Retail Industry In India

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Retailing in India is one of the pillars of its economy and accounts for about 10 percent of its GDP. The Indian retail market is estimated at $ 600 billion and one of the top five retail markets in the world for economic value. India is one of the fastest growing retail markets in the world with 1.2 million people. As of 2003, India's retail industry was essentially owner of small stores. In 2010, larger format convenience stores and supermarkets accounted for about 4 percent of the industry, and these were present only in large urban centers. India's retail and logistics industry employs about 40 million Indians. Until 2011, India's central government denied foreign direct investment (FDI) in multi-brand retailing, banning foreign groups…show more content…
The government succeeded in gaining approval for the multi-branded retail in parliament despite the great opposition riot (NDA and left-wing parties). Some states will allow foreign supermarkets like Walmart, Tesco and Carrefour to open while other states will not. Growth after 2011 Prior to 2011, India had prevented innovation and organized competition in its consumer retail industry. Several studies claim that lack of infrastructure and the competitive retail industry is a key cause of persistently high inflation in India. In addition, due to the lack of organization of the retail trade, in a nation where malnutrition remains a serious problem, food waste is plentiful. More than 30 per cent of staple foods and perishables produced in India are spoiled because poor infrastructure and small retail outlets prevent hygienic storage and movement of goods from the farmer to the…show more content…
The projected increase alone is equivalent to the current size of the French retail market. In 2011, food accounted for 70% of Indian retail trade, but were under-represented by organized retail. A. Kearney estimates that India's organized retail trade had a 31% share of apparel and clothing, while supplies of household goods grew by 20-30% annually. These data correspond to the retail outlook before the November retail reform announcement It could be true that India has the largest number of stores per capita. However, there are detailed figures for Belgium, the Netherlands and Luxembourg. In Belgium, the number of outlets is approximately 8 per 1,000 and in the Netherlands it is 6. Therefore, the Indian number should be much higher. Current

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