Quick facts on the Indian retail industry
India’s retail sector is estimated to be worth $350 billion, of which organized retail accounts for only $8 billion. This organized part of the retail industry is growing at 30% annually.
Market Data:
Market Data:
- New entrants: Reliance Retail and Bharti Enterprises
- Established retailers: Pantaloon Retail, Shoppers’ Stop, Spencers, HyperCITY, Lifestyle, Trent.
- An estimated $412 billion is likely to be investing in the retail sector over the next five years.
- Food, beverages and tobacco make up 40% of the retail sector.
- The organized food retail sector is estimated to be worth $666 million and likely to reach $33.3 billion by 2015.
- Branded apparel segment is estimated to be worth $422 million and is growing strongly at 20% annually.
- Major metro’s such as Mumbai, Delhi, Chennai, Kolkata, Bangalore and Hyderabad is where 68% of organized retail is located.
- There will be an estimated 220 malls by 2007, a significant rise from 30 in 2003. Current lease rates in major cites vary from Rs. 88 – 120 per sq ft per month.
- India’s retail industry is the 2nd largest employer, after the agriculture sector, employing 21 million people, roughly 6% of the country’s total workforce and contributes 13% of the GDP.
- Foreign companies are permitted to hold only 51% of equity in a single brand format only, whose products are sold under the same brand internationally.
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