Organised retail to grow 40% touch
· Organised retail to grow 40%; touch $ 90 billion in 2011, says a research report. The Indian retail market, which is currently (2009) estimated at around US $ 450 billion, is expected to touch $ 720 billion by 2011. The organised retail sector currently estimated at $ 63 billion (14 per cent of the total) will, however, grow much faster at 40 per cent to reach $ 90 billion during this period.
· These are part of findings of a study entitled ‘Indian Retail Research 2009 Edition’ prepared and published by investment bank Northbridge Capital.
· According to the bank, while the overall Indian retail market is growing at 30 per cent, the annual rate of growth for the organised sector is going to be at around 40 per cent.
· “Retail market size in 2009 is estimated to be of USD 450 billion, growing at the rate of 30 per cent per annum. It is expected to grow to USD 720 billion by the end of 2011.”
· “However, the organised retail market is growing at the rate of 40 per cent and is anticipated to grow at a faster pace over the next three years, especially in view of the fact that major global players and Indian corporate houses are entering the fray in a big way. At the current growth rate it is expected to touch $90 billion by 2010,” says the report .
· The retail sector which accounts for 12 per cent of the country’s GDP and employs around 9 per cent of its workforce is well on its way to become a boom sector of the economy.
· “Retail in India is slowly moving its way towards becoming the next boom industry with the whole new concept of shopping has altered in terms of format and consumer buying behavior.”