Released on = April 16, 2007, 2:39 am

Press Release Author = Shushmul Maheshwari

Industry = Retail

Press Release Summary = Today when Indian consumer fails to find refuge from sky
rocketing prices, and inflation, the idea of opening up more retail stores in this
country to bring down the costs comes as the ultimate respite.

Press Release Body = Inflation and price rise have long been the causes of worry
among the Indian consumers, however the government seems to have gone in deep
slumber about this issue. In such a scenario the very thought that the attempt of
setting up retail chain stores in this country could help control prices comes like
a cool breeze in sweltering summer.

Retail sale is being encouraged in India by launching counters and shops under
Reliance Fresh’s umbrella. Presently there are 70 retail stores of Reliance
Fresh in the country, and out of these 20 are located in NCR (National Capital
Region) alone. The promoters and organizers are optimistic and positive that the
retail-sales depots may help in containing the soaring prices.

The retail industry in India was worth about US$ 300 Billion in 2006 and will likely
reach US$ 427 Billion, and US$ 637 Billion by 2010 and 2015, respectively. Merely
three percent retail in India is organized. Multiple brands’ retailers may
operate via a wholesale model ‘cash-and-carry’ or a franchise.

According to reports from various parts of India, retail chains such as retailers &
corporate agri buyers like the ITC are swirling traditional fruits & vegetables
markets. By acquiring in bulk straight from the doorstep of farmers, and booking the
future harvests too, these retailers are picking up business from traditional
mandis.

Indian retail industry is gradually progressing towards a boom. The concept of
shopping has come across a revolutionary change. This change is reflected in terms
of shopping formats and buying pattern of consumers. Modern retail has made its way
into the country as can be seen in sprawling one stop shops in the form of multi
storeyed malls, huge shopping complexes, shopping centers. These one-stop-shops
provide the consumers not only with the stuff or services they want to buy but also
with fun while shopping from there.

As per the RNCOS report “India Retail Sector Analysis (2006-2007)”,
India has highest density of retail in the world. Presently, there is one retail
outlet per 100 people. The success of retail formats here can be attributed to the
rise of shopping malls in this country. Malls have come across a good growth over
the last 3-4 years. Increasing demand for retail space from apparel, food, consumer
durables, and multiplex operators has given boost to shopping malls’ growth in
India.

This research report on “India Retail Sector Analysis (2006-2007)”
provides extensive research and objective analysis of the Retail Sector in India.
The report finds that Indian organized retail will form 10% of total retailing by
the end of this decade. In the meantime, the organized sector will grow at the rate
of around 30% per annum.

The report further finds that cultural and regional differences in India are the
biggest challenges in front of retailers. These factors deter retailers in India to
adopt a single retail format.

About RNCOS E-Services Pvt Ltd.:

RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of
industry experts who analyze data collected from credible sources. They provide
industry insights and analysis that helps corporations to take timely and accurate
business decision in today\'s globally competitive environment.

For more information visit: http://www.rncos.com/Report/IM058.htm
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Contact Details = RNCOS E-Services Pvt Ltd.
Shushmul Maheshwari
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info@rncos.com