Carrefour is planning to close its five Indian stores at the end of September.
The first Indian store was opened less than four years ago, in 2010, and all five stores are cash-and-carry wholesale stores. India is the only country in Asia where Carrefour operates cash-and-carry wholesalers.
It is believed that the company has invested around €37 million in its Indian operations. It has been exploring options to rescue its flagging Indian operations in recent months, however, it failed to enter into any meaningful agreements. In particular, a proposed joint venture with Sunil Mittal's Bharti Group did not come to fruition.
As part of a three-year revival plan, the company is exiting underperforming markets such as India, Singapore, Malaysia and Greece, and instead focusing on its key markets of Europe, China and Brazil.
The company has yet to comment on whether it will sell any of its Indian stores to rivals, but there have been reports that it is in talks with a potential buyer.
The company has said that until the time of exit, it will continue to be "fully engaged with all its employees, suppliers, partners and customers to ensure a smooth transition".
© 2014 European Supermarket Magazine by Nicole Gernon
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