If you are looking to read Urdu literature either in Urdu or translated in English or Hindi, your best bet it to call or email Kitab Bhavan.
This is a bookstore in Darya Ganj, New Delhi. They seem to be very well informed about most Urdu publications. They speed post you (yes the old fashion way) any book that you wish to have and you can pay for it on delivery (the flipkart way) at your doorstep anywhere in India. Even if they do not have the particular author, title or translation that you are looking for they can help you narrow down your search.
When I was researching the life of poet Mohammad Iqbal, I was looking for English translations for most of his works with special reference to“ Asrar-i-Khudi –The secrets of the self”. This is a Persian piece of literature written by Iqbal and published in 1915. (Iqbal originally wrote in Persian and then Urdu. The two languages have many similarities. ) The only bookstore where I managed to find the English translation of this book was at Kitab Bhavan.
Mumbai has a couple of very good Urdu book stores which house a good collection of Urdu authors, titles and translations, but even in case they don’t have a book you are looking for they will in all probability direct you to Kitab Bhavan.
If you are looking for Urdu to tickle your taste buds, I recommend that you start with authors such as Ismat Chughtai, Saadat Hasan Manto, Krishan Chander or even Premchand’s short stories in English and you will realize how potent it would be if you had to read it in the language they wrote. The works of these authors are widely translated and can be found in popular bookstores as well.
Details of Urdu bookstores:
1784, Kalan Mahal,
Phone numbers: (91-11) 23277392/93, 23274686
Maktaba Jamia Ltd,
Princess Building, E R Road,
Mandvi, Near J J Hospital,
Phone number (91-22) 22 2377 4857