Sydney: Retailing giant Woolworths may soon be planning to expand into India, according to a report in the Fairfax newspaper published Tuesday.

To maintain its profit growth, Woolworths must look overseas for acquisitions and considers India as a possible market for expansion, Citi analyst Craig Woolford told the Fairfax group, publishers of the Sydney Morning Herald and The Age.

With diminishing demand in New Zealand and increasing scrutiny by the Australian Competition and Consumer Commission inquiry into grocery prices, the company's focus may move to India, Woolford told the Fairfax newspapers.

Indian retail sector is projected to double from its current $35 billion in sales over the next eight years.

"Woolworths has a wholesale consumer electronics business as part of a joint venture with Tata, one of India's largest companies. But it could easily expand this by moving into groceries and general merchandise," Woodford added.

Woolworths, which operates retail formats as varied as supermarkets, convenience stores, liquor, petrol, general merchandise and consumer electronics, among others, has more than 3,000 stores and 180,000 employees across Australia and New Zealand.