Walmart's Flipkart eyes alcohol delivery foray with Indian startup, letters show
Published on 15th August, 2020 | 1 min read
NEW DELHI: Walmart’s e-commerce platform Flipkart has partnered with a startup backed by spirits giant Diageo to deliver alcohol in two Indian cities, according to government letters seen by Reuters, months after Amazon planned a similar foray. Flipkart and Amazon’s interest in delivering alcohol in India marks a bold move to make inroads into an alcohol market that is worth $27.2 billion, according to estimates by IWSR Drinks Market Analysis. The local governments of eastern West Bengal and Odisha states have said that Flipkart can be associated as a technology service provider of Diageo -backed HipBar, an Indian alcohol home delivery mobile application. HipBar, 26% owned by Diageo India, and Flipkart did not immediately respond to a request for comment. In June, Reuters reported that Amazon had secured clearance to deliver alcohol in West Bengal, signalling the U.S. e-commerce giant’s foray into the sector. Some states in India, like Gujarat in the west, prohibit alcohol retail. India’s top two food-delivery startups, Swiggy and Zomato, have also started delivering alcohol in some cities, as companies look to cash in on the high demand for booze from people staying at home due to the COVID-19 pandemic.
