What started in India is now a global standard—Walmart's Jason Fremstad on Vriddhi program going international

Time of India

5 hours ago

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Since its launch in 2019, Walmart 's Vriddhi program has quietly become one of the most ambitious capacity-building initiatives for micro, small, and medium enterprises ( MSMEs ) in India. The program originally set out to train 50,000 small businesses; however, it surpassed its target by training 70,000 MSMEs and transitioned to a fully digital platform after the pandemic. Now entering its next phase—Vriddhi 2.0—Walmart aims to empower an additional 100,000 MSMEs by 2028, in partnership with the Ideas to Impact Foundation. In this interaction with The Economic Times Digital, Jason Fremstad , Senior Vice President of Supplier Development, Sourcing at Walmart International, speaks about the company's approach to nurturing MSMEs, the sourcing potential from India, and why a program born in India is now being exported to global markets.Walmart's Vriddhi program, launched in 2019, aimed to train and empower 50,000 MSMEs by 2024. Believe it or not, the program's original aim was classroom implementation, but the Covid-19 pandemic changed that. Although we were determined to stay focused on our objective, we needed to find an alternative training method for MSMEs outside a traditional classroom setting. In 2020, we opted to do it digitally, and over the next couple of years, we realised that was a much more efficient way to do it. It saved money and time for everybody.In that five-year time frame (2019-2024), where we thought we would do 50,000, we actually did 70,000. Our training equipped 70,000 MSMEs to utilise any and all modules at their discretion. There is a vast array of them. However, graduating requires completing at least five core modules. Next, we provide them with the chance to go on Flipkart . And so, they do not have to go on a Flipkart, as they can take the knowledge and go sell anywhere they choose to. Because the goal was to empower the MSMEs and ensure that we are helping what has been called the backbone of the Indian economy. We want to continue to invest in small businesses because we know no business is starting big. So, investing in MSMEs, training them, and then offering them the opportunity to go on a Flipkart has turned into being a successful combination, and it has been amazing to see. So today, we are transitioning to what we are calling internally Vriddhi 2.0 and partnering with i2i, the Ideas to Impact Foundation. We have now committed to supporting 100,000 additional MSMEs by the end of 2028.The Walmart Supplier Academy's Vriddhi pathway adapts to each MSME's needs. So, Vriddhi is just the beginning of our journey to empower MSMEs. All modules are free, and you can take as many as you like. There are no strings attached, and you do not even have to sell on Flipkart. However, imagine completing the program, graduating, selling successfully on Flipkart, and using that success to continue growing. Vriddhi also offers programs to assist with international trade. We aim to expand training for entrepreneurs focusing on cross-border trade via Walmart Marketplace.We have seen demand across all our networks. So, we've categorised it into three areas: food and consumables, health and wellness, and general merchandise; and we've seen demand across all three. What excites me in my meetings is that a lot of the MSMEs have sustainable items to sell.I believe the food industry presents a significant opportunity, for example, with growing demand for millets. We are seeing the demand in the US for millet. We've noticed a significant rise in the popularity of various Indian snacks and dishes. But as a retailer, what is always exciting to me is seeing where suppliers and entrepreneurs are focusing because they are closest to the customer. Therefore, we aim to provide them with a platform to reach a wider customer base.Initially, the prospect of training 50,000 MSMEs felt overwhelming. The team deserves a lot of credit for effectively using our outreach to connect with MSMEs, collaborate with state governments, and spread the word. Each success fuelled the next, and more MSMEs joined. The Walmart Vriddhi graduates, who have already integrated into the Flipkart Marketplace, have witnessed about 55% year-on-year growth in their business, which is amazing.Today, we're focusing on accelerating growth and expanding MSME training programmes. We're thrilled to announce that we aim to sign up 100,000 MSMEs by the end of 2028. We're collaborating with the i2i foundation and state governments and expanding our reach to MSMEs.It's interesting to note that Vriddhi originated in India and has since expanded globally. Vriddhi's success exceeded even our highest expectations. We set a goal of 50,000 MSMEs, and we have 70,000 firms. We've expanded into Mexico and the US with our new program, Grow with US. I'm unaware of any other retailer that has both originated and exported a program from India to various other markets. So, it is now the standard for how we train entrepreneurs in our retail markets. For our team, we believe we can offer a truly Vriddhi-like program across all our current retail markets.We have been very fortunate to sign several MOUs in different states in India that help us get the access to be able to train more MSMEs. We also have the goal that we are going to export $10 billion annually out of India by the end of 2027. So, as a company, we are trying to make sure that we are covering the spectrum of suppliers, from MSMEs all the way through large export suppliers. We had great feedback sessions with our suppliers where we are always also trying to learn from the different MSMEs because that is how we build the next program to continue to stay ahead of our competition and in empowering MSMEs through export.