wordpress blog stats
Connect with us

Hi, what are you looking for?

Govt eases FDI norms in broadcasting and 14 other sectors

money

The ministry of commerce has opened up foreign direct investment (FDI) in 15 sectors which includes broadcasting sector, single brand retail, banking in the private sector.

The proposed reforms also enhance the limit of Foreign Investment Promotion Board (FIPB) from current Rupees Three thousand crores to Five thousand crores, the government said in a release. “The crux of these reforms is to further ease, rationalise and simplify the process of foreign investments into the country and to put more and more FDI proposals on automatic route instead of government route where time and energy of the investors are wasted,” the government said in a statement.

Notes for the broadcasting sector

The government is going to allow 100% FDI in non-news channels through the  auto route. While FDI was increased in news channels to 49% from the existing 26% through the government route. FDI in FM channels was also increased to 49% through the government route.

For DTH industry, cable networks, mobile TV and Head-in-the-sky bsuinesses, the government increased FDI to 100%. However, it permitted FDI up to 49% through the automatic route, following which it will require government approval. The government had earlier in 2012 increased the limit to 74% for the industries.

Advertisement. Scroll to continue reading.

It’s worth noting that James Murdoch, the current chief executive of 21st Century Fox, had been pushing for liberalization of the news sector. More on that here.

Single brand retail 

– The government also decided that an entity which has been granted permission to undertake single brand retail will be permitted to undertake ecommerce activities. This would mean companies such as Apple, if given permission to do single brand retail, would be able to sell Apple devices online.

– The government added that an Indian manufacturer is permitted to sell its own branded products in any manner i.e. wholesale, retail, including through e-commerce platforms.

–  For the purposes of FDI Policy Indian manufacturer would be the investee company, which is the owner of the Indian brand and which manufactures in India, in terms of value, at least 70% of its products in house, and sources, at most 30% from Indian manufacturers. Further Indian brands should be owned and controlled by resident Indian citizens and/or companies, which are owned and controlled by resident Indian citizens. –

Advertisement. Scroll to continue reading.

However, in case of ‘state-of-art’ and ‘cutting edge technology’ sourcing norms can be relaxed subject to Government approval.

Download: Press release 

Written By

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

India and US come to terms on how to deal with the equalisation levy in light of the impending Global Tax Deal.

News

Find out how people’s health data is understood to have value and who can benefit from that value.

News

The US and other countries' retreat from a laissez-faire approach to regulating markets presents India with a rare opportunity.

News

When news that Walmart would soon accept cryptocurrency turned out to be fake, it also became a teachable moment.

News

The DSCI's guidelines are patient-centric and act as a data privacy roadmap for healthcare service providers.

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ