India is quickly becoming a key global hub for artificial intelligence (AI) in retail and consumer packaged goods (CPG), driven by the expansion and strategic development of Global Capability Centres (GCCs). Currently, the country hosts over 1,800 GCCs, employing around 2 million tech professionals, with more than 70% actively investing in AI capabilities for customer experience, merchandising, and supply chain optimization. India’s role has shifted from a cost-effective support base to a strategic center where global retail and FMCG companies are establishing and implementing AI models.
Newly established retail and CPG GCCs in India are giving priority to AI, machine learning, and data engineering as essential capabilities, with a focus on functions like cloud data platforms, machine learning operations, commercial analytics, and AI solutions for demand forecasting, pricing, promotions, and inventory management. Companies utilizing AI in retail and CPG have reported cost reductions by nearly 95% and revenue gains by 89% when integrating AI into core workflows.
India is enhancing its AI engineering capabilities, including Machine Learning Operations (MLOps), governance, and cloud-native architecture, enabling GCCs to transition from pilot projects to large-scale, production-ready implementations. With over 70% of GCCs investing in AI platform engineering and governance, India is evolving into an ‘AI factory’ capable of delivering scalable and secure enterprise solutions. The country’s expanding talent pool, maturing AI ecosystem, and evolving GCC model position it strongly to lead the next phase of AI-driven transformation in global retail and CPG.
