Jan 20, 2020
Flipkart is going to partner with vendors in Hyderabad to test delivery of fresh fruits and vegetables. It has applied for a food retail permit for its newly registered entity Flipkart FarmerMart. This will help the Flipkart’s food inventory in India, as directed under the foreign direct investment (FDI) norms.
Flipkart plans to open six brick-and-mortar grocery stores after receiving the license, a process that might take six months.
Flipkart has so far partnered with WayCool Foods & Products and other sellers on the platform. NinjaCart, which recently received a joint investment from Flipkart and Walmart, is expected to support a part of the supply in future.
Flipkart project with fresh food in Hyderabad aims to get a better understanding of consumer behaviour and the supply chain that we are developing to address the demand for this category.
Flipkart FarmerMart currently has an authorised equity capital of Rs 1,845 crore. The new development comes in face of stiff competition in the food and delivery segments in India.
The food retail license will be granted by the Department for Promotion of Industry and Internal Trade (DPIIT).