FDI in Indian Retail: A Critical Analysis of Government Policy and Future Orientation

Abstract

India is witnessing strong growth prospects in organized retailing with foreign retail players willing to make investment in the sub continent. Government has formulated a policy which allows 51% in multi-brand retailing and 100% in single-brand retailing. But some of the policy guidelines need to review for better prospects. The article critically analyses the policy guidelines put forwarded by government of India and the possible constraints for the foreign retailers in making investments in this sector.

Keywords: Single brand retailing, multibrand retailing, FDI, small scale industries, post harvest loss, cold storage

JEL Classification: L81, F10, E61