India becomes world’s largest retail and FMCG GCC hub

MUMBAI: The world’s retail back office has found its front row in India. What began as a cost-saving destination has evolved into a global command centre, with multinational retailers increasingly entrusting India with everything from artificial intelligence and analytics to supply chains and customer experience.

India has emerged as the world’s largest hub for retail and FMCG global capability centres (GCCs), hosting 180 centres that collectively employ around 2.72 lakh professionals, according to a TeamLease Digital report. The country’s retail GCC ecosystem is now 34 per cent larger than the combined retail GCC footprint of Poland, the Philippines, Mexico, Germany and Egypt, underlining its growing strategic importance for global consumer businesses.

The expansion is being fuelled by India’s deep talent pool, favourable government policies, tax incentives, lower infrastructure costs and increasing confidence among multinational retailers in the country’s ability to manage complex business functions.

Of the 180 retail and FMCG GCCs operating in India, nearly 130 are nano GCCs, typically employing 200-250 professionals. These centres are concentrated across Bengaluru, Mumbai, the National Capital Region, Pune and Hyderabad, while companies are increasingly evaluating tier-II and tier-III cities such as Mangaluru. Around 60-70 per cent of these nano GCCs are expected to expand over the next few years.

Global retailers and consumer goods companies including Lowe’s, Tesco, H&M, Walmart Global Tech, Target, L’Oréal and AB InBev already run GCCs in India, handling technology development, customer experience, supply chain operations, analytics and business support. The report also highlights India’s growing leadership in AI adoption. AI-related roles now account for 5-7 per cent of the retail GCC workforce, the highest share among markets covered in the study. Bengaluru leads the AI talent landscape with 54 per cent of the sector’s AI workforce, while Hyderabad is emerging as a secondary hub and Pune continues to strengthen its engineering credentials.

However, experienced AI talent remains scarce. TeamLease estimates there are only around 320 professionals across India’s retail GCC ecosystem with more than eight years of AI experience, averaging fewer than two senior AI specialists per centre.

Hiring momentum has accelerated sharply alongside the sector’s expansion. Recruitment demand nearly doubled between 2024 and 2025, generating more than 52,000 job opportunities last year alone. Technology, customer success and supply chain roles currently account for around 60 per cent of the workforce and are projected to drive more than 80 per cent of hiring demand by 2028. Demand for technology and engineering roles alone is expected to increase from about 25,100 positions in 2025 to nearly 41,000 by 2028.

The talent shortage is also reshaping compensation. AI and machine learning professionals with three to six years of experience now command a median annual salary of around Rs 46 lakh, while those with six to ten years of experience earn about Rs 68 lakh. Senior AI specialists with deep retail expertise can command annual compensation exceeding Rs 1.2 crore, reflecting the growing premium on specialised AI skills as India cements its position at the heart of global retail operations.