Walmart chief executive Doug McMillon on Tuesday reaffirmed the company’s commitment to increase annual sourcing from India to $10 billion by 2027, stating it is actively working with suppliers to meet this ambitious target. The move comes as the US retail giant looks to expand its export base from the country.
Speaking at an event in New Delhi — his second visit to India in less than 18 months — McMillon said that india is a key pillar in the retailer’s global supply chain.
“Over the years, the growth story of India is unfolding, and it’s really broadening and becoming much more interesting,” he said.
“It (local sourcing) has grown a lot, and now we have this goal of getting to $10 billion a year, which is a really big number, and together with the supplier community, we’re working to achieve that,” he added.
Walmart began sourcing from India in 2002 and has since procured goods worth over $30 billion from the country. In December 2020, it announced the $10 billion sourcing goal for 2027, aiming to expand exports in categories such as apparel, food, toys, and more.
Currently, the company sources a diverse range of products from India, including apparel, homeware, pharmaceuticals, toys, and processed foods. It operates a sourcing office in Bengaluru and partners with manufacturers across multiple states. While Walmart runs 28 Best Price wholesale stores in India, it does not operate branded retail outlets due to foreign direct investment restrictions.
McMillon’s visit comes at a time when global retailers are seeking to diversify supply chains amid rising geopolitical uncertainty and cost pressures. India is increasingly positioning itself as a viable alternative to China, particularly in sectors such as electronics, textiles, and consumer goods.
Walmart’s local operations also include its majority-owned e-commerce platform Flipkart and the digital payments firm PhonePe, which was spun off into a separate entity in 2022. McMillon noted that both platforms have experienced strong growth in recent years.
“What our teams have done to grow those businesses over the years has been inspiring,” he said.
Both Flipkart and PhonePe are preparing for public listings. PhonePe has also been expanding into financial services such as mutual funds and insurance.
Walmart is also investing in local supplier development through its Walmart Vriddhi initiative, launched in 2019 to support micro, small, and medium enterprises (MSMEs) across India. Earlier this month, the company announced that over 70,000 MSMEs have been trained under the program so far, with a goal of reaching 100,000 businesses over the next three years. During his visit, McMillon met with several suppliers who have benefited from the Vriddhi program.
“We appreciate the long-standing relationship that we have had with the country,” he said.