Mumbai: India has replaced China as the numero uno retail destination in 2017 as part of the global retail development index, according to industry experts.
"India has replaced China this year as the top retail destination as part of the study on global retail development index," AT Kearney partner Subhendu Roy said on the concluding day of the two-day India Retail Forum 2017.
The change in ranking was an outcome of four factors including increased consumer spending, beyond essentials, rising mobile and internet penetration, favourable foreign investment climate and bold action on cashless transaction and GST, Roy explained.
"This has triggered the entry of global brands into India with transparency and ease," he added.
According to India Retail Report 2017, over the past 12-15 months, 100 per cent cash and carry operations are gaining significance in India with Thailand's Siam Makro being the latest entrant in this space following Metro, Walmart and Booker.
Furthermore, Swedish-furniture maker Ikea plans to open its lone distribution centre or warehouse in the country in Pune by end 2017 and its first store in Hyderabad by early 2018 with overall plans to invest $1.56 billion to set up 25 stores in India.
In addition to the bigger retailer and brands, the mid-size brands from across the world are also looking to cash on the relaxed retail policy in India.
Food as well as retail Brands such as Korres, Migato, Evisu, Wallstreet English, Pasta Mania, Lush Addiction, Melting Pot, Yogurt Lab and Monnalisa and many others from across the world, are expected to invest about $300-500 million cumulatively to open roughly 2,500-3,000 stores, the study said.
With increasing global participation in Indian retail, the sector will further evolve and become more organised and competitive in providing better assortment to the consumer.