamna RamzanNovember 5, 2026No Comments18 Mins Read
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    Sell on Daraz Pakistan — seller labelling a cardboard parcel box for online shipping
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    To sell on Daraz Pakistan you need no registration fee, no shop, and no business registration to start: a CNIC, a mobile number, an email address, and a bank account in your name are enough to open a Local Seller account. The real cost of selling on Daraz is not the signup — it is what Daraz takes from every order. Commission runs from 6.7% to 20% depending on category under the rates in force since 1 June 2026, and on top of that come a 2.25% payment fee, a per-item handling fee, 16% tax on those fees, and tax withheld at source. On a Rs 2,000 kurti sold cash on delivery, an Active Taxpayers List seller keeps about Rs 1,415 — Daraz and the taxes take 29% before the cost of the product itself.

    This guide walks through the registration steps, the full 2026 fee structure with a worked example, the optional programmes that cost extra, how and when you get paid, and what it genuinely costs to start. Facts are date-stamped 5 November 2026 and checked against Daraz University’s own fee pages and the Federal Board of Revenue’s (FBR) current circulars. Where Daraz leaves a figure unpublished, this article says so instead of inventing one.

    What you need before you register

    Daraz registration itself takes a few minutes, but the account cannot go live until the verification checklist is complete. Get these ready first:

    • A valid CNIC. Daraz needs the number and clear photos of the front and back. The name on the CNIC must match the bank account title, and the CNIC must not be expired.
    • A mobile number and an email address you actually use. The phone receives the OTP during signup, and order and payment statements go to the email.
    • A bank account in your name. Payouts go to this account, so it must be in the same name as the CNIC (or the business, for a corporate account). Daraz asks for the account number, bank name, branch code, and a clear image of a cheque or a bank letter.
    • An NTN tied to your CNIC. Daraz’s NTN page states that every seller must provide an NTN tied to their CNIC, and tax is still withheld if you do not register — at the higher non-filer rate. If you have not got one yet, read our guide to NTN registration for sole proprietors: for an individual the CNIC itself becomes the NTN, the government fee is nil, and the process runs through FBR’s IRIS portal.
    • Three addresses: a warehouse or pickup address, a business address, and a return address. Home-based sellers can use their home address, but it must be complete enough for a courier to find.
    • A shop name. Buyers see it on every listing, so pick something short, easy to spell, and related to what you sell. Changing it later means losing whatever recognition you have built.

    If you are registering a business in Pakistan anyway, you can open the account as a corporate seller instead — but you do not need to. Most new sellers start as individuals and register the business later, once sales justify it.

    How to create a Daraz seller account: 7 steps

    Go to the Daraz Seller Center at sellercenter.daraz.pk, or use the Daraz Seller Center app, and follow these steps:

    1. Choose your seller type. Daraz offers four, and the choice decides what documents you need:
    Seller type Who it is for Business registration needed?
    Local Seller Individual sellers and small traders in Pakistan No — CNIC is enough
    DarazMall Seller Registered businesses and verified brands wanting the trust badge Yes — NTN and business documents
    Global Seller Sellers based outside Pakistan selling into Pakistan Yes
    Digital Goods Seller Non-physical products such as top-ups and vouchers Varies
    1. Pick the account type: Personal or Corporate. If your business is registered with an NTN, choose Corporate; otherwise choose Personal. The two are not interchangeable later without re-verification, so pick the one that matches your actual position.
    2. Fill in the registration form: mobile number, OTP verification, password, email address, shop name, and country. Accept the terms and conditions and submit.
    3. Complete the address book: warehouse address, business address, and return address.
    4. Verify your identity. Personal sellers enter the ID type, name on ID, CNIC number, and upload CNIC photos (front and back). Corporate sellers verify the corporate file instead: legal name, business registration number, and the business registration document.
    5. Fill in the bank information: account name, account number, bank name, branch code, and a clear cheque image or bank letter.
    6. Submit and wait for verification. Daraz’s seller support team reviews the file before the shop goes live. Approval time varies — check Seller Center for updates rather than assuming the account is active.
    7. List your first products. Add clear photos, an honest title, the correct category, and a price that already includes the fees in the next section. A listing in the wrong sub-category can be charged a different commission rate, so match the category to the product, not to the cheaper rate.

    Registration costs nothing and Daraz charges no listing fee. That is the whole of the free part — everything after this section costs money on every order.

    Daraz seller fees in 2026: the full stack

    Daraz takes four kinds of deductions from each sale, plus taxes withheld at source. The commission is the biggest, but it is only the first line on the statement.

    1. Commission by category (in force since 1 June 2026)

    The rates below come from Daraz’s own PDF titled “PK Commission Rates, May 2026”, linked from the Marketplace Commission Structure page of Daraz University and read in October 2026. Commission is charged as a percentage of the item price, before tax, and it is set down to sub-category level — a kurta and a scarf can carry different rates even though both are fashion. Confirm your exact line in Seller Center before pricing anything.

    What you sell Commission from 1 June 2026
    Jewellery, watches, scarves and hair accessories 20.00%
    Women’s and men’s clothing, shoes, hijabs and Muslim wear 18.50%
    Baby clothing and accessories 18.36%
    Women’s bags (Fashion listing) 18.50%
    Home decor: candles, frames, artificial flowers 17.25%
    Women’s bags (Bags and Travel listing) 17.00%
    Kitchen and dining, bedding and bath 16.65%
    Fragrances 16.54%
    Makeup, skin care and hair care 16.04%
    Toys and games 13.50% (12.80% on some lines)
    Phone cases and screen protectors 13.00%
    Mobile accessories: cables, power banks, chargers 12.90%–16.00%
    Groceries 8.54%
    Stationery and craft 6.70%

    At the low end, laptops and some electronics lines sit near 2%–5%; at the high end, fashion and jewellery reach 20%. That spread is the single most important pricing fact on Daraz: a fashion seller gives up roughly a fifth of the price to commission alone, while an electronics seller gives up a twentieth. DarazMall sellers get a 0.5% reduction on commission in every category, which is one reason the trust badge is worth pursuing once you qualify.

    2. Payment fee: 2.25% on every order

    Daraz charges a 2.25% payment fee on the order value, on prepaid and cash-on-delivery orders alike. Because 16% tax is added to the fee, it shows on your statement as 2.61% of the price — that is not an overcharge, it is the fee plus tax.

    3. Item handling fee: Rs 10 to Rs 60 per item

    The handling fee is charged per item, based on the price of one item. Digital goods, top-ups, service products, and items you deliver yourself are excluded. If Daraz collects your parcels instead, a pick-up fee replaces it, charged per parcel by weight.

    Price of one item Handling fee per item
    Rs 0–500 Rs 10
    Rs 501–1,000 Rs 15
    Rs 1,001–2,000 Rs 20
    Rs 2,001 and above Rs 60

    Watch the jump at Rs 2,001: a Rs 2,000 kurti pays a Rs 20 handling fee, and the same kurti priced at Rs 2,050 pays Rs 60. Price just under the threshold when you can. Pick-up fees, where they apply, are Rs 30 for parcels under 3 kg, Rs 70 for 3 kg to under 8 kg, Rs 100 for 8 kg to under 35 kg, and Rs 200 for 35 kg and above.

    4. Tax on Daraz’s fees: 16%

    Provincial sales tax of 16% applies to the platform service fee — that is, to the commission, payment fee, handling fee, and any programme fees. It is charged on the fees, not on the item price, and it appears inside each fee line on your statement. The rate can differ slightly by province, so if your statement shows a different figure, use that one.

    5. Tax withheld at source: up to 4% of the price

    These are not Daraz fees, but they come off the same payment. Under FBR’s Income Tax Circular 01 of 2025–26, income tax on online sales falls under section 153(2A) of the Income Tax Ordinance 2001, and the withholding rate card (updated to 30 June 2026) sets the rates on the gross amount payable:

    How the buyer paid On the Active Taxpayers List Not on the list
    Digital payment, through a payment intermediary 1.00% 2.00%
    Cash on delivery, collected by the courier 2.00% 4.00%

    On top of that, sales tax of 2% is withheld on digitally ordered goods. Daraz’s own NTN page describes the two withheld taxes together as “up to 4%” of the item price, less discounts and excluding shipping. Which exact row Daraz applies to a given order is not stated publicly, so check the Income Tax Withholding and Sales Tax Withholding lines on your own statement — at 1% on a cash order you keep Rs 20 more per Rs 2,000 than at 2%. The single cheapest tax decision a new seller can make is to check your ATL status and stay on the Active Taxpayers List: the filer rate is half the non-filer rate on every order. For tax year 2026 this withholding is a final tax under section 6A; from tax year 2027 it stays final by default, turns adjustable above Rs 200 million of turnover, and a seller up to Rs 200 million may opt out when filing. Our guide explains how to file your FBR tax return if you need to report this income yourself.

    Worked example: what a Rs 2,000 order actually pays you

    Take a kurti sold for Rs 2,000 at the 18.50% clothing rate, and a phone cover sold for Rs 1,500 at the 13.00% rate. Both are cash on delivery, delivered and not returned, and the seller is on the Active Taxpayers List. The kurti costs Rs 1,100 to make plus Rs 40 of packaging; the cover costs Rs 700 landed with packaging. Shipping is treated as Rs 0 net here, because Daraz publishes no per-parcel seller rate — subtract whatever your net shipping actually is.

    Kurti, Rs 2,000 Phone cover, Rs 1,500
    Commission Rs 370 (18.50%) Rs 195 (13.00%)
    Payment fee, 2.25% Rs 45 Rs 34
    Handling fee Rs 20 Rs 20
    Tax on those fees, 16% Rs 70 Rs 40
    Paid out by Daraz Rs 1,495 Rs 1,211
    Income tax withheld, 2% Rs 40 Rs 30
    Sales tax withheld, 2% Rs 40 Rs 30
    Lands in your bank Rs 1,415 Rs 1,151
    Taken by Daraz and the taxes Rs 585 — 29% of the price Rs 349 — 23% of the price
    Left after your product cost Rs 275 Rs 451

    The rule of thumb: without Free Shipping Max, the all-in take is your commission rate plus about 10 to 11 points. On the kurti, 18.50 of the 29.25 points are commission and 10.75 are the other fees and taxes. Price from the all-in figure, not from the commission rate Daraz lists. A kurti that costs Rs 1,140 with packaging breaks even near Rs 1,620, before returns and advertising — price below that and the order loses money even when it sells.

    Free Shipping Max and Voucher Max: are they worth it?

    Two optional programmes add further fees, and both are easy to join and slow to leave — decide on the numbers, not on the badge.

    Free Shipping Max (FSM) is Daraz’s free-shipping programme: you pay a fee per delivered item and Daraz pays the shipping to your customers. From 1 June 2026 the fee is 6% of the item price, capped at Rs 200 (it was Rs 150). On the Rs 2,000 kurti that is Rs 120, and with tax it takes the seller’s bank landing from Rs 1,415 down to Rs 1,276 — Daraz and the taxes then take 36% of the price. FSM only pays for itself if it brings extra orders: at Rs 136 profit per kurti with FSM, you need 202 orders to earn what 100 orders earn without it. You cannot leave FSM for 30 days, and stacking it with a seller-funded free-shipping promotion means paying both fees. Compare your orders per day over 30 days with FSM against the 30 days before, and drop it if the extra orders do not cover the fee.

    Voucher Max replaced the old campaign voucher agreement. Its fee is 3% of the item price, capped at Rs 5,000, from 1 June 2026 (it was 2%). Joining is mandatory for campaigns and you cannot leave for 30 days. At 3% that is Rs 60 on the kurti and Rs 45 on the phone cover — neither is included in the worked example above, so add it to your maths before joining a campaign.

    New Seller Package. Daraz’s New Seller Package terms give 0% platform commission for 30 days, starting the day you finish four tasks within the first 90 days, including joining FSM. That saves Rs 429 with tax on each Rs 2,000 kurti — but it does not cover the payment fee, and the commission returns in full when the 30 days end, so price for the day it ends, not for the free window.

    How and when Daraz pays you

    Payment is weekly. The MyIncome statement appears the day after the payment cycle ends, and the transfer reaches your bank five days later. Keep the signed airway bill for every parcel for at least three months, because payment depends on it — a lost airway bill can hold up the payout for that order.

    Cash on delivery is the norm for most Pakistani buyers, which means Daraz collects the cash and pays you later; you do not receive the buyer’s money directly. That is also why the withholding table above has a separate, higher COD row. If most of your buyers pay by card or wallet, the digital-payment withholding row applies instead, and your payout is a little higher. Payment options buyers use include cards and wallets, and sellers who also take direct payments should read our guide on whether clients can pay via JazzCash or Easypaisa, because the limits and the honest answer there apply to direct sales as well as freelance work.

    Real startup costs: what you actually need to spend

    Registration is free, but a shop with no stock and no packaging sells nothing. A realistic starter budget for a small seller looks like this:

    Cost Typical amount Notes
    Daraz seller registration Rs 0 Free; no listing fee either
    NTN registration Rs 0 government fee Via FBR IRIS; worth doing before the first sale to halve your withholding
    First stock Rs 5,000–20,000 Start with 10–20 units of one or two proven products, not a wide range
    Packaging: boxes, tape, flyers, labels Rs 1,000–3,000 Buy in bulk from a wholesale market, not per piece
    Product photos Rs 0 A phone camera in daylight is enough to start; reshoot once a product sells
    Optional: Daraz advertising Rs 0 to start Only after a listing is converting on its own; ads on a listing that does not convert waste money
    Realistic total to start Rs 6,000–23,000 Plus the fees on each order in the tables above

    Some sellers report starting with as little as Rs 3,000 of stock. That is possible, but it leaves no room for a return, a damaged parcel, or a product that does not sell — and returns do happen. A Rs 10,000–15,000 starter budget for a single product line is a saner figure for most people.

    Penalties to avoid

    Daraz charges penalties per order, and sellers with a good record are excused from them. The published penalties are:

    What goes wrong Penalty You are exempt if
    You cancel an order 30% of the item value, up to Rs 500 per order Your cancellation rate is under 1% over the last 90 days
    Order processed late 1% of the item value, up to Rs 500 per order More than 90% processed within the SLA over the last 90 days
    Return that is your fault 30% of the item value, up to Rs 500 per order Your quality return rate is under 1% and the product is not flagged

    Total penalties are capped at 30% of your payout. The practical lesson is simple: never list stock you do not have, ship the same day where possible, and describe the product exactly as it is. A cancelled order costs up to Rs 500 and damages the shop’s rating; an accurate listing costs nothing.

    Daraz or your own store?

    Daraz wins on traffic and trust: millions of buyers already search there, cash on delivery is handled for you, and there is no monthly fee. Your own store — or a social-media page — wins on margin, because you keep the 20%–30% Daraz takes, and you keep the customer data. Most sellers who last use both: Daraz for discovery and first orders, and their own channel for repeat buyers once a product is proven. If you go the registered-business route for your own store, our guide to registering a private limited company with SECP covers the company setup, and the guide to opening a business bank account in Pakistan covers the account you will need to receive those payments. For the tax side, remember that sales tax registration in Pakistan becomes a separate question once turnover grows — FBR’s threshold is Rs 10 million for goods, and provincial rules differ.

    Mistakes new sellers make

    • Pricing from the commission rate alone. The all-in take is commission plus about 10–11 points. Price from the worked example, not from the headline rate.
    • Listing in the wrong sub-category. Commission is set per sub-category, and a listing in the wrong one can be charged more — or delisted.
    • Joining Free Shipping Max on day one. It costs 6% per order and locks you in for 30 days. Earn the traffic first, then test whether it pays.
    • Ignoring the return rate. Cash-on-delivery returns are the most expensive surprise in Pakistani e-commerce. A returned order still costs you the handling and the courier trip, and the product may come back unsellable.
    • Selling without an NTN. You pay double the withholding on every order, and you cannot claim the tax back properly without a filer record.
    • Copying another seller’s photos or description. Daraz removes infringing listings, and buyers who receive a different product leave one-star reviews that stay on the shop.
    • Treating the 30-day 0% commission window as the real margin. It ends, and every price must still work at the full rate.

    Frequently asked questions

    How much does it cost to start selling on Daraz in Pakistan?

    Registration is free and there is no listing fee. The real startup cost is stock and packaging — realistically Rs 6,000–23,000 for a small first batch — plus the per-order fees: commission of 6.7%–20% by category, a 2.25% payment fee, a Rs 10–60 handling fee, 16% tax on those fees, and up to 4% withheld at source.

    Do I need a business registration to sell on Daraz?

    No. The Local Seller option is for individuals without business registration — a CNIC, mobile number, email, and bank account are enough. You need registration only if you want a DarazMall storefront, which carries a trust badge and a 0.5% commission reduction.

    How much commission does Daraz take in 2026?

    It depends on the category. Under the rates in force since 1 June 2026, commission runs from about 2% on some electronics lines and 6.70% on stationery, through 13.00% on phone cases and 13.50% on toys, to 18.50% on clothing and shoes and 20.00% on jewellery and watches. Confirm your exact sub-category rate in Seller Center before pricing.

    When does Daraz pay sellers?

    Payment is weekly. The MyIncome statement appears the day after the payment cycle ends and the transfer reaches your bank five days later. Keep the signed airway bill for every parcel for at least three months, because payment depends on it.

    Is the New Seller 0% commission offer really free?

    Partly. It removes the platform commission for 30 days after you complete four tasks within the first 90 days, including joining Free Shipping Max. It does not remove the 2.25% payment fee, the handling fee, the tax on fees, or the withholding — and the full commission returns when the 30 days end.

    What is the difference between DarazMall and a Local Seller account?

    DarazMall is for registered businesses and verified brands. It carries a visible trust badge, generally converts better, and gives a 0.5% reduction on commission in every category. A Local Seller account needs no business registration and is where most new sellers start.

    Featured image: Photo by Kampus Production on Pexels (free to use). Facts checked 5 November 2026 against Daraz University’s commission and payment policy pages and FBR Circular 01 of 2025–26. Daraz revises its fees periodically — confirm the current rates in Seller Center before pricing.

    Daraz commission rates Daraz payment cycle Daraz seller account Daraz seller fees DarazMall sell on Daraz Pakistan
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    Hamna Ramzan

    Expert Content Writer and Journalist! Serving at NewsTook with high professinalism skill in content research and publishing.

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