Further liberalisation of FDI in retail on track
10 Feb 2007
New Delhi: Measures to further liberalise FDI in specific sectors of retail, like electronics, stationery and sports goods, are likely to stay on course despite UPA chairperson and Congress party president Sonia Gandhi's letter to Prime Minister Manmohan Singh on the Wal-Mart-Bharti tie up.
Commerce and industry minister Kamal Nath said the recent controversy on Mrs Gandhi's letter over Wal-Mart would not be a set back for opening new retail sectors to FDI.
The department of industrial policy and promotion had already floated a proposal for liberalisation of FDI. All through the controversy the DIPP has maintained that no regulations have been breached with regard to Bharti-Walmart joint venture.
Government regulations allow 100-per cent FDI in cash and carry through automatic route and 51 per cent in single brand. Besides, the franchise route is available for big operators.
