Walmart plans India stores 'in two years'

[Jade]

S retail giant Walmart hopes to open its first stores in India within two years, the company's president and CEO for Asia told the Wall Street Journal.

Scott Price said they had not yet decided on "where or how many stores" they would have in India.

Last week, the Indian government announced plans to open up the retail sector to global supermarket chains.

The authorities say the reforms are needed to revive the economy, which has been on the downslide recently.

The company is capable of opening stores within 12 to 18 months and would be seeking permission to do so from states that have already indicated their willingness to have the US retailer set up shop, the Wall Street Journal quoted Mr Price as saying.

"Two years would be a reasonable time frame in total," he added.

Under the government's proposal, global firms - such as Walmart and Tesco - will be able to buy up to a 51% stake in multi-brand retailers in India.

Multinational retailers already have outlets in India, but at present they can sell only to smaller retailers. This decision allows them to sell directly to Indian consumers.

BBC News - Walmart plans India stores 'in two years'

 

[Matrixx]

I am waiting .....

 

[INDIC]

Rupee become strongest in 4 months and share market has highest upsurges this year due to reform hopes.

 

[Jade]

India's Prime Minister Singh defends economic reforms

Prime Minister Manmohan Singh has defended his economic reforms, saying they are necessary to fight an economic slowdown in India.

The reforms include allowing foreign supermarket giants to buy large stakes in India's retail sector.

They have been fiercely opposed by trade unions and prompted coalition ally, the Trinamool Congress party, to resign from government.

Mr Singh said the changes were needed to revive investor confidence.

"We have to restore the confidence of foreign investors... Money does not grow on trees and that is why we have made these decisions," Mr Singh said in a rare national televised address.

Earlier on Friday, six ministers belonging to the Trinamool Congress party led by Mamata Banerjee formally resigned from the coalition led by Mr Singh's Congress Party.

Under the government's proposal, global firms such as Walmart and Tesco will be able to buy up to a 51% stake in multi-brand retailers in India.

Multinational retailers already have outlets in India, but at present they can sell only to smaller retailers. This decision allows them to sell directly to Indian consumers.

The reforms, which were rolled out last week, also include cutting diesel subsidies and limiting subsidies on cooking gas.

Officials hope that increasing foreign investment will boost the stock market and encourage Indian companies to borrow cheaply abroad.

Mr Singh, who was credited with spurring India's massive economic growth as finance minister in the 1990s, has been under intense political pressure in recent years because of a number of unpopular policies.

India's economy has been growing at its slowest rate in two years and the government has struggled to balance a need to boost growth and prevent spiralling inflation.

BBC News - India's Prime Minister Singh defends economic reforms

 

[BJP*]

Local media is one of the strongest opposer of this decision...
Any one read sampadkiaya of Punjab kesari?? tone is very harsh

 

[Matrixx]

Only because you hate them....

 

[gslv]

This is very bad news....you should not allow their companies in your country....

thanx for the advice but no thanx. we have seen what a country closed for outsider can do to its economy. if u dont know google about pre-1991 India. at that time also economy was in shambles. india had only 7 days reserves of foreign exchange.by the way they are not going to replace every small shop in india. btw ur country is also welcome grab a share of it.