Wholesale Trading: Unprecedented Growth Opportunity Awaits

Trading Sector in India: Highlights

Merchandise trade is the highest contributing sector to the Indian economy accounting for almost 38% of the GDP. Growing at a pace 13-14% every year wholesale trading is set to reach a turnover of Rs. 13.6 trillion by 2018. The wholesale trading sector in India is largely unorganized with organized wholesale business accounting for less than 5%. In the last 5 years, organized wholesale has grown at over 13% per year becoming a 6800 crore business.

Wholesale Trading Industry

Nexensus has studied over 350 trading only companies in India spread across key sectors including Chemicals, Pharmaceuticals, Agro, Food & Beverages, Automobiles, Machinery, Metals & Minerals to conclusively establish top trading businesses by size, growth rate, margins and ROCE. Make informed business decisions, for the complete report write to us at info@nexensus.com.

New Entrants In Wholesale Trading

Wholesale trading in India is crowded with over 1 million companies operating in this business most of which are micro sized, operating in the unorganized space.

Nexensus: Trend of New Entrants
New Company Registrations in Trading Businesses

We found over 1,30,700 registered companies in India operating in the Wholesale Trading space. Since 2015, there have been 5376 companies have entered wholesale trading business of which ~100 are large organized players. A surge of new entrants was evident from 2007 to 2012 when ~15000 companies registered in wholesale trading each year.

Distribution of these new entrants in 2015-16 across India shows that Delhi, Maharashtra and West Bengal account for 50% (2500) of all new entrants with highest concentration in New Delhi.

Nexensus Trading Businesses
State wise distribution of New Entrants in Trading

Yet, West Bengal took the lead with 43% (~55,900) of all companies in wholesale trading registered in the state followed by Maharashtra (17.82%), Delhi (14.6%) and Tamil Nadu (4.07%).

Nexensus
State Wise Distribution of all trading companies

Majority of new entrants this last year entered the business of wholesale business in agro-based products including trade of Fruits, Vegetables, Frozen foods, Flowers, Pulses, Grains, Spices, Coffee and Tea.

Sample List of New Entrants in Wholesale Trading 2015-2016

Company NameTrading / Wholesaler BusinessState
Sinosteel Resources India Traders in mineral resources (Iron, chrome, manganese) Delhi
Akr Fresh Veg & Frozen Foods Wholesaler of Frozen Bananas, Oranges & MangoesAndaman & Nicobar
Rls Impex Trade of petrochemicals and minerals (Polymers, Bitumen, Calcium carbonate)Andhra Pradesh
Yupaa Fresh Trading of Fresh Fruits & FlowersMaharashtra
Sri Mookambika PharmaceuticalsPharma & Surgical DistributorsTamil Nadu

Get the Full Report Now

Nexensus analysed 350 trading only companies in India to deliver industry trends and opportunities in this sector. With certain trading businesses offering margins as high as 74% and Return on Capital Employed (ROCE) of 45% this report gives intuitive, factual and decisive insights. Write to us for the detailed report –

Nexensus Email Write to Us info@nexensus.com

 

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