Walmart Inc.-owned Indian e-commerce company Flipkart Online Services Pvt. Ltd. is looking to open brick-and-mortar grocery stores in the country, The Times of India reported May 22, citing sources.
The potential move follows the launch of Flipkart's fifth online grocery store, Supermart, in Mumbai. Supermart already has a presence in Bangalore, Chennai, Hyderabad and Delhi.
The newspaper said Flipkart will likely take advantage of the relaxed law on food retail business, where foreign direct investments of up to 100% are allowed.
India's tighter laws on foreign direct investment in e-commerce posed as a challenge to Flipkart and rival Amazon.com Inc. over the recent months. The revised regulations have prompted Flipkart to list offline retailers on its platform and to appoint business-to-business entities to act as mediators between the retailer's wholesale unit and its marketplace business.
TOI said a Flipkart India spokesperson did not respond to requests for comment.