The world's largest retailer, Wal-Mart has approached Indian Government to start its operations in Indian market.
Beth Keck, Director, International Corporate Affairs, Wal-Mart International, said, Wal-Mart may plan to do so with a local partner as it has adopted this policy in countries like Japan, Central America, Mexico and China.
The policy has been successful as it has helped to operate effectively in these countries and would consider the same for India too.
Wal-Mart entered Japan in 2002, having minority share in Tokyo-based Seiyu super market chain.
Last year it pumped in $600 million raising its share to over 53 percent there by taking over the reins from Seiyu and making it a Wal-Mart subsidiary.
Indian Government's policy allows 51 percent Foreign Direct Investment (FDI) in retail to single brand companies but they hope Government may later open up this sector to a greater extent to foreign investments, Keck added.
Wal-Mart is also interested in getting the feel of Indian market and identify areas that affect its sourcing from India.
This sentiment may be in context to corporate heavyweights like Reliance Industries foraying into retail business market which is estimated to reach $350 billion by 2010.
Presently Wal-Mart with $285 billion in revenues, has increased its sourcing out of India to $640 million in home wares, textiles, apparel and fine jewellery during this year, Keck said.
marketing@alchempro.com
