Wal-Mart Opens India Wholesale Outlet With Bharti
Jun 06 2009
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Wal-Mart Stores Inc., the world’s largest retailer, and local Indian partner Bharti Group opened their first wholesale outlet in India as rising disposable incomes boost demand in the world’s second-fastest-growing major economy. Bharti Wal-Mart Pvt. opened the cash-and-carry store in the northern city of Amritsar at the end of May. The venture plans to open 10 or 15 wholesale outlets and employ 5,000 people during the next three years, a statement said.

Wal-Mart and other foreign companies, barred from opening their own retail shops or buying stakes in Indian stores, are starting wholesale outlets in Asia’s third-largest economy. Local laws, aimed at protecting small shops, let global companies operate only wholesale stores that sell groceries and other goods to retailers, restaurants and other businesses.

The “Best Price Modern Wholesale” store will sell around 6,000 items, the statement said. As much as 90 percent of the products are sourced locally, it said. Wal-Mart and Bharti formed the venture in August 2007.

Adapted from source: www.bloomberg.com, 30 May 2009