Reliance may bring UK-based fashion retailer Primark to the Indian market: Report

Reliance Industries is having initial talks with British fashion retailer Primark for its entry into the Indian market, according to a report by The Economic Times. The collaboration move would set Reliance in competition with rivals like Tata's Zudio, Max from Landmark Group, and Shoppers Stop's recently introduced value format, InTune.

Primark is a well-established 55-year-old brand, renowned for its budget-friendly clothing and footwear. The brand has experienced a substantial surge in global revenue over the past few years, withstanding the challenges of two Covid-impacted years. Its average prices are more economical as compared to retailers like H&M and Uniqlo.

Primark has reportedly been evaluating the Indian market for several years. As informed by two sources aware of the development, the brand may explore collaboration with Reliance through a joint venture or a licensing agreement. Upon entering the Indian market, the majority of Primark's stores are anticipated to be located on high streets. This decision aligns with the brand's distinctive big-box format, diverging from the conventional preference of global retailers for mall locations.

In the lower-priced segment, Reliance already has established brands like Trends and the recently launched fashion and lifestyle store Yousta. These ventures directly compete with fast-fashion giants Zara and H&M in the Indian market.

Primark, under the ownership of London-listed Associated British Foods, boasts a global presence with over 400 stores. The company has expressed its ambition to further expand into both new and existing markets, aiming to reach a total of 530 outlets by the end of 2026.

China serves as the principal source country for the brand; however, India holds the second position in terms of the number of factories supplying the company. This indicates the brand's dedication to nearshoring as a key component of its supply chain strategy.