"It's been a huge honour to have represented my country and played all over the world," Tendulkar, the highest run-scorer in the history of Test cricket, said in a statement.
"I look forward to playing my 200th Test Match on home soil, as I call it a day."
India is to play a two-Test series against the West Indies next month which would enable Tendulkar, who has already made 198 appearances, to become the first player to reach the 200 landmark.
Tendulkar, who made his Test debut in 1989, said that he found it hard to imagine life without cricket.
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"All my life, I have had a dream of playing cricket for India. I have been living this dream every day for the last 24 years," said the 40-year-old.
"It's hard for me to imagine a life without playing cricket because it's all I have ever done since I was 11 years old."
The right-handed batsman is the only player to have scored 100 centuries in international cricket, including 51 Test tons.