 "There is no plan now to ease (foreign direct investment) norms in retail," Kamal Nath told reporters in Delhi.
At present single-brand foreign retailers in India are allowed to take up to 51 percent in a venture with a local firm.
No foreign equity, however, is permitted in multi-brand retailing - a demand by global majors like Wal-Mart, Costco, Tesco and Carrefour. These companies are only allowed to give logistical support and back-end operation support to domestic multi-brand retail companies.
In a government instituted report, the economic think tank ICRIER had suggested that the big organised retail chains would affect the small mom and pop type kirana shops but the impact would gradually wear off. The government has taken an opposite stand, at least for now.
The mini-ministerial meeting and talks in Geneva had broken down on July 29. |