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LATEST NEWS UPDATES | Government taking fresh steps to build consensus on retail FDI, says Prime Minister </title>
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Prime Minister Manmohan Singh on Tuesday assured industry that the Centre is making renewed efforts to open up foreign direct investment in multi-brand retail, despite Uttar Pradesh (UP) election results where the winning Samajwadi Party has opposed FDI..."/>
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Prime Minister Manmohan Singh on Tuesday assured industry that the Centre is making renewed efforts to open up foreign direct investment in multi-brand retail, despite Uttar Pradesh (UP) election results where the winning Samajwadi Party has opposed FDI..." />
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<h1 class="cat-box-title">Government taking fresh steps to build consensus on retail FDI, says Prime Minister</h1>
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Published on</span><span class="text-date"> Mar 7, 2012</span>
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<div style="text-align: justify">-The Economic Times</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Prime Minister Manmohan Singh on Tuesday assured industry that the Centre is making renewed efforts to open up foreign direct investment in multi-brand retail, despite Uttar Pradesh (UP) election results where the winning Samajwadi Party has opposed FDI in retail in its manifesto. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Singh told a delegate of senior members of industry body Assocham that the Centre is taking fresh efforts to evolve consensus amongst the various stakeholders on allowing FDI in retail. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"Manmohan Singh communicated to us that renewed efforts are being made to form consensus and open up multi-brand retail for foreign investment," Assocham senior VP Rana Kapoor said after the meeting between the industry body and the prime minister. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Assembly elections in the country's most populous state UP is seen as crucial indicator of the political fortunes of the ruling Congress alliance, which in turn could decide on allowing FDI in India. More so, since Samajwadi Party supremo and forthcoming UP chief minister Mulayam Singh Yadav has opposed any foreign corporate interest in retail during his campaign. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">The country's top retailers too are getting mixed vibes on the FDI issue after the UP election results. The state was one of the first to have attracted local backlash in 2007, when Reliance Retail was forced to shut down about a dozen shops due to opposition from politically powerful small shop-owners, farmers and middlemen. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"While FDI is good for the sector, I don't see the government going ahead with the move after the UP elections outcome," said Govind Shrikhande, MD at Shoppers Stop. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Retailers Association of India (RAI), which represents major big retailers in the country, says there's no clarity on whether FDI will be allowed or not. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"We are optimistic on foreign money coming into India because the sector needs it. But we will have to wait for some more time to get some sense," Kumar Rajagopalan, CEO at RAI, said. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">In November last year, the cabinet allowed 51% FDI in multi-brand retail with stringent conditions on back-end investments, market accessibility and sourcing. But it had to put on hold its decision due to stiff opposition from key allies like Trinamool Congress and other political parties. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">The Department of Industrial Policy and Promotion has since then started wider consultations with farmers, consumers and the food processing industry. Several global giants like Walmart, Tesco and Carrefour are waiting in the wings to enter India's multi-brand retail segment. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Manmohan Singh had then said he hoped to open up FDI in retail as soon as elections to the state legislatures of Uttar Pradesh and Punjab are over. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">A section of the organised retail industry is still hopeful that reform will continue. "The government should continue with reforms by hopefully bringing FDI soon, irrespective of the outcome in state elections," Future Group chief executive Kishore Biyani said. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">However, trade associations are in no mood to let go the issue off the hook easily. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"We are planning for a nationwide protest on the day of Holi and burn FDI posters and effigies to show our opposition. We expect to have around two lakh traders, retailers and manufacturing participating on the say," said Viren Shah, president of Federation of Retail Traders' Welfare Association.</div>
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<br><a href="http://economictimes.indiatimes.com/news/news-by-industry/services/retailing/government-taking-fresh-steps-to-build-consensus-on-retail-fdi-says-prime-minister/artic" class="re" target="_blank">The Economic Times, 7 March, 2012, http://economictimes.indiatimes.com/news/news-by-industry/services/retailing/government-taking-fresh-steps-to-build-consensus-on-retail-fdi-says-prime-minister/artic</a><div class="clear"></div>
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<h1 class="cat-box-title">Government taking fresh steps to build consensus on retail FDI, says Prime Minister</h1>
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Published on</span><span class="text-date"> Mar 7, 2012</span>
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<div style="text-align: justify">-The Economic Times</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Prime Minister Manmohan Singh on Tuesday assured industry that the Centre is making renewed efforts to open up foreign direct investment in multi-brand retail, despite Uttar Pradesh (UP) election results where the winning Samajwadi Party has opposed FDI in retail in its manifesto. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Singh told a delegate of senior members of industry body Assocham that the Centre is taking fresh efforts to evolve consensus amongst the various stakeholders on allowing FDI in retail. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"Manmohan Singh communicated to us that renewed efforts are being made to form consensus and open up multi-brand retail for foreign investment," Assocham senior VP Rana Kapoor said after the meeting between the industry body and the prime minister. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Assembly elections in the country's most populous state UP is seen as crucial indicator of the political fortunes of the ruling Congress alliance, which in turn could decide on allowing FDI in India. More so, since Samajwadi Party supremo and forthcoming UP chief minister Mulayam Singh Yadav has opposed any foreign corporate interest in retail during his campaign. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">The country's top retailers too are getting mixed vibes on the FDI issue after the UP election results. The state was one of the first to have attracted local backlash in 2007, when Reliance Retail was forced to shut down about a dozen shops due to opposition from politically powerful small shop-owners, farmers and middlemen. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"While FDI is good for the sector, I don't see the government going ahead with the move after the UP elections outcome," said Govind Shrikhande, MD at Shoppers Stop. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Retailers Association of India (RAI), which represents major big retailers in the country, says there's no clarity on whether FDI will be allowed or not. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"We are optimistic on foreign money coming into India because the sector needs it. But we will have to wait for some more time to get some sense," Kumar Rajagopalan, CEO at RAI, said. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">In November last year, the cabinet allowed 51% FDI in multi-brand retail with stringent conditions on back-end investments, market accessibility and sourcing. But it had to put on hold its decision due to stiff opposition from key allies like Trinamool Congress and other political parties. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">The Department of Industrial Policy and Promotion has since then started wider consultations with farmers, consumers and the food processing industry. Several global giants like Walmart, Tesco and Carrefour are waiting in the wings to enter India's multi-brand retail segment. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Manmohan Singh had then said he hoped to open up FDI in retail as soon as elections to the state legislatures of Uttar Pradesh and Punjab are over. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">A section of the organised retail industry is still hopeful that reform will continue. "The government should continue with reforms by hopefully bringing FDI soon, irrespective of the outcome in state elections," Future Group chief executive Kishore Biyani said. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">However, trade associations are in no mood to let go the issue off the hook easily. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"We are planning for a nationwide protest on the day of Holi and burn FDI posters and effigies to show our opposition. We expect to have around two lakh traders, retailers and manufacturing participating on the say," said Viren Shah, president of Federation of Retail Traders' Welfare Association.</div>
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<br><a href="http://economictimes.indiatimes.com/news/news-by-industry/services/retailing/government-taking-fresh-steps-to-build-consensus-on-retail-fdi-says-prime-minister/artic" class="re" target="_blank">The Economic Times, 7 March, 2012, http://economictimes.indiatimes.com/news/news-by-industry/services/retailing/government-taking-fresh-steps-to-build-consensus-on-retail-fdi-says-prime-minister/artic</a><div class="clear"></div>
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<h1 class="cat-box-title">Government taking fresh steps to build consensus on retail FDI, says Prime Minister</h1>
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Published on</span><span class="text-date"> Mar 7, 2012</span>
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<div style="text-align: justify">-The Economic Times</div><div style="text-align: justify"><br /></div><div style="text-align: justify">Prime Minister Manmohan Singh on Tuesday assured industry that the Centre is making renewed efforts to open up foreign direct investment in multi-brand retail, despite Uttar Pradesh (UP) election results where the winning Samajwadi Party has opposed FDI in retail in its manifesto. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Singh told a delegate of senior members of industry body Assocham that the Centre is taking fresh efforts to evolve consensus amongst the various stakeholders on allowing FDI in retail. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"Manmohan Singh communicated to us that renewed efforts are being made to form consensus and open up multi-brand retail for foreign investment," Assocham senior VP Rana Kapoor said after the meeting between the industry body and the prime minister. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Assembly elections in the country's most populous state UP is seen as crucial indicator of the political fortunes of the ruling Congress alliance, which in turn could decide on allowing FDI in India. More so, since Samajwadi Party supremo and forthcoming UP chief minister Mulayam Singh Yadav has opposed any foreign corporate interest in retail during his campaign. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">The country's top retailers too are getting mixed vibes on the FDI issue after the UP election results. The state was one of the first to have attracted local backlash in 2007, when Reliance Retail was forced to shut down about a dozen shops due to opposition from politically powerful small shop-owners, farmers and middlemen. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"While FDI is good for the sector, I don't see the government going ahead with the move after the UP elections outcome," said Govind Shrikhande, MD at Shoppers Stop. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Retailers Association of India (RAI), which represents major big retailers in the country, says there's no clarity on whether FDI will be allowed or not. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"We are optimistic on foreign money coming into India because the sector needs it. But we will have to wait for some more time to get some sense," Kumar Rajagopalan, CEO at RAI, said. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">In November last year, the cabinet allowed 51% FDI in multi-brand retail with stringent conditions on back-end investments, market accessibility and sourcing. But it had to put on hold its decision due to stiff opposition from key allies like Trinamool Congress and other political parties. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">The Department of Industrial Policy and Promotion has since then started wider consultations with farmers, consumers and the food processing industry. Several global giants like Walmart, Tesco and Carrefour are waiting in the wings to enter India's multi-brand retail segment. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">Manmohan Singh had then said he hoped to open up FDI in retail as soon as elections to the state legislatures of Uttar Pradesh and Punjab are over. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">A section of the organised retail industry is still hopeful that reform will continue. "The government should continue with reforms by hopefully bringing FDI soon, irrespective of the outcome in state elections," Future Group chief executive Kishore Biyani said. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">However, trade associations are in no mood to let go the issue off the hook easily. </div><div style="text-align: justify"><br /></div><div style="text-align: justify">"We are planning for a nationwide protest on the day of Holi and burn FDI posters and effigies to show our opposition. We expect to have around two lakh traders, retailers and manufacturing participating on the say," said Viren Shah, president of Federation of Retail Traders' Welfare Association.</div>
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<br><a href="http://economictimes.indiatimes.com/news/news-by-industry/services/retailing/government-taking-fresh-steps-to-build-consensus-on-retail-fdi-says-prime-minister/artic" class="re" target="_blank">The Economic Times, 7 March, 2012, http://economictimes.indiatimes.com/news/news-by-industry/services/retailing/government-taking-fresh-steps-to-build-consensus-on-retail-fdi-says-prime-minister/artic</a><div class="clear"></div>
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LATEST NEWS UPDATES | Government taking fresh steps to build consensus on retail FDI, says Prime Minister
Government taking fresh steps to build consensus on retail FDI, says Prime Minister
Published on Mar 7, 2012
Modified on Mar 7, 2012
-The Economic Times
Prime Minister Manmohan Singh on Tuesday assured industry that the Centre is making renewed efforts to open up foreign direct investment in multi-brand retail, despite Uttar Pradesh (UP) election results where the winning Samajwadi Party has opposed FDI in retail in its manifesto.
Singh told a delegate of senior members of industry body Assocham that the Centre is taking fresh efforts to evolve consensus amongst the various stakeholders on allowing FDI in retail.
"Manmohan Singh communicated to us that renewed efforts are being made to form consensus and open up multi-brand retail for foreign investment," Assocham senior VP Rana Kapoor said after the meeting between the industry body and the prime minister.
Assembly elections in the country's most populous state UP is seen as crucial indicator of the political fortunes of the ruling Congress alliance, which in turn could decide on allowing FDI in India. More so, since Samajwadi Party supremo and forthcoming UP chief minister Mulayam Singh Yadav has opposed any foreign corporate interest in retail during his campaign.
The country's top retailers too are getting mixed vibes on the FDI issue after the UP election results. The state was one of the first to have attracted local backlash in 2007, when Reliance Retail was forced to shut down about a dozen shops due to opposition from politically powerful small shop-owners, farmers and middlemen.
"While FDI is good for the sector, I don't see the government going ahead with the move after the UP elections outcome," said Govind Shrikhande, MD at Shoppers Stop.
Retailers Association of India (RAI), which represents major big retailers in the country, says there's no clarity on whether FDI will be allowed or not.
"We are optimistic on foreign money coming into India because the sector needs it. But we will have to wait for some more time to get some sense," Kumar Rajagopalan, CEO at RAI, said.
In November last year, the cabinet allowed 51% FDI in multi-brand retail with stringent conditions on back-end investments, market accessibility and sourcing. But it had to put on hold its decision due to stiff opposition from key allies like Trinamool Congress and other political parties.
The Department of Industrial Policy and Promotion has since then started wider consultations with farmers, consumers and the food processing industry. Several global giants like Walmart, Tesco and Carrefour are waiting in the wings to enter India's multi-brand retail segment.
Manmohan Singh had then said he hoped to open up FDI in retail as soon as elections to the state legislatures of Uttar Pradesh and Punjab are over.
A section of the organised retail industry is still hopeful that reform will continue. "The government should continue with reforms by hopefully bringing FDI soon, irrespective of the outcome in state elections," Future Group chief executive Kishore Biyani said.
However, trade associations are in no mood to let go the issue off the hook easily.
"We are planning for a nationwide protest on the day of Holi and burn FDI posters and effigies to show our opposition. We expect to have around two lakh traders, retailers and manufacturing participating on the say," said Viren Shah, president of Federation of Retail Traders' Welfare Association.
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