Amazon.com, Inc. (NASDAQ:AMZN) is reportedly looking to expand its grocery delivery service to India.
Amazon.com, Inc. is in talks with India’s Trade Ministry about offering its grocery delivery service in India. The service will reportedly include mostly local goods, such as fruits and vegetables. A spokeswoman for the online retailer has confirmed that it is seeking approval for a foreign direct investment in the country.
Amazon.com, Inc. didn’t say how much it is putting into the foreign direct investment or what it will be used for. However, two unnamed government officials claim that it is planning to put $500 million into the grocery delivery service.
Amazon.com, Inc. started business in India back in 2013. It has seen growth since then and is looking to do more. The company has dedicated $5 billion to its logistics network and advertisements in India. It may be able to take on local businesses with its grocery delivery service now that India has relaxed restrictions on foreign companies, reports MarketWatch.
Amazon.com, Inc.’s grocery delivery service in India may be similar to its Amazon Fresh offering in the United States. The service allows customers to order food online and have it delivered to them. It requires a subscription to the company’s Prime service and is currently only available in select cities.
Amazon.com, Inc. definitely has an interest in expanding its business in India. The country has the second highest population in the world. AMZN CEO Jeff Bezos also said last year that it was the region where the company saw the fastest growth.
