Tesco is moving from being a domestic player to being an international retailer of real scale

Terry Leahy, Tesco chief executive

Consolidation among supermarkets in leading nations and sales growth in emerging markets will prompt leading store chains to take an international outlook, said Tesco, which plans to run 130 hypermarkets abroad by 2002.

Tesco, announcing group sales up 10.7% to �10.1bn between March and August, also claimed to be the world's largest internet grocery business, with 750,000 registered customers and orders running at �60,000 per week.

Terry Leahy, Tesco's chief executive, said: "These are strong results, reflecting the successful implementation of our strategy.

International giant

"Tesco is moving from being a domestic player to being an international retailer of real scale, giving us a strong position in the league of major international retailers."

Overseas stores

Czech Rep and Slovakia: 11 Hungary: 15 Poland: 10 South Korea: 3 Taiwan: 1 Thailand: 24 [Figs for year end 2000]

Successful retailers will be those which can manage changes in domestic and foreign markets to emerge as global forces, says the company statement, which predicts that 45% of Tesco's shopping space will be outside the UK by 2002.

The statement also confirmed earlier reports that the group will create 20,000 jobs worldwide this year.

Tesco's overall international sales rose 42% to �1.2bn over the six months, with revenue from Asian and central European operations almost doubling.

Foreign stores

By the end of 2000, the food giant will operate 15 hypermarkets in Hungary, Tesco's key central European market, with 10 outlets open in Poland.

The company plans to run 61 hypermarkets in Asia by the end of 2002, with 32 open now in South Korea, Thailand, one planned for Taiwan, and company officials investigating opportunities in Malaysia, Japan and China.

In the UK, where Tesco is opening 30 stores this year, sales rose 7.5% to �8.9bn despite "intense competition for customers".

All but three of the new stores will be built on brownfield sites, the company said.

Tesco shares stood 14.5p up at 221p in afternoon trade in London.