India Inc sets sights on rural retailing
Corporate India is firming up concrete plans to tap the $100-billion rural retail market with innovative schemes and human resource policies.
By TNN |
NEW DELHI: Organised retailing may have not set its foot firm in metros and other major cities yet, but corporate India is already firming up concrete plans to tap the $100-billion rural retail market with innovative schemes and human resource policies.
What has prompted India Inc to turn its energies to rural retailing is the fact that rural markets are growing at double the rate of urban markets. More than 60% of the country’s population lives in rural areas and 87% of rural markets do not have access to any sort of organised marketing and distribution, said Yes Bank country head, food and agribusiness strategies, Kalyan Chakravarthy.
Bharti-Wal-Mart joint venture, for example, plans to invest substantially in the next three to four years for establishing supply chain network in rural India. Reliance Retail’s rural hubs has plans for Punjab, Maharashtra, West Bengal, Andhra Pradesh and Gujarat. Pantaloons also plans a similar procuring-cum-processing hub for setting up farm input malls in rural areas.
What has prompted India Inc to turn its energies to rural retailing is the fact that rural markets are growing at double the rate of urban markets. More than 60% of the country’s population lives in rural areas and 87% of rural markets do not have access to any sort of organised marketing and distribution, said Yes Bank country head, food and agribusiness strategies, Kalyan Chakravarthy.
Bharti-Wal-Mart joint venture, for example, plans to invest substantially in the next three to four years for establishing supply chain network in rural India. Reliance Retail’s rural hubs has plans for Punjab, Maharashtra, West Bengal, Andhra Pradesh and Gujarat. Pantaloons also plans a similar procuring-cum-processing hub for setting up farm input malls in rural areas.
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