Global retail giant Walmart is expected to soon firm u p its plan to foray into India's multibrand sector, a top government official said on Friday.
Walmart Asia chief Scot Price met top officials of the Department of Industrial Policy and Promotions (DIPP) and sought clarity on the recent changes government had made in the multi- brand retail FDI policy.
" They have indicated to come back to us very soon with a firm proposal. ... The consideration by Walmart is very serious for India and their plan is possibly in the last stage," the official said.
Price declined to comment after an hour- long meeting.
The Walmart chief attended the meeting with two of his team members.
Walmart has been seeking a series of clarifications from the government over the conditions for FDI in the multibrand segment. It had in July expressed inability to the government on meeting an earlier sourcing norm that required 30 per cent procurement from small industries. It had said that it can procure only about 20 per cent.
Earlier this month, the government had diluted the contentious sourcing clause allowing global multi- brand retailers to source 30 per cent of their products from small and medium enterprises only at the time of start of the business.
Besides, they have also been allowed to set up stores in cities with less than ten lakh population.
Experts have warned some of the conditions designed to protect local industries and counter criticism that India is ' selling out' to foreign multinationals, are often too restrictive and will scare off foreign investors.
Last September, the government had allowed 51 per cent FDI in multi-brand retail, 49 per cent investment by foreign airlines in the aviation sector and sale of equity in four PSUs.
Walmart Asia chief Scot Price met top officials of the Department of Industrial Policy and Promotions (DIPP) and sought clarity on the recent changes government had made in the multi- brand retail FDI policy.
" They have indicated to come back to us very soon with a firm proposal. ... The consideration by Walmart is very serious for India and their plan is possibly in the last stage," the official said.
Price declined to comment after an hour- long meeting.
The Walmart chief attended the meeting with two of his team members.
Walmart has been seeking a series of clarifications from the government over the conditions for FDI in the multibrand segment. It had in July expressed inability to the government on meeting an earlier sourcing norm that required 30 per cent procurement from small industries. It had said that it can procure only about 20 per cent.
Earlier this month, the government had diluted the contentious sourcing clause allowing global multi- brand retailers to source 30 per cent of their products from small and medium enterprises only at the time of start of the business.
Besides, they have also been allowed to set up stores in cities with less than ten lakh population.
Experts have warned some of the conditions designed to protect local industries and counter criticism that India is ' selling out' to foreign multinationals, are often too restrictive and will scare off foreign investors.
Last September, the government had allowed 51 per cent FDI in multi-brand retail, 49 per cent investment by foreign airlines in the aviation sector and sale of equity in four PSUs.