METRO, the world's third largest retailing giant, will establish outlets in Shenzhen and Guangzhou next year, according to Stefan Kuhne, Metro's business unit manager in South China.

Metro was considering buying land and building two chain stores in Shenzhen next year, said Kuhne, who is attending the Second China (Shenzhen) Consumer Goods Procurement Fair.

He expected to nail down the expansion plans in Guangzhou and Shenzhen this year and open the two stores in the second half of 2004.

The German company has already contacted the Shenzhen Municipal Government about its intention to buy land.

It was the first time Metro had participated in the annual fair as an exhibitor. However, Kuhne described its participation as "fruitful."

Metro is the world's No.1 Cash and Carry business. It distributes only to businesses and professional customers. The company has 18 outlets in China but only three in South China, in Fuzhou, Xiamen and Dongguan.

"Shenzhen is an economically dynamic place, we don't want to be too late for this market," said Kuhne.

Metro first came to China in 1995. It opened its first store in Shanghai the following year.

In 2002, Metro established business units in North, East, South and Central China. Metro's South China headquarters are in Guangzhou.

 
Editor: Wings