Raven Fox

Raven Fox: The UK group has signed a memorandum of understanding with Pantaloon Retail to start a joint venture examining retail and catering prospects at Indian airports

Alpha Airports Group has signed a memorandum of understanding with Indian retailer Pantaloon Retail to form a joint venture examining retail and catering opportunities in the Indian airport market. The contract marks a key step in Alpha's strategy to develop the Indian market, as revealed by group commercial director David King in an interview in DFNI October 1.

Alpha confirmed that the two parties are in discussions about opportunities at Bangalore, Hyderabad and Delhi airports. It also pointed out that Mumbai airport is expected to issue its requests for proposals shortly, while the government is considering plans for the privatisation of Chennai and Kolkata airports.

This contract is part of Alpha's forward strategy in investing in India to develop travel retail and food and beverage catering businesses at its leading airports.

Pantaloon Retail is the largest retailer in India, said Alpha, generating turnover of more than $440m. It's retail formats include, Central department stores, Big Bazaar hypermarkets, Home Town and Collection i home stores, Pantaloons and Fashion Station fashion outlets, CO and F123 leisure stores, m bazaar and Gen m communications, e-zone electronics, food bazaar, and Start Sitara and Tulsi health and beauty outlets.

Last week King told DFNI: "India is a key part of our strategy, as it is for some of our competitors. We have identified it as a market of the future and we have an advantage in that we have already been trading there for five years in Cochin, and have an experienced team in place."

Alpha's retail outlets at Cochin International airport generate more than double the Indian average for spend per passenger. Since 1996 Alpha has also operated travel-retail businesses in Nepal and Sri Lanka.