American supermarket behemoth Wal-Mart is about to throw its hat into the ring in India, having announced a joint agreement with India’s Bharti Enterprises.

The two companies have apparently inked a deal to ‘jointly explore business opportunities’ on the sub-continent and, according to Bharti chairman Sunil Mittal, intend to open several hundred stores across India under the Wal-Mart brand name.

The Indian economy is burgeoning at a rapid pace and the joint venture gives Wal-Mart a chance to gain a foothold in a market expected to double in value to £330 billion by 2015.
‘Wal-Mart was keen to get into India and I think they have chosen the right partner,’ said Mittal. ‘It is going to be a large investment and we are going to be a big player in this market.’

Intriguingly, the tie-up follows hot on the heels of recently-ended negotiations between Tesco and Bharti, a well-known brand in India. Boss Terry Leahy rejected a tie-up, but Tesco is believed to be pushing ahead with expansion in India, with discussions ongoing with other parties.

Large overseas retailers such as Tesco and Wal-Mart are currently barred at the retail level in India, although not in the wholesale market. The deal with Wal-Mart complies with government rules, since Wal-Mart will handle the supply side of the operation, with Bharti running the stores.