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Are Alibaba, Tata looking to enter online retail sector in India together?

News Agencies | Updated on: 14 February 2017, 6:00 IST
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  • Tata said it has been exploring the e-commerce opportunity in India very carefully.
  • The Chinese e-commerce giant Alibaba approached Tata Sons for a partnership as it had plans for development projects in the country\'s rapidly growing online retail market.

Alibaba Group president Michael Evans and global managing director K Guru Gowrappan recently met Tata Group chairman Cyrus Mistry to discuss a partnership to cater to the online retail market in India.

Chinese e-commerce giant Alibaba approached Tata Sons for a partnership as it had plans for development projects in the country's rapidly growing online retail market.

According to sources, both companies discussed and covered areas such as logistics, offline stores, and an omnichannel to support Alibaba's core e-commerce business.

"We have been exploring very carefully the e-commerce opportunity in this country, which we think is very exciting against the backdrop of Digital India," a Tata Sons spokesperson said at an event in Delhi.

To put things in perspective, Alibaba sold goods worth $377 billion (nearly Rs 25.08 lakh crore) in 2015, compared with around $16 billion (nearly 1.06 lakh crore) by all of India's e-commerce companies put together, according to Morgan Stanley.

Tata Group, a salt-to-steel conglomerate with combined sales of $108.78 billion (nearly Rs 7.24 lakh crore), has been associated with several other consumer brands in the country. The world's biggest coffee chain Starbucks also entered India through an alliance with Tata Global Beverages.

-PTI

First published: 21 March 2016, 5:33 IST
 
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