Decathlon, the French sporting goods giant, has announced its ambition to source $3 billion worth of goods from India by 2030, leveraging India’s rising role in its global supply chain. This move follows India’s expected ratification of a Free Trade Agreement (FTA) with the EU and aligns with the company’s long-term manufacturing strategy
Why India Is Strategic for Decathlon
India has become a vital sourcing hub for Decathlon:
- Over 65% to 68% of Decathlon’s Indian sales are produced locally, with goals to reach 85% by 2026 and over 90% shortly thereafter
- The company currently exports a significant share of India-manufactured goods—up to 65% of production serving global markets
- Plans include increasing store count to 190 and doubling revenue to over ₹8,000 crore in the near term
Investment Highlights & Growth Plans
Decathlon has committed approximately €100 million (~₹930 crore) investment into India through 2024–2029 to boost manufacturing and retail expansion, fueling the sourcing push toward the $3 billion target
Growth Metrics in India
- Entered India in 2009; now operates roughly 127–130 stores across 90 cities with plans for 10 new stores annually
- Sales in India surged 37–50%, from about ₹2,936 crore in FY22 to ₹4,008 crore in FY24, indicating strong domestic growth and rising consumer engagement
- India is among Decathlon’s fastest-growing markets globally, growing twice as fast as its average markets
Decathlon’s India Sourcing Strategy: A Snapshot
| Area | Plan & Targets |
|---|---|
| Local Manufacturing | Increase local sourcing to 85–90% by 2026–2029 |
| Global Export Hub | India to supply over $3B worth of products globally by 2030 |
| Retail Expansion | Grow store base from ~130 to 190 stores, including tier‑2 & tier‑3 cities |
| Revenue Growth | Double revenues to ₹8,000 crore within next 3–5 years |
| Investment Commitment | €100M (~₹930 crore) investment over 5‑year period |
Broader Context & Implications
- The upcoming India–EU FTA is expected to boost export competitiveness, lower tariffs, and streamline trade logistics—catalyzing Decathlon’s sourcing ambitions Reuters
- India’s growing sportswear demand, rising middle-class wellness trends, and Decathlon’s affordable pricing strategy have positioned it as a preferred brand among Indian consumers
- The sourcing push supports India’s broader push to become a global manufacturing hub across retail categories, in line with national “Make in India” initiatives.
Final Thoughts
Decathlon’s plan to source $3 billion from India by 2030 marks a significant milestone in its global strategy and in India’s journey as a production powerhouse. Anchored by FTA momentum, increasing local output, and sustained retail growth, Decathlon is betting heavily on India’s potential to support both domestic expansion and global export ambitions.
