UAE’s LuLu Group ploughs investment in India’s food processing and supply chain

By Lester Wan contact

- Last updated on GMT

LuLu Group is investing heavily in India. ©GettyImages
LuLu Group is investing heavily in India. ©GettyImages

Related tags: Shopping mall, Middle east, Retailing

The UAE’s LuLu Group is investing US$400m in a food processing plant, a logistics and processing unit for fruit and vegetable produce, and a mega shopping mall in India’s state of Telangana.

LuLu Group signed memorandums of understanding (MoUs) on these endeavours with the Telangana state government during the recent visit by Telangana’s Minister of Industries K. T. Rama Rao to Abu Dhabi.

The firm’s current global interests include hypermarkets, shopping malls, imports and exports, shipping and travel.

LuLu Group chairman Yusuff Ali M. A. said these agreements were part of LuLu Group’s expansion plans for India.

“Telangana being the newest state offers great potential for expansion, and the kind of support and cooperation we have been receiving from the state government has been very encouraging,” ​said Ali.

Work to begin soon

Ali added, construction will begin within three months as the Telangana state government has already initiated the process to hand over the land.

A government statement said that this grand investment will create about 6,000 jobs in the state.

"We have always wanted world-class facilities for our state, especially in the retail and food sector. Being a leader in these sectors, LuLu Group is our natural choice and we have extended our fullest support and look forward to working with them in many more projects in the future,"​ said Rao.

The Telangana state government also signed an MoU with BRS Ventures of the B.R. Shetty Group for investments worth Rs 1,000 to set up a pharmaceutical manufacturing and R&D unit and other medical facilities and educational institutes around Hyderabad, the state capital.

LuLu Group has 143 stores in 21 countries, and an annual turnover in excess of US$ 6.9bn. Its staff strength is over 40,000.

According to the Press Times of India, LuLu Group is the largest employer across the UAE in the non-manufacturing sector. The Group is also considered a major economic player in the Middle East.

Ali, who was originally from Kerala, has been termed “the retail king of the Middle East” by Forbes.

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