The Indian retail sector is expected to grow at a rate of 5.5% to $410 billion (around Rs19,03,844 crore) by 2010 from about $300 billion at present, industry body Associated Chambers of Commerce and Industry of India (ASSOCHAM) said on Monday.
The chamber said that organised retail, which at present accounts for nearly 5% of the overall retail market, is likely to touch $13 billion (around Rs60,375 crore) by 2010 from $9.23 billion (around Rs42,000 crore) currently.
"The size of Indian retail sector is estimated to grow by a compound annual growth rate of 5.5%, to become a $410-billion market by 2010," it said.
India has one of the highest numbers of retail outlets in the world. The sector is witnessing exponential growth not only in major cities but even in Tier-2 and Tier-3 cities, ASSOCHAM president Swati Piramal said.
Over 100 malls of over 30 million square feet are projected to open in India by end-2010, according to the report. DLF has declared its intentions to build around 500 luxury lifestyle stores across India within five years, while the Tata group is expanding its retail business with 100 new Croma stores within three years.
The report also said that revenues from the retail sector may grow by 22.7% and 30.25% in the third and fourth quarter, respectively, of the current fiscal (2009-10).