|  Starbucks Corp., the world's largest coffee shop chain, will now take a franchise route to India rather than a planned joint venture, according to a report by zeenews.com , citing a newspaper report.
Starbucks has refiled its application, and will now operate through V.P. Sharma, its Indonesian franchisee, who will own 51 percent in a venture with India 's Future Group founder Kishore Biyani, the paper said.
"Starbucks is out of it (the new application)," a senior official at the ministry of commerce and industry told Mint. "Sharma will represent Starbucks now," he said.
Sharma and Biyani have not commented on the report.
India did not clear Starbucks' earlier application in December, where Starbucks had said it would hold 18 percent in a venture with New Horizons Retail Pvt. Ltd., a company founded by Sharma and Biyani.
DelWine had reported earlier that Starbucks was hopeful of starting its operations in India by December.
It is not known when this application might be cleared.
Meanwhile, the Italian competitor Lavazza bought Barista from its Indian owner about a month ago. It was reported by delWine.
The proposed entry of foreign firms in India 's strictly controlled retail industry has sparked political concerns and protests from small shop owners who fear job losses. The retail expansion has slowed down due to the Congress President Sonia Gandhi putting pressure on the coalition government being controlled by her party.
Details at: http://www.zeenews.com |
