IndiaRetailBiz

Reliance Retail, the retail arm of Mukesh Ambani owned India’s most valued company Reliance Industries Limited, has confirmed scaling back of its rollout plans. This follows violent opposition in Uttar Pradesh and West Bengal, as well as closure orders issued by the state government of Uttar Pradesh.

“The unfavourable trends in those two markets have limited our capability to expand the stores as per our original plan,” said Bijou Kurien President and Chief Executive Reliance Retail.

“In the other states we have been continuing to expand and we believe that after March 2008, we will make up the shortfall in other states,” he added.

Reliance is investing Rs. 25,000 crore to create a world class retail infrastructure of multi format front-end retail stores backed up by setting up efficient supply chain comprising collection, distribution and transportation facilities including cold chain.

Reliance has planned to create retail space of 100 million sq.ft. which would generate revenues of Rs. one lakh crore (One trillion).