Economy Sep 16, 2012
New Delhi: Hailing government move to allow FDI in multi-brand retailing, noted industrialist Ratan Tata said the decision would enhance India's image among foreign investors and signal that the country is on the move again.
Tata, who is currently abroad, wrote to Commerce Minister Anand Sharma congratulating him and the government for allowing 51 percent Foreign Direct Investment in multi-brand retailing.
"I'm sure this clearance will enhance the image of India amidst foreign investors and will signal that India is on the move again," Tata said in a letter yesterday.
After battling stiff opposition, the government yesterday allowed 51 percent foreign investment in multi-brand retailing but left it to the states to permit global retailers open stores.
It also tweaked the sourcing norms for FDI exceeding 50 percent in single brand retailing, requiring foreign firms, which want a relaxation of the 30 percent procurement norms, to set up manufacturing facilities in the country.
Congratulating Sharma and the government, Tata said, "I know you have been working hard to achieve this long overdue goal, despite tremendous political resistance from vested interest sections."
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