The deadlock over foreign direct investment in the retail sector continues as government officials on Tuesday informed parties opposing FDI that they will discuss their demands with the Prime Minister Manmohan Singh.

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The main opposition -- the Bharatiya Janta Party and the Left parties, alongside with DMK and TMC -- has vehemently opposed FDI in retail in India. Parliament has been stalled over this issue.

Meanwhile, thousands of shop owners in Kerala downed shutters in protest against the Centre's decision to allow 51 per cent equity in multi-brand retail.

The dawn-to-dusk strike call was given by the Kerala Vyapari Vyavasyi Ekopanasamiti and Vyapari Vyavasayi Samiti, leading retailers' outfits in the state.

Reports from across the state said the response to the protest call was total with small, medium and wholesale outlets remaining closed.

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Leaders of the trade bodies said the move would "grievously harm" about 1 million shop owners and another 2.5 million shop and business establishment workers in Kerala.

They wanted the Centre to roll back the decision and the state government to use its powers to ensure that the retail sector was not opened up to big international players.

The Centre's decision to allow 51 per cent FDI in multi party retail and 100 per cent FDI in single brand retail is being opposed by opposition parties and various state governments, who have said the move would harm millions of small traders and cause huge unemployment in the rural areas.