The Retail market in India has undergone a major transformation. In fact, it has witnessed tremendous growth in the last 10 years. India is largely an unorganized retail market, contributing 88% to the total retail sector in India.
The organized retail market is currently valued at $ 60 billion, while the unorganized market holds the rest. Organized retailing in India, refers to trading activities undertaken by licensed retailers, that is, those who are registered for sales tax, income tax, etc. These include the publicly traded supermarkets, corporate-backed hypermarkets and retail chains. Unorganized retailing, on the other hand, refers to the traditional formats of low-cost retailing. Most Indian shopping happens in open markets or numerous small grocery and retail shops.
The Indian Government has permitted 100% FDI in the single-brand retail and 51% in multi-brand retail. This move will further accelerate the Retail Industry. Due to the entry of several new players, the Indian retail industry has emerged as a dynamic and fast-paced industry.