Trinamool Congress chief and West Bengal Mamata Banerjee on Tuesday announced her decision to withdraw from the Congress-led ruling United Progressive Alliance.
In light of the recent announcement of the government to introduce Foreign Direct Investment in retail sector, the United Progressive Alliance government is facing a backlash from its allies.
FDI inflows into the country have been declining over the past two years despite policy easing in about a dozen sectors.
Minister says states have no legal way to revoke decision.
Mukherjee's remarks assume significance in the context of a deadlock in Parliament on the FDI issue, with allies Trinamool Congress and DMK also voicing strong opposition to permitting foreign investment in multi-brand retail.
Notification after Parliament session; execution ball to be in states' court.
Uttar Pradesh Chief Minister Akhilesh Yadav on Saturday made it loud and clear that he will not allow foreign direct investment in retail in any corner of the country's most populous state.
In a sudden turn of events, the Centre has decided to put on hold the controversial decision about FDI in retail sector, in an apparent bid to break the Parliament logjam. West Bengal Chief Minister Mamata Banerjee, whose party Trinamool Congress is strongly opposed to the decision, claimed on Saturday that Union Finance Minister Pranab Mukherjee spoke to her and told her that the FDI decision has been "suspended".
The Confederation of All India Traders, the apex body of trade federations and small-scale sector players in the country, upped their campaign on Saturday against the United Progressive Alliance government's proposal to bring in foreign direct investment in multi-brand retail by another notch. The CAIT announced a nationwide campaign, 'Retail FDI bhagao, apne vatan ko bachao' (Chase out FDI in retail, save our nation) in the national capital on Saturday.
A recent public interest suit in the Supreme Court over foreign direct investment (FDI) in retail may have thrown the industry into a tizzy, but lawyers, constitutional experts and government officials indicate the multi-brand retail FDI policy is unlikely to get derailed over Fema.
Leading corporate lawyers and accounting firms have swung into action to interpret the grey areas in the multi-brand retail FDI policy and suggest follow-up action to clients before they start striking deals.
In the cacophony of debates on the wisdom of liberalising retail foreign direct investment, or FDI, one viewpoint was noticeably absent: whether and how this might affect India's strategic interests.
A new law gives more teeth to the shareholder and empowers him to take legal action against a company for fraud.
The devil is always in the detail. Closer scrutiny of IKEA's India entry application makes it clear the celebrations may have been premature, as the euro 25-billion Scandinavian furniture major virtually wants an overhaul of the single-brand retail FDI policy.
Punjab and Gujarat are in favour of FDI in multi-brand retail in food items while many others have vehemently opposed the idea, a government official said.
According to sources, the government will have to allow a minimum of 51 per cent foreign direct investment (FDI) in the multi-brand retail, the same as was permitted in single brand retail.
Global retail giant Walmart is expected to soon firm up its plan to foray into India's multi-brand sector.
Executives in the segment say some top European, Japanese and Korean retailers are seriously interested.
In 50 days, 60% of the work force was let off in retail, agri, textile and other sectors.
Private equity players believe it to be lucrative to invest in designer labels.
.bmp)
Retail giant Tesco's entry into Indian market has hit a regulatory roadblock.
No one's quite sure on the retail FDI issue in this regard, after the new Rajasthan and Delhi governments cancelled the approvals given by their predecessors
The company is not holding plans for clarity on policy.
The UK-based retailer can add to the best practices it already brings to Tata's retail business.
Since allowing FDI in multi-brand retail has been left to the states, Indian companies may not benefit as foreign investors are wary of the politics.
© 2026 Rediff.com - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances