Karnataka and Maharastra, two Congress-ruled states will be first beneficiaries of the opening up of the multi-brand retail sector to foreign direct investment (FDI), commerce minister Anand Sharma said here on Monday.
UK’s Tesco Plc has sought government approval to set up multi-brand outlets in India with an investment of $110 million in partnership with Tata’s Trent and the first of these outlets will come up in Karnataka and Maharashtra.
“To begin with these multi brand stores of Tata and Tesco will come in Karnataka and Maharashtra. So these will be the first two states that will be benefitting from the opening of this sector,’’ Sharma said in Bangalore following a meeting with Karnataka Chief Minister Siddaramaiah.
In a related development, the state government and the NCDEX Spot Exchange Limited have signed an agreement for establishing a Special Purpose Vehicle for carrying out reforms in the agricultural market sector in the state.
A company will be established in Karnataka that will modernise APMC markets by bringing in the best international practices from advanced markets.
... another firm to make foray
NEW DELHI: Enthused by Tesco’s plan to enter the Indian supermarket segment, the government expects another “European major” to apply for the multi-brand retail sector.
“In multi-brand retail trading, the first (application) has come. ...I think another European major will come,” commerce and industry minister Anand Sharma said. He did not share the details of the possible applicant. PTI