Plan panel for FDI in multi-brand retail

Plan panel for FDI in multi-brand retail

“We in the Planning Commission in principle are open to the idea of entry of FDI in multi-brand retail,” the Planning Commission Deputy Chairman Montek Singh Ahluwalia said at an interactive session at the Economic Editors Conference here.

“If we are open to modern retail formats, then why should we not allow FDI in multi-brand retail,” he said.  India currently does not allow any FDI in multi-brand retail although it permits foreign direct investment up to 51 per cent in single-brand retail.

However, the Centre has also relaxed FDI norms thereby lifting restriction that required retailers to source products from FDI-backed group wholesale firms only for internal use.