• FDI in Single Brand Retail:- Viz., Reebok, Nokia, Adidas.

• FDI in Multi Brand Retail:- Viz., Wal-Mart, Carrefour and Tesco.

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1.         Franchise Agreements

2.         Cash And Carry Wholesale Trading

3.         Strategic Licensing Agreements 

4.         Manufacturing and Wholly Owned Subsidiaries

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It will be prudent to look into Press Note 4 of 2006 issued by DIPP and consolidated FDI Policy issued in October 2010 which provide the sector specific guidelines for FDI with regard to the conduct of trading activities.

a)      FDI up to 100% for cash and carry wholesale trading and export trading allowed under the automatic route.

b)      FDI up to 51 % with prior Government approval (i.e. FIPB) for retail trade of ‘Single Brand’ products, subject to Press Note 3 (2006 Series).

c)      FDI is not permitted in Multi Brand Retailing in India.

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Multi brand retail will give a boost to the organized retail sector, which positively impacts several stakeholders including – producers, workers, employees and consumers and Government.

Opening up of FDI can increase organized retail market size to $260 billion by 2020.

Result in an aggregate increase in income of $35-45 billion per year for all producers combined.

The worth of FDI in retail is worth $496 billion.

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Retail sector contributes to about 15% to India’s GDP, so in the long run it will boost the economy of India.

3–4 million new direct jobs and around 4–6 million new indirect jobs in the logistics sector,

Contract labour in the distribution and re-packaging centers, housekeeping and security staff in the stores.

Farmers and SMEs receiving higher prices for their produce/supplies, providing a more transparent mechanism for pricing, helping in planning their supplies.

5Rs/-kg 40Rs/-kg8Rs/-kg 8Rs/-kg 8Rs/-kg 8Rs/-kg 8Rs/-kg

10Rs/-kg 20Rs/-kgRetailers

multi brand retail

Sales!Sales!Discount!Discount!Yahoo…!!Yahoo…!!

Finally Finally I will get I will get

good pricesgood prices for my product for my product

Say;- no!Say;- no!To F.D.I To F.D.I

Stop F>D>IStop F>D>IIt is bad!!It is bad!!

harry!!harry!!More buyersMore buyersMore pricesMore prices

Need to Need to Innovate!!Innovate!!

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-"This is just a fear that has been created for some vested interest. FDI in retail will be a game-changer like telecom".