French chain Carrefour, the world's second-largest retailer, revealed on Friday it plans to enter India's vast retail market this year, AFP reported.
"Carrefour will develop its activities in India with the start of cash-and-carry activities in 2010," the company said in a statement.
Carrefour also said it had been discussing partnerships with some Indian companies but did not wish to reveal names.
Indian retail tycoon Kishore Biyani has been mentioned as a potential partner, with Carrefour and his company Future Group recently linked in the Indian press.
Future Group's subsidiary Pantaloon Retail controls the country's Food Bazaar supermarket and Big Bazaar hypermarket chains.
India's US$500bn retail sector is thought to have huge potential but it remains tightly regulated, with large retailers only accounting for around six percent of industry sales.
Under India's strict foreign investment rules, no foreign multi-brand outlets are permitted in the retail sector, meaning foreign groups can only wholesale unless they are partnered with a local company.
Last year the world's biggest retailer Wal-Mart opened its first sales venture in India, teaming up with Bharti Enterprises in a wholesale joint venture called Best Price Modern Wholesale.
Carrefour's announcement came as the retailer reported net profit fell in 2009 by 74.2 per cent to €327m (US$505m).
No comments yet