Once an item is shipped, PayPal lets you track the progress of that shipment easily. PayPal displays a record of all your orders, including shipping status.
As a merchant, you can use the Add Tracking API to send shipment tracking numbers to PayPal for PayPal transactions.
PayPal uses these numbers to discern and investigate fraudulent customers. If you sell tangible goods, you are encouraged to send these numbers to PayPal as soon as you ship items to your customers. This information enables you to access funds more quickly, provide seller protection, and keep customers informed.
Login to your Store Admin and then Click on “Settings” from the left side.
Left Menu >> Settings
After clicking on setting link you will see a page then click on “Paypal Tracking” block.
You can enable the feature. You can add Paypal Client ID and Paypal Secret Key and then click on “Save”.
To get the Client ID and the Secret Key from Paypal you need a Paypal account.
Here is step by step guide to get client ID and Secret Key : Click Here
After getting these Client ID and the Secret Key add them into the form and save it. It will automatically keep sending your order shipping status to paypal.