NEW YORK: Walmart will soon reach shoppers in India’s massive consumer market directly, as it takes control of the online retailer Flipkart that’s known for its ubiquitous delivery drivers on their motorcycles with oversized backpacks.
The $16 billion controlling stake, announced Wednesday, is the largest acquisition yet by the world’s largest retailer.
Retail sales are being fueled by a hot economy in India, and both Walmart and Amazon have pushed hard to catch up to Flipkart and become the first major US retailer to establish a substantial foothold in the country.
The move, like Walmart’s decision last month to sell its British unit, Asda, reflects the company’s focus on areas with the potential to grow as it tries to narrow the online gap between itself and Amazon.
Online buying in India has exploded in recent years, and Flipkart had net sales of $4.6 billion in its latest fiscal year, That’s a fraction of Walmart’s latest annual revenue of $485.8 billion, but the company sees big long-term potential. Walmart believes India, which has 1.3 billion people, could be the world’s top five-e-commerce markets within the next five years.
“We are actively working to shape the portfolio of geographies and businesses we’re in, in order to set the company up for success for another generation,” Walmart CEO Doug McMillon said in a conference call Wednesday.
Flipkart is, in some ways, an echo of Amazon. Founded in 2007 by two college friends and former Amazon employees, Flipkart began life as an online bookseller.
In a country where many still see paying online with credit or debit cards as risky, Flipkart earned millions of customers in its early years by allowing buyers to pay cash on delivery. It now allows for a variety of payments, from credit cards to gift cards to direct bank transfers.
Flipkart also focused early on mobile phone users, and in 2016 became the first app in India to reach 50 million users.
The Bangalore-based company has acquired a string of other companies in recent years, from fashion e-commerce company Myntra to mobile payment firm PhonePe. Flipkart now has over 100 million registered users and more than 100,000 registered sellers. Flipkart’s supply chain arm, eKart, is established more than 800 cities and makes 500,000 deliveries daily.
Flipkart’s success and Indian law that puts limits on foreign retailers made it an attractive target, and rumors swirled about Amazon also circling Flipkart long after it was reported to be in talks with Walmart.
Foreign retailers, including Walmart, have faced years of political resistance to opening brick-and-mortar outlets in India, where mom-and-pop store owners wield enormous influence.
Walmart’s business in India was previously focused on small businesses. Its Best Price stores, owned and operated by its India division, are only open to members that are all licensed businesses.
Whether the Flipkart deal signals a change remains unclear, but the Flipkart purchase gives Walmart far more influence in India — both politically and economically — and positions it to shift quicker into retail outlets if the regulatory landscape changes.
Walmart will now own about 77 percent of Flipkart, with the rest held by some existing shareholders, including co-founder Binny Bansal, Tencent Holdings, Tiger Global Management and Microsoft Corp. The acquisition surpasses Walmart’s $10.8 billion deal to buy Britain’s Asda in 1999 and its acquisition two years ago of online retailer Jet.com for more than $3 billion.
The deal hasn’t gone down well with the tens of millions of small traders who for years used political muscle to slow the arrival of international retailers.
It is “a clear attempt to control and dominate the retail trade of India by Walmart,” the Confederation of All India Traders said, adding that it would encourage predatory pricing, hurt Indian businesses and create an uneven playing field. The group says it represents some 60 million businesses.
Meanwhile, Amazon is also still fighting hard in India, with founder Jeff Bezos crowing last month that Amazon.in had the most-downloaded shopping app in India for 2017.
“Amazon.in is the fastest growing marketplace in India, and the most visited site on both desktop and mobile,” Bezos said in a letter to shareholders.
The global stakes for both Amazon and Walmart are high. Walmart, which operates stores under various banners in 27 countries outside the US, has faced strong headwinds in its outward expansion.
In China, where more than 700 million people are online, it has struggled to compete with homegrown online giants like Alibaba Group Holding Ltd. and local retail chains like Sun Art Retail Group Ltd. Walmart opened its first store in China in 1996 and has just over 400 stores now. It also has a strategic alliance with Alibaba’s rival, JD.com. Amazon also faces stiff competition in China from Alibaba and JD.com.
Walmart closed 60 stores in Brazil, or 10 percent of its outlets two years ago as it tries to restructure its business.
For the opportunity in India, Walmart will absorb some short-term pain. It expects earnings for the current fiscal year to be hurt by 25 to 30 cents per share. “This is clearly an investment for the future,” said Charlie O’Shea, Moody’s lead retail analyst in a note.
Shares of Walmart Inc. dropped more than 3 percent in trading Wednesday.
Walmart makes a $16 billion bet on India’s booming economy
Walmart makes a $16 billion bet on India’s booming economy
- Wallmart is set to take control of the online retailer Flipkart that’s known for its ubiquitous delivery drivers on their motorcycles with oversized backpacks
- The $16 billion controlling stake is the largest acquisition yet by the world’s largest retailer.
Future Minerals Forum launches global index to track critical mineral supply chains
RIYADH: The Future Minerals Forum on Jan. 12 launched the “Future Minerals Index Report,” a first-of-its-kind global tool designed to measure and track progress in developing critical mineral value chains across producing, exporting, and consuming countries.
The initiative aims to support the creation of more resilient and responsible supply chains and promote sustainable development worldwide.
Khalid Al-Mudaifer, vice minister of industry and mineral resources for mining affairs, stated: “The Future Minerals Index Report is an unprecedented and essential document; it is an intellectual tool that highlights key trends in the mining and minerals sector, particularly in terms of insights and directions from sector stakeholders, including government leaders, global mining executives, experts, and interested parties.”
He pointed out that the report is distinguished by its tracking of developments in mineral supplies and its provision of actionable recommendations to ensure the sustainable development of critical mineral value chains.
Al-Mudaifer described the report as a new international benchmark that establishes a comprehensive baseline to measure the progress of governments, companies, and investors in enhancing more resilient and responsible mineral supply chains.
He said it provides a clear picture of how global critical mineral markets are shaped by capital, risk, and trust dynamics. “It shows where investment is growing or shrinking and identifies the widening gap between resource availability and capital allocation. Based on this baseline, the report will monitor changes in risk perceptions, investment flows, and progress toward more resilient mineral value chains.”
Ali Al-Mutairi, general supervisor of the Future Minerals Forum, emphasized the report’s importance and the attention it received at the forum due to its role in highlighting global trends in the mining sector.
He explained that the report was prepared in partnership with McKinsey & Co. and in collaboration with other sector experts, including S&P Global Market Intelligence, Global AI, and GlobeScan.
“It integrates stakeholder trends, data, market insights, and intelligence into a single reference that supports global mining and mineral sector decision-making,” he said.
Jeffrey Lorsch, partner at McKinsey & Co., commented: “The Future Minerals Index Report, by integrating market data, stakeholder perspectives, and value chain standards, provides a strategic roadmap to help companies navigate volatility and unlock long-term growth opportunities.”
The report is based on the “Future Minerals Framework,” developed with contributions from 47 experts across multilateral organizations, non-profits, and private companies. It was first introduced at the 2025 International Ministerial Meeting.
The framework outlines key enablers for end-to-end value chains, including supportive policies and regulations, innovative financing solutions to secure and manage investments, multimodal infrastructure such as roads, railways, and ports to reduce costs and increase viability, and sustainability through strong environmental and social governance frameworks.
It also includes talent development through education, training, R&D, technological modernization via updated geological data systems and global expertise partnerships, and geology through reliable, accessible geological data in producing, exporting, and consuming countries as a critical factor in attracting investment.
The report highlighted the world’s urgent need to sustain mineral supplies, featuring contributions from leading industry figures.
Robert Friedland, founder of Ivanhoe Mines, Ivanhoe Electric, and I-Pulse, stated that the electrification of energy systems, digitalization of the economy, and the rapid growth of artificial intelligence are converging toward a future that increasingly depends on minerals.
He stressed: “You can’t reduce emissions, build computing systems, or transport energy without mining.”
Bob Wilt, CEO of Ma’aden, said in the report: “We are not fully prepared to deliver the minerals the world needs. Our biggest challenges are not equipment, capital, or technology — but people.”
Duncan Wanblad, CEO of Anglo American, noted that global copper demand is expected to grow by 75 percent to reach 56 million tonnes annually by 2050. To meet this demand and offset declines from aging mines, the sector will need to open approximately 60 new mines the size of Quellaveco within the next decade alone.
Gustavo Pimenta, CEO of Vale, said in his contribution: “I can’t imagine a future without mining — at least not a sustainable one that balances economic development with environmental protection and social responsibility. Mining has become essential to everything.”
The release of the Future Minerals Index Report coincides with the upcoming fifth edition of the Future Minerals Forum, being held from Jan. 13 to 15, 2026, in Riyadh under the patronage of the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud. The event is held under the theme “Minerals: Facing the Challenges of a New Era of Development.”
The forum will host a wide range of ministers and CEOs from leading global mining companies, reflecting its stature as a global platform in the mining sector and a key event showcasing Saudi Arabia’s leadership in shaping the future of minerals regionally and internationally.
