Indian retail market to touch $ 590 bn by 2012

{image-Indian retail market_25092008.jpg news.oneindia.in}Bangalore, Sep 25: International Food Policy Research Institute Director (South Asia) Ashok Gulati on Thursday, Sep 25 said that the retail market in India was expected to grow at 13 per cent annually and touch US dollar 590 billion by 2012.

Stating that it was really a great opportunity for the retail sector, particularly for organised retail to flourish, he said that the growth which was USD 322 billion in 2007 was expected to touch 590 billion Dollars in the next four years. Dr Gulati, who delivered his keynote address at a three-day first annual conference of Indian Society of Agri-Business Management, organised by the University of Agricultural Sciences here, said organised retail, which accounts for just four per cent of the total retail at present, was estimated to grow at 50 per cent per annum and account to gain 16 per cent of the market share by 2012.

"Though the share of organised retail in total retail business was quite small compared to that in other countries, the pace of growth has been tremendous. While the other countries decades to transform from traditional to organised retail, might take the country to much shorter duration. Total food and grocery retail accounts for nearly 60 per cent of the aggregate retail. The organised segment accounts for less than one per cent of total retail", he added.

Urging for amendment to the Agriculture Produce Marketing Committee Act throughout the country, he said this would pave the way for organised retail and promote private marketing of the agriculture produce. It would also serve as an incentive to induce great private investment that in turn generate competition and benefit the farmers.

UNI