McDonald's to invest Rs 400 cr for expansion in India

New Delhi, July 30: Food chain major McDonald's India will invest Rs 400 crore to expand its business, as it plans to open about 30 new restaurants across the country by the end of this year.

''Mc Donald's India will open about 30 more new restaurants across the country by the end of this calander year,'' company's joint venture partner in India Mr Vikram Bakshi told UNI.

In India, McDonald's has two joint venture partners -- Connaught Plaza Restaurants Pvt Ltd managed by Mr Bakshi for Northern/Eastern region and Hard Castle Restaurants Pvt Ltd headed by Mr Amit Jatia for Western/Southern region.

The company, which has about 30,000 restaurants in more than 119 countries, follows a 'cluster-fashion' growth strategy here.

''Out of 92 in India, we have 57 restaurants running in the Northern region -- of which 27 are in Delhi alone,'' Mr Bakshi said, adding that company is spreading business towards North and East.

By the end of this year, he said, McDonald will open its first restaurant in the City of Joy -- Kolkata. ''We are also going to foray into Himachal Pradesh as we have plan to open one outlet on the Kalka-Shimla Highway by December,'' he added.

Besides this, other McDonald's restaurants are coming up in Varanasi, Chandigarh, Lucknow, on national highway in Punjab and other Tier II and Tire III cities.

The company is also studying the possibilities of foraying into the City of Temples -- Jammu. ''Amritsar is under consideration and after we have one at Amritsar, our next step for expansion would be Katra, Jammu,'' Mr Bakshi said, adding this mode of peripherial expansion helps company in transporting goods at economical costs.

Simultaneously, McDonald's India, which employs about 7,000 people in India, expects to increase its headcount by 1,000 by the year end. ''We need at least 35 trained people to run a restaurant, which means we would have to employ 1,000 more people for our expansion,'' the Managing Director said. McDonald's has its own training centres in Delhi and Maharashtra where it imparts professional training to its new staff.

On the alliances with Bharat Petroleum Corporation Ltd (BPCL), he said association with BPCL had been a successful concept and the company looking forward for more such ventures of symbiotic benefit.

Company's latest concept of Express Model with limited menu and Kiosks that offer desserts and beverages have also been sucessful in attracting new customers, he said.

McDonald's India is experiencing 40 per cent YoY growth with turnover getting doubled in almost every third year. ''The market of informal eating out has tremendous growth potential.'' McDonald's this month commemorated its 10 years of successful operation in India -- the only country where it offers all 'porkless and beefless' products.

UNI