India: Tesco + Tata?

Rumors out of India are that Tesco and Tata are in talks to create a joint venture that could compete with the Wal-Mart/Bharti combo:

Tesco has begun talks with Indian giant Tata Group to form a retail joint venture to break into the country’s retail market. Tesco has been desperate to find a local partner in India after losing out to Wal-Mart to tie-up with Bharti Enterprises. Tata had previously said it was not in talks about a move into food retailing.

And speaking of Bharti/Wal-Mart, they will be announcing their plans in February:

Bharti’s Chairman Sunil Mittal said, "Complete details, including financial details, about the retail business will be announced next month jointly by Bharti and Wal-Mart".

Mittal added that the company was planning a cluster of outlets, preferably starting in north India and Bangalore.