Subhiksha, according to some of these wholesalers, usually paid on time, but things started souring in March. The company, which runs India’s largest chain of discount supermarkets, has been one of the most aggressive organized retail players. It has flooded the country with hundreds of outlets in the past two years. It has opened at least 200 grocery stores, pharmacies and mobile phone outlets in NCR alone in the past two years.
The discount retailer is one of the dozens of domestic companies that are trying to change the way Indians have traditionally been shopping across numerous garage-size mom-and-pop shops.
However, in the absence of their own farm-to-shop supply chain, most of these modern retailers have had to rely heavily on traditional mandis such as Azadpur for supplies.
Subhiksha ended 2007-08 with a revenue of Rs2,300 crore and, in an interview to PTI in January, Subramanian had said he was eyeing an annual revenue of around Rs4,500 crore this fiscal.
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