However, the global publisher will not bring out print or publish the Reader's Digest magazine or any other similar periodicals in the country.
The government has given a permission to the global publishing major to set up its subsidiary in India.
This is the second time that the magazine publishing group is entering India. The Reader's Digest brand was first introduced in the country in 1938 with the circulation of the UK edition of the magazine here. In 1954 the company began direct publication in the country, first through an Indian branch and subsequently through a fully owned subsidiary.
In 1955 the Union Cabinet passed a resolution to ban the publishing of all foreign publications in India except Reader's Digest. And it was the only international title which was allowed to be printed in India till 2002, when the government permitted printing of
The Reader's Digest Association Inc exited the country in the seventies, when the government amended the Foreign Exchange Regulation Act, which imposed a 40 per cent foreign investment limitation of international companies operating in the country. Subsequent to this, the Indian subsidiary was sold to a group of Indian investors.
In 1997, the government had given permission to the company to set up an Indian arm with 25 per cent equity in it. However, Reader's Digest decided against it.
Till 2003, the ownership of the title in India was with Titan Industries Limited. In 2003, Living Media India Limited was given the licence by Reader's Digest Association Inc to publish the title in India.
The company will invest $1.5 million in setting up the Indian subsidiary. The Indian company will also identify publishing opportunities in Hindi and other local Indian languages.
Besides, the Indian arm will also explore the possibility of making India its hub for business in South Asian region.
