Home / Knowledge / News / Apparel/Garments / Indian govt opens FDI route in supermarkets with riders
Indian govt opens FDI route in supermarkets with riders
15
Sep '12
The Government of India’s decision to allow up to 51 percent foreign direct investment (FDI) in multi-brand retail sector will come with riders.
 
As per the Government’s directive, global multi-retail chains like Wal-mart, Tesco and Carrefour would have to take approval from the Foreign Investment Promotion Board (FIPB) if they intend to invest in India.
 
The Government has also put up a minimum US$ 100 million investment cap for those willing to enter the giant Indian retail sector.
 
For FDI in India’s multi-brand retail sector, a minimum of 50 percent of total investment should be in “back-end infrastructure”.
 
The 30 percent local procurement clause, as applied to FDI in single-brand retail, would also be applicable for multi-national retail brands eager to set up supermarkets in India, according to the Government.
 
Above all, the retail chains would be allowed to be set up only in any of the 51 Indian cities that have a population of over one million, as per 2011 census.
 
The guidelines state that multi-brand retail outlets would have to be set up only in those states that have already agreed or will agree in future to the 51 percent FDI proposal.
 
So far, Andhra Pradesh, Assam, Haryana, Delhi, Rajasthan, Manipur, Uttarakhand, and Jammu & Kashmir states have expressed their support to the policy.
 

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 21st Jul 2017

CAI revises 2016-17 cotton crop to 337.25 lakh bales

Cotton Association of India (CAI) has upwardly revised cotton crop...

Textiles | On 21st Jul 2017

GST hits carpet industry, 5,000 units may shut down: CEPC

The handmade carpet industry has been affected badly following the...

Textiles | On 21st Jul 2017

Indonesia’s textile exports grow by small percentage

A small 0.62 per cent year-on-year (y/y) growth has been observed in...

Interviews View All

Arvind Saraf
Triveni Sarees

e-Commerce is still evolving fast with constant flux and surprises

Karan Suratwala
Key Textile Accessories Private Limited

Chinese imports are destroying the supply chain

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

July 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Thanks for your valuable feedback. Claim your free latest sustainability e-book.


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X