Government of India
Ministry of Commerce & Industry
Department of Industrial Policy & Promotion
Clarification on FDI Policy on Single Brand Retail Trading
(as contained at para 6.2.16.3 of Consolidated FDI Policy Circular of 2015)
| Issue | Clarification/ Comment |
| Can the brand owner or non-resident entity/entities undertake single brand retail trading of the specific brand through more than one company in India? |
A non-resident entity or entities, whether owner of the brand or otherwise, shall be permitted to undertake ˜single brand™ product retail trading in the country for the specific brand, directly or through a legally tenable agreement with the brand owner for undertaking single brand product retail trading. Such non-resident entity or entities can undertake single brand retail trading business through one or more wholly owned subsidiaries or joint ventures. |
| Does the FDI policy on single brand retail trading apply to Indian brands seeking foreign investment? |
It is clarified that FDI policy on single brand retail trading as contained in para 6.2.16.3 of Consolidated FDI Policy Circular of 2015 equally applies to Indian brands. |
