REVIEW OF FDI POLICY

Aug. 29, 2019

The Union Cabinet has approved the proposal for Review of Foreign Direct Investment (FDI) policy on various sectors.

Amendments to the FDI Policy:

Digital Media: It has been decided to permit 26% FDI under government route for uploading/ streaming of News & Current Affairs through Digital Media, on the lines of print media.
Contract Manufacturing: It has been decided to allow 100% FDI under automatic route in contract manufacturing in India as well.
Coal Mining: It has been decided to permit 100% FDI under automatic route for sale of coal, for coal mining activities including associated processing infrastructure.
Single Brand Retail Trading (SBRT):
- All procurements made from India by the SBRT entity for the single brand shall be counted towards local sourcing, irrespective of whether the goods procured are sold in India or exported.
- Further, the current cap of considering exports for 5 years only is proposed to be removed, to give an impetus to exports.