After the Indian government rolled out 100 per cent foreign investment in food retail, many companies have vouched for extending the norm to non-food item as well. The recent to join the support is Walmart India, in his recent interaction with media, Krish Iyer, CEO, Walmart India stated that Walmart is still evaluating India's policy of allowing 100 per cent foreign investment in food retail even as not allowing any non-food item makes it tough to create a competitive model.
It would have been nice to see a little of non-food being allowed, not purely from the point of view of economics, which is important, but also from the point of view of the consumer because the consumer who comes to the stores for food and grocery, is wanting to shop everything under one roof. The missing non-food does cause a little problem in terms of creating the right model and also competing with the domestic retailers because it doesn't provide a level plane, CEO added further.
Iyer informed that the company is chalking a fruitful plan to deal with this limitation, and soon, it will come out with a healthy model which will prove beneficial for both government and stores. Company will increase the participation of food in its cash and carry business because if store manages to persuade its e-sellers, to buy more of their food requirements, it will start making a difference soon, without having to wait for opening our retail formats.