Walmart, which regards India as a key market for sourcing, is actively seeking to collaborate with emerging Indian suppliers and manufacturers as it aims to expand into additional product categories and broaden its range of sourced products from the market.
“We continue to find new category expansion and opportunities to go beyond apparel and home which have been historically sourcing from India. Our sourcing strategy is to have the right product at the right price and make sure they are sourced in a trusted way,” shared Andrea Albright, Executive VP of Sourcing at Walmart.
The US-based retailer is actively working toward its ambitious goal of sourcing $10 billion worth of goods from India annually by 2027. To achieve this, the company has already initiated partnerships with Indian suppliers for the procurement of toys, shoes, and bicycles.
For bicycles, the firm just announced its first export order with Punjab-based Hero Eco Group, Albright said. “We are working with Micro Plastic on toy exports. We are also exploring all categories of shoes ranging from flip-flops to athletic shoes. We have an order for shoes from India underway,” she added.
For over two decades, Walmart has been consistently sourcing goods from India. The company asserts that Indian-made products, including apparel, jewelry, homeware, and more, are reaching customers in 14 markets, including the US, Canada, Mexico, and the UK.
According to Albright, the pandemic highlighted the vulnerability of supply chains, prompting the company to reevaluate its strategy and intensify efforts to establish a more robust and reliable supply chain.
“Trust is a key factor and component of our brand as well as the resilience to make sure we have got products on the shelves or on the site for customers however they choose to shop….we are a global company and continue to be a global company. There are certain geographies of excellence that are better at making certain items versus others. That will continue to be a part of our (sourcing) strategy as we think about that intersection of trust, value and resiliency of where we get our products from,” Albright said.
Regarding the exploration of sourcing options beyond China, she emphasized that customer preferences would take precedence. As part of its India-focused initiatives, Walmart is set to organize its inaugural growth summit in the country in February, providing a platform for potential collaboration with Indian suppliers for export opportunities.