A planned joint venture by Hong Kong’s Fung Group and India’s Future Group to import and wholesale goods into India has been shelved.
“The plans were shelved because we concluded there was insufficient interest by Chinese wholesalers/exporters to participate in such a trading model,” Geoff Bilbrough, senior vice-president at Fleishman Hillard, Fung Group’s PR agency told the Business Standard in an e-mail.
The 50-50 joint venture had been planned by the Fung family outside its listed entity.
The JV had planned to create large wholesale markets similar to the Yiwu market in China and the Dragon Mart in Dubai. Products from China and other Asian countries were to be wholesaled to Indian retailers.
Work had already commenced on the first market in Bengaluru in partnership with Salarpuria Sattva Properties and a second was planned for Mumbai.
“However, at the moment, we don’t have any plans to activate this initiative,” said Bilbrough. “The first phase of the construction (of the building) is complete. We are exploring alternative uses for the building and the adjacent vacant land.”