Home / Knowledge / News / Apparel/Garments / Indian e-retailers for FDI in multi brand ecommerce
Indian e-retailers for FDI in multi brand ecommerce
10
Oct '13
Indian e-retailers are seeking a change in foreign direct investment (FDI) policy and want the Government to permit FDI in online multi brand retailing and inventory led model. Last month, the Union Government’s decision to bar FDI in ecommerce has led to some amount of depression among the online retailers in the country.

At present, the Indian Government permits 100 percent FDI in cash and carry, online marketplaces, single brand retail as well as business-to-business (B2B) e-commerce. The Government also allowed up to 51 percent FDI in multi brand offline retailing last year. However, multi brand retailing in ecommerce and inventory led model is completely prohibited.

Mr. Mukesh Bansal, CEO and co-founder of Myntra.com, one of the leading domestic online apparel retailers in India, told fibre2fashion, “E-commerce companies and various industry bodies are approaching the Union Government and updating them on the benefits of FDI in this sector.”

“We want the Government to treat e-commerce companies as Information Technology (IT) or Information Technology Enabled Services (ITES) companies and base policies accordingly,” he adds.

With the rapid growth in Indian apparel ecommerce, several global online retailers like Amazon and eBay have sought relaxation in the Indian FDI policy.

Ms. Deepa Thomas, ecommerce evangelist of eBay India, which is one of the global e-retailers present in India through marketplace platform, says, “With regard to FDI in ecommerce, we always have and will continue to encourage the development of India’s ecommerce ecosystem.”

According to a report by Internet and Mobile Association of India (IAMAI), online retailing by branded apparel segment in the country witnessed a year-on-year growth of 84 percent, this indicates rising consumer preference for shopping online in clothing.

The FDI in online retailing, once permitted, is expected to open new scope for domestic retailers and it will also let the Indian ecommerce market mature.

Fibre2fashion News Desk - India

Must ReadView All

Courtesy: Reliance Industries

Textiles | On 24th Apr 2017

Reliance’s FY17 revenue from petrochemicals up 12.2%

Increase in prices across polymers and polyester chain has...

Textiles | On 24th Apr 2017

India, Kazakhstan to increase cooperation in textiles

Indian and Kazakhstan are deliberating upon increasing cooperation in ...

Textiles | On 24th Apr 2017

GST reflects 'One nation, One aspiration' spirit: Modi

Prime Minister Narendra Modi has said that the Goods and Services Tax ...

Interviews View All

Claudia Kersten
Global Organic Textile Standard

‘GOTS is a very efficient supply chain management tool, especially for...

Rahul Bhadani
Looksgud

Navigating through catalogues is a bit hasslesome

Abhimanyu Singh Rathore & Barbara Anna Kosiorek
Kannbar

‘Blending cultures is the true beauty of fashion, where one’s imagination...

Marten Alkhagen
Swerea IVF AB

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

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Larry L Kinn
Suominen Corporation

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

Madhu Jain
Madhu Jain

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

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

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
April 2017

April 2017

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

SUBSCRIBE


Browse Our Archives

GO


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