With a population of around 1.4 billion, India is one of the world’s largest food markets, with the added benefit of rising consumer spending power. Photographer: Nathan Laine/Bloomberg
French multinational Carrefour is entering into a franchise agreement with Dubai-based Apparel Group to expand its presence in India.
Carrefour said on Friday that the partnership will initially focus on Northern India, but will then expand across the country, with the first stores expected to open in 2025.
Why it’s important
With a population of around 1.4 billion, India is one of the largest food markets in the world and is also attractive due to the rising spending power of consumers.
Key Quotes
Patrick Lasfargues, executive director of international partnerships at Carrefour, said: “Carrefour’s entry into India marks a significant step in our strategy to expand our franchise to over 10 new countries by 2026.” Nilesh Ved, owner of Apparel Group and president of AppCorp Holding, said: “Our goal is clear: to offer the best products at very attractive prices to all Indian customers and make Carrefour their preferred brand to shop.”
Context
India is facing severe food price inflation, which accounts for almost half of the total consumer price and is negatively impacting the country’s rapidly growing economy.
Carrefour, one of the world’s largest retailers with 14,000 stores in nearly 40 countries, previously tried to enter the Indian market through a partnership with another local retailer but pulled out in 2014 due to underperformance in the market.
First publication: 09 Sep 2024 | 13:07 IST