Six global retailers apply for 51 per cent JVs in India
13 Aug 2012
The government has received six proposals from global single-brand retailers seeking permission to invest 51 per cent in their operations in the country, the commerce ministry said today.
Sixty-one retailers, including apparel maker Tommy Hillfiger, clothing retailer Brooks Brother Group, Italian jewellery brand Damiani International, French fashion brand Promod SAS, Fapa Company Ltd and NA Pali Europe SARL (a unit of sportwear retailer Quiksilver Inc) have applied to the government for retailor licence.
Many of these retailers are already present in India via licensing and joint-venture partnerships with Indian retailers. The government has not taken a decision on these proposals, minister of state for commerce Jyotiraditya Scindia said in a statement.
Although the government has allowed foreign single-brand retailers to set up wholly owned operations in India, a requirement that companies source 30 per cent from small scale units has discouraged retailers from starting 100 per cent operations.
Global furniture brand Ikea has been in the news recently seeking exemption from the 30 per cent local sourcing requirement.
However, no decision has been taken on modifying the sourcing norms, the minister said.
The list of approved cases in single brand retail include Mauritius-based Tano India Private Equity Fund, Power Plate India Holdings Ltd, Giordano Mauritius Ltd and WCP Mauritius Holdings (all of Mauritius), Louis Vuitton Malletier, Socomec SA, Christian Dior Couture (Paris), Hermes International, Rene Derhy, Louis Vuitton, Delsey SA, Christian Louboutin SA and Fendi International SA of France, Lladro Commercial SA, Industria de DisenoTextilSociedadAnonima (Inditex S.A) and Indo International SA of Spain, Damro Exports Pvt Ltd and Timex Garments Pvt Ltd of Sri Lanka, RINO Greggio Argenterie SpA, Grotto SPA, SimsetSpA, Dolce and Gabbana (Milan), Piquadro SPA, Aran World Srl, DAMA SpA, Cool Toy Watch Srl, Poltrona Frau SpA Frau, Oviesse SPA, FIAMM SPA, Matteo Basso, Daniele Cesaro, Beatrice Basso, Canali Holding SA and ErmenegildoZegnaHolditalta SpA of Italy, Mitsui Automotive Investment BV, Diesel International BV, Richmont Services BV (directly or through one or more of its affiliates), Giorgio Armani Holding BV, Pearle India, Ferragamo International BV, Gucci Group N V and Tod's International BV of the Netherlands, Etamint and Celio International of Belgium, Lee Cooper International Ltd and Mothercare UK Ltd, C&J Clark International Ltd and Early Learning Centre Ltd of the UK, Fabindia Inc of the US, Sin Rong Pvt Ltd and Crocs Asia Pvt Ltd and L'Occitane Singapore Pte. Lte of Singapore, WahLuen Electronic Tools Co Ltd of China, Fabriano SDN BHD of Kuala Lumpur (Malaysia), Forever New Clothing Pty Ltd of Australia, Trio Selection Inc of Canada, Tod's Hong-Kong Ltd of Hong Kong, LA Bicycles and Indus Trading Co of Thailand, Marks & Spencer Plc, Burberry International Holdings Ltd or WoS of Burberry Group Plc and Hallmark Group Ltd of the UK, Oliver Bernd Freiher GmbH & Co and Lerros Moden GmbH of Germany, Doral Capital SA of Luxembourg, Austria Puma Dasellchaft MbH of Austria, Nokia Corporation (directly or through its wholly owned Indian subsidiary Nokia India Pvt Ltd) of Finland, Damas LLC (directly or through its affiliates) of Dubai andrve Hearing Systems AG of Switzerland, Scindia stated in his written reply to a question in the Lok Sabha today.
