Bharti, Wal-Mart see support in India for venture

By Nicole Maestri

NEW YORK (Reuters) - Despite protests from small traders, Bharti Enterprises and Wal-Mart Stores Inc are confident their Indian joint venture is supported in the country and will help usher in the future of Indian retail.

"I think it's a big change for India, the move from mom-and-pop to organized retail," Raj Jain, head of Wal-Mart's India operations, said in an interview on Monday. "I think most people understand that it is a necessary evolution which has to go through for everybody to benefit from and for the economy.

Bharti Chairman Sunil Bharti Mittal echoed those comments.

"Farmers want this," he said in a separate interview on Tuesday. "Customers want a better experience and to save money. They want it -- which means the country wants it."

Mittal said the next generation's perspective was not reflected in protests against change by mom-and-pop, or family-owned, stores.

"India is a young nation, and the son-and-daughter story has to take precedence over the mom-and-pop story," he said.

In early August, Wal-Mart and Bharti announced an equal joint venture for a cash-and-carry, or wholesale, business and back-end supply chain management.

Called Bharti Wal-Mart Private Limited, the joint venture is scheduled to open its first store by the end of 2008, selling groceries, consumer appliances and fruits and vegetables to retailers and small businesses.