Metro Cash & Carry India, the Indian subsidiary of Euro 56 billion Metro AG, world's third largest trading and retailing group, is all set to open its distribution centre in Hyderabad on November 30. This will be its third centre in India after two in Bangalore. |
The company is currently giving the final shape to the back-end supply chain network for sourcing fresh fruits and vegetables. The investment for the third centre is in the range of Rs 70-80 crore, a company official said. |
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The distribution centre, located at Kukatapally in Hyderabad, is spread over 7 acres. The selling space is spread over one lakh square feet, of which 20,000 square feet is temperature-controlled area for storing perishables like fruits, vegetables and meat. |
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However, in Bangalore, the APMC laws do not permit the sale of fresh fruits and vegetables. |
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Metro's fourth centre will be set up in Kolkata, where the construction work is on in full swing. The centre is likely to be opened by March or April next year. The company is also looking for space in Mumbai, Chennai and Pune. |
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"We have initiated talks with the governments of West Bengal, Orissa and Andhra Pradesh to expand our network. However, we are yet to finalise where our fifth centre is going to be located. It all depends on where and when we get the suitable land for our expansion," an official told Business Standard. |
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Metro works closely with its suppliers around the world to eliminate supply chain wastages and improve food safety and hygiene thereby positively impacting price and quality of products sold at Metro, he said. |
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The company commenced its operations in India in October 2003. The Bangalore centres have around 50,000 active members who purchase regularly. |
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For the Hyderabad distribution centre, Metro has already commenced the registration of members. |
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Metro plans to invest about Rs 1,800 crore to expand its network in India over the next three-five years. |
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