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Foray of global apparel retailers put on hold
02
Feb '09
The global economic turmoil and its after effects are taking a toll on the fast growing retail sector, the clothing retailing in particular. Plans of entering the Indian markets have been put on the back burner by global retailers for the time being, due to the fall in consumer spending.

These global retailers are also expecting a fall in retail rentals in the near future which make up for a big chunk of operating expense, which will have a impact on their overall operational expenses if they were to defer their plans till the time the Indian markets stabilize.

Since these global retailers need local partners as policy does not permit 100 percent equity holding, it is the local JV partners who are taking the lead in rescheduling the start up operations looking at the current state of the markets and consumer sentiments. At last count around 36 global apparel brands had kick started their operations in India.

Fibre2fashion News Desk - India


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