FIPB clears four retail proposals

In a bid to boost India’s economy, Foreign Investment Promotion Board (FIPB) has

cleared the proposals of four global retailers to set up operations to sell their brand’s products in India. While it was reported yesterday that the proposals were to be taken for approval in a meeting, official sources say, they have already got the green signal.

The agency has cleared the proposals of French cookware maker Le Creuset and sportswear company Decathlon as well as US-based jewellery and watch maker Fossil, to set up wholly owned operations. French fashion brand Promod has been allowed to set up a joint venture in the country.

Last month, the Department of Industrial Policy and Promotion (DIPP) under the Ministry of Commerce and Industry had sent these proposals to the FIPB for consideration. India is witnessing an increased interest in retail segment, ever since the government allowed 100 percent FDI in single brand retail in January 2012.

While Promod, plans to invest about Rs 30 crores to form a joint venture with 51 percent stake, Decathlon has planned maximum investment of Rs 700 crores. In the case of American high-end accessories firm Fossil, it has proposed to invest more than Rs 22 crores. Crockery maker Le Creuset already operates a cash-and-carry business in India.