International retailer Wal-Mart Stores Inc. stands to be the first beneficiary of the Indian government's recent decision to open up retail sector to foreign direct investment (FDI).

Bentonville, Arkansas-based Wal-Mart, which started establishing wholesale operations in India via a joint venture with Bharti Enterprises Pvt. in 2007, currently operates seventeen outlets.

Following the policy change, Wal-Mart will now be able to acquire up to 51 per cent stake in Indian retail businesses. As it is already offering wholesaling in joint ventures with Indian companies, it will not be hard for the world's biggest retailer to strengthen it position by creating or acquiring majority stake in retail businesses in India.

However other foreign retailers, such as Carrefour SA and Tesco Plc will not be able to avail the opportunity in the recent future, as they are still struggling amid Europe's persistent debt crisis.

Kishor Ostwal, managing director at CNI Research, said, "Even when Tesco and Carrefour come into play, Wal-Mart will grow further. It will take a decade's time before you can see all other multinational brands come in and fight in India."

According to Technopak Advisors Pvt.'s estimates, India's market will expand 44 per cent in the next five years, from $505 billion this year to $725 billion in 2017.