I literally just got off the phone with Jake over at Virante (in NC) and one thing he was mentioning was Anchor Text penalization and that it occurs on the keyword level. If/when you get dinged on the keyword level and presumably with 1700 products that could be some serious keyword cannibalization. Try just using the/a brand name URL [http://www.youdomain.com] or [http://www.afilliatesdomain.com] when utilizing Anchor Text. Google will not penalize you on a "brand level" whereas they might for being hyper-prolific with "Green Widgets" or some other generic popularized keyword (phrase).
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Good luck and good on ya,
Cheers,
Brian