Single brand retailers in India are no longer restrained by the 30% local sourcing FDI norms. They can also sell their goods online up to 2 years before opening brick and mortar stores. In a major relief to single brand retailers, the Union cabinet, on August 28, decided to relax norms for FDI to revive economic growth. Finance Minister Nirmala Sitharaman had announced that FDI norms would be eased for the single brand retail sector in her budget speech on July 5. Here are the new FDI rules for single brand retail trading [SBRT]: “It has been decided that all procurements made from India by the SBRT entity for that single brand shall be counted towards local sourcing, irrespective of whether the goods procured are sold in India or exported. Further, the current cap of considering exports for 5 years only is proposed to be removed, to give an impetus to exports.” Old rule: “30% of value of goods has to be procured from India if SBRT entity has FDI more than 51%. … [The] local sourcing requirement … can be met as an average during the first 5 years, and thereafter annually towards its India operations.” “ ‘sourcing of goods from India for global operations' can be done directly by the entity undertaking SBRT or its group companies (resident or non-resident}, or indirectly by them through a third party under a legally tenable agreement.” Old rule: “Local sourcing requirement, incremental sourcing for global operations by the non-resident entities undertaking…
- Samsung and Oppo Want To Work With DigiLocker, Plans For Common Consent Manager Underway February 6, 2023
- Here’s 7 ways to boost India’s gaming industry, as per a govt task force February 6, 2023
- Why was Indian crypto exchange WazirX forced to transfer assets from Binance’s wallet service? February 6, 2023
- No View On Republishing Data Anonymisation Guidelines for Public Consultation: IT Ministry February 6, 2023
- Andhra Pradesh: Gang uses cloned Aadhaar-linked fingerprints to steal money from bank accounts February 6, 2023
MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.
India's smartphone operating system BharOS has received much buzz in the media lately, but does it really merit this attention?
After using the Mapples app as his default navigation app for a week, Sarvesh draws a comparison between Google Maps and Mapples
The regulatory ambivalence around an instrument so essential to facilitate data exchange – the CM framework – is disconcerting for several reasons.
The provisions around grievance redressal in the Data Protection Bill "stands to be dangerously sparse and nugatory on various counts."
Please subscribe to MediaNama. Don't share prints and PDFs.
You May Also Like
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...
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...
Twitter takes down tweets from MP, MLA, editor criticising handling of pandemic upon government request
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...