Indian opens an opportunity to giants foreign supermarket such as Walmart, Carrefour and Tescor with the amount of $450bn retail sector. Those giant supermarkets are expected to serve a market of 1.2bn people.
The government prime minister of Manmohan Singh had determined to allow foreign investors to invest up to 51 percent of multi-brand retailers.
There is an increase of 100 percent from the original cap of 51% the stage of foreign direct investment allowed in single brand retailers.
Raj Jain, chief executive of Bharti Walmart said “It will be a very deep and lost indication on the Indian landscape.
Indian known as the third largest economy where you can find the home to one of every six people on Earth proven itself to be a highly profitable for foreign groups that tends to be a negotiator even sometimes its business climate considered to be uncertain.
One of the world biggest and well known retailers of sale Walmart, its French rival Carrefour and other supermarkets giants lobbied for an ample of years to unwind the 51 percent cap on international foreign supermarket investments.
According to New Delhi-based Technopak Advisor there is only 8 percent contribution from the market of the Indian retail. From that percentage, expenditure toke place from the organized sector. But the modern retail stores are expected to grow up to 20 percent annually based on the previous observation since the past four years.