Trent’s hypermarket, Star Bazaar, is nearing the conclusion of supply-chain integration with world’s third-largest retailer – Tesco. Trent is the retail arm of the Tata Group.
Tesco plans to develop a wholesale cash-and-carry business and operate a franchise agreement with Trent to support the growth of its Star Bazaar hypermarket operation.
The deal will mark UK-based Tesco’s entry into India’s cash-and-carry business market. Its first store is expected to open next year.
The retailer had set up a small India team and appointed one of its top global executives, Gordon Reid, to head its Indian venture.
These customized outlets will offer a comprehensive range of fresh food, grocery and non-food products to restaurants, kirana stores and other business owners.
Tesco is already the principal supplier for Star Bazaar stores across the country. The company operates a fully-owned service centre in Bangalore and employs around 3,000 people.
The centre undertakes IT, business and finance services for Tesco operations across the globe.