The government is drawing up plans to ease the foreign direct investment norms for single-brand retail, including the condition that global firms will have to source 30 percent of their requirements from local small firms and artisans. This is seen as a clear sign that the centre is paying heed to the criticism by business that restrictive policy environments hurting the country’s image as a global investment destination. The Department of Industrial Policy and Promotion (DIPP), piloting the policy, has begun discussions with other ministries, especially the Ministry of Small and Medium Enterprises (MSME), to ease the sourcing clause. Such new development in the FDI front will be a sunshine privilege in the retail sector where even signage players engaging in in-store/in-shop displays and signage can get into new business.
