Share of organized retail to rise to 20%

Industry body FICCI estimates that the organized retail sector will see a 30% growth by 2010. The total retail sector is expected to reach $430 billion, from its current $328 billion. The industry association has recommended several points to ensure that these figures are met, such as the opening up FDI restrictions, granting the retail sector industry status, tax rationalization and encouraging public-private initiatives so that required manpower can be trained. The report said that the organized sector will grow at a 50% rate and will be worth an estimated $90 billion by the year 2010. The organized sector has been growing at 35% in the past five years and currently accounts for 1.5% of the country’s GDP. Most of the growth will take place in metro cities.