Walmart $10bn sourcing goal on track, says CEO McMillon; aims to strengthens India ties with export and digital push

US retail giant Walmart is working with Indian suppliers to achieve its goal of sourcing $10 billion worth of goods annually from India by 2027, Walmart CEO Doug McMillon said during his India visit on Tuesday.

Walmart announced the target in December 2020, aiming to boost exports in categories like apparel, food, and toys. McMillon said the company has expanded significantly from sourcing in limited categories to a broader and more diversified supply base.

“Over the years, you can see how the story is unfolding, and it's really broadening and becoming much more interesting,” he said as quoted by PTI.

During his two-day India tour, McMillon reviewed Walmart’s initiatives in exports, digital innovation, inclusive supply chains, and community development. He interacted with sellers trained under Walmart Vriddhi, the company’s supplier development programme that helps MSMEs with business skills and access to digital markets.

Walmart has been present in India for over two decades and has sourced goods worth more than $30 billion for its global operations. Its global sourcing office in Bengaluru, set up in 2002, connects Indian manufacturers with markets in the US, Canada, Mexico, Central America, and the UK.

McMillon also praised the performance of Flipkart and PhonePe, highlighting their growth and ability to innovate and serve customers. On PhonePe, he noted its widespread reach and role in improving transaction efficiency.

Walmart Vriddhi, launched in 2019, has so far trained over 70,000 MSMEs. Earlier this month, Walmart announced plans to connect with another 1 lakh MSMEs in the next three years. Inspired by Vriddhi’s success, Walmart has launched similar supplier development programmes in Mexico and the US.