Home / Knowledge / News / Apparel/Garments / Retailers want assurance on continuation of FDI Policy
Retailers want assurance on continuation of FDI Policy
21
Jun '13
Some global multi-brand retailers have sought an assurance from the Indian Government that any change of governments both at the Centre and in the states would not result in reversal of the foreign direct investment (FDI) Policy.
 
Retailers like Walmart and Tesco have sought the clarification before they decide on investing in India, says an Economic Times report quoting PTI.
 
An internal note of the Department of Industrial Policy and Promotion (DIPP) said some potential foreign investors have discussed their plans for investing in multi-brand retail trading (MBRT) in India, however, they need to address certain apprehensions raised by their Boards before taking the decisions.
 
One of the major issues raised by Walmart and Tesco relates to the continuation of the FDI policy for MBRT, even if there is any change in Government at the Central level.
 
They have also sought a clarification whether states, which have at present given nod for opening of front-end stores in their territory, can opt out at a later date.
 
The queries assume importance as general elections are due in India next year.
 
The Indian Government allowed up to 51 percent FDI in MBRT last year. But so far, only 11 Indian states have given green signal to allow foreign retailers to open stores in their territories. 
 
Earlier this month, the DIPP issued some clarifications pertaining to 30 percent sourcing from small and medium enterprises, and 50 percent investment in back-end infrastructure, in response to queries by global retailers.
 
Walmart already has 50:50 cash-and-carry joint venture with India’s Bharti Group, while Tesco is in partnership with Tata Group.
 

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Pexels

Fashion | On 23rd Jun 2018

Nigerian bank launches N1 bn fund for fashion entrepreneur

Nigeria’s Bank of Industry has set aside 1 billion Naira (N) to...

Courtesy: Tayal

Textiles | On 23rd Jun 2018

Tayal textile factory in Algeria starts exports to Turkey

Algeria’s largest textile factory, the joint Algerian-Turkish company ...

Courtesy: Manhattan Beachwear

Fashion | On 23rd Jun 2018

Manhattan Beachwear in global partnership with BCBG Group

Manhattan Beachwear, the largest swimwear manufacturer in the US, has ...

Interviews View All

Smith Vaghasia
Sanado India

Online remains the best destination for shopping

Smita Murarka
Amanté

‘There is huge demand in the Indian lingerie market for non-wired styles.’

Janak Dhamanwala & Sunil Dhamanwala
Jansun

Moving towards sustainability is also a social change

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Rikesh Mistry

Jupiter Comtex Pvt Ltd, established in 1973, started its textile machinery ...

Anupam Arya

<div>Jaipur-based Fabriclore Retailing Pvt. Ltd. is attempting to revive...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Cigdem Akin
Cigdem Akin

She has carved a niche for herself as the national brand of Turkey. Her...

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

Leave your Comments


June 2018

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

news category


Related Categories:

Advanced Search