Sunday, May 26th 01:19 AM IST

Eight states, two UTs back retail FDI, says govt

Aug 14, 2012

Just five days after the government stated in Parliament that only four states and Union Territories (UTs) supported foreign direct investment (FDI) in multi-brand retail, the number has now increased to 10.

The government now claims eight states and two union territories have supported FDI in organised retail, revising its earlier reply to the Rajya Sabha.

The commerce and industry ministry said in a reply to a question in Lok Sabha that the chief ministers of Maharashtra, Assam, Haryana, Uttarakhand, Andhra Pradesh and Jammu & Kashmir have supported the policy. But the ministry has not been able to produce letters from these states citing support to the government decision.

Reuters

The Cabinet had decided on November 24, 2011 to allow 51 percent FDI in multi-brand retail, but the same could not be implemented in the face of strong opposition from UPA-ally Trinamool Congress and several state governments.

While the Commerce and Industry Ministry has been making fresh efforts to forge a political consensus on the issue, Scindia said, “no time-frame can be specified” for implementing the decision.

A day after Scindia had said that only Delhi and three UTs had conveyed their support for FDI in retail, his senior Cabinet colleague Anand Sharma had stated that the reply to a question in Parliament was not correct. More states are in support of the decision, Sharma had stated.

Agencies

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