Whole world is eying at $350 billion Retail Market of India which is expected to double its size by 2015. Wal-Mart & Tesco have planned to open its first Cash & Carry store by 2009 end. Carrefour has also decided to enter Indian market in same format. Seeing the plans of its rivals, Metro AG who is already established in Indian Cash & Carry business has planned to double it’s presence in India. They plan to invest $120 million to open at least four new centers in Bengal. They are waiting for the license from Bengal Government to deal in agricultural produce and source directly from farmers. They will wait for a decision till 29th September by which the government will decide on course of action. I hope that Metro AG will have a good time with Forward Bloc who is opposing organized retail in the state.
- 
Rajeev Damani 
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September 29th, 2008 at 11:27 am
Let’s accept that these are bad times!
The US’s collapse & shaky future have dampened sentiments. This comes on the thershold of US elections, which is ading aftershocks & stirring up negative emotions.
India has seen a somewhat similar real-estate bubble, tied umbilicaly to the stock market. Both have sucked out disposable funds normally with the top-end. Fuel price hike & related inflation has dampened middle-class spirits to a very large extent.
We hardly find relevant or trustworthy news about the rural market sentiment. The systemic absence of coverage has also taken the huge population there to what is technically called a BVR (Beyond Visual Range)zone.
IF petroleum, real-estae, inflation has affected those whom our short-sights can still see, then I see no reason why the BVR market will be thriving!
Let’s also not forget that we too have a grand election ahead. Like all elections, that one too will require a mammoth cash-flow. Cash. Which will come from industry in various sums & flow out to the vote-bank.
So, a much bigger economics is at work right now!
If we kick out Metro AG, will that translate to bigger gains? May be the Germans are acting at their “teutonic” best & refusing to help buy votes? Who knows?
On the other hand, RPG, one of the handful of conglomerates still betting on Bengal, is apparently under threat too! Is this real or smoke-screen?
What makes more sense now? Backing ADAG or Mukesh’s plans? Again, a fundamental funding question….
Was TATA forced out to teach the leftist leaders a lesson? These are issues which the public is unlikely to find related, when they very much ARE!
After all Roosevelt commented that the best way to maintain a democracy was to keep the constituents under perennial anxiety! Or was it Kennedy?
Does it matter?