In a strong endorsement of the Indian economy and attempt to increase its India footprint, retail giant Walmart Inc (NYSE: WMT) has announced that it will triple its commitment to India by sourcing $10 billion annually from the country by 2027
Bengaluru: In a strong endorsement of the Indian economy and attempt to increase its India footprint, retail giant Walmart Inc (NYSE: WMT) has announced that it will triple its commitment to India by sourcing $10 billion annually from the country by 2027.
The move is expected to provide a significant boost to micro, small and medium-sized enterprises in India and expose their high-quality Made-in-India products to the global marketplace.
Endorsing India's position as a global manufacturing hub, Walmart will work with the country's manufacturers in categories including food, pharmaceuticals, consumables, health and wellness, apparel, homeware and general merchandise.
Reacting to Walmart's decision, the US-India Business Council said the announcement demonstrates its commitment to serving as a partner in India's growth.
'Huge potential for Indian suppliers'
Walmart believes that its new export commitment will offer a huge potential for Indian suppliers to grow their business.
Doug McMillon, president and CEO of Walmart Inc, said: "As an international retailer that brings value to customers and communities worldwide, Walmart understands that local entrepreneurs and manufacturers are vital to the success of the global retail sector. And we see huge potential for Indian suppliers to grow their businesses by leveraging the unique scale and global distribution opportunity Walmart provides."
"By significantly accelerating our annual India exports in the coming years, we are supporting the Make in India initiative and helping more local businesses reach international customers, while creating jobs and prosperity at home in India. It is also a way for Walmart to bring more high-quality, India-made goods to millions of customers all across the world," he added.
Roadmap for $10 billion investment
Walmart claims that India is already one of its top sourcing markets, with annual exports worth about $3 billion.
Its global reach is astounding. The company claims that each week, over 265 million customers and members visit approximately 11,400 stores under 55 banners in 26 countries and e-commerce sites.
According to the retail giant, India-made apparel, homeware, jewellery, hardlines and other popular products currently reach customers in 14 markets, including the US, Canada, Mexico, Central America and the United Kingdom, via Walmart's Global Sourcing office in Bengaluru, which opened in 2002.
As the sourcing hub ramps up over the next few years, the local team will be empowered to make an even greater impact for even more local businesses in a wider range of sectors.
To accelerate India exports, Walmart says it will strengthen development of the supply chain ecosystem in India, both by boosting existing exporters and by expanding the nation’s pool of export-ready businesses.
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Last Updated Dec 11, 2020, 3:35 PM IST