FDI opposed by lawyers’ group

A group of Supreme Court lawyers, led by Sonia Sood, has asked the central government to reconsider its policy of allowing 51% foreign direct (FDI) investment in the retail sector, saying this would infringe on the nation’s sovereignty.

‘The government’s move to permit 51% FDI in retail is anti-national as it would deprive a majority of Indian businessmen and traders of their means of livelihood,’ Sood said.

The current policy on FDI in retail permits 51% in FDI for single branded foreign entities. Accordingly, while, single brand companies like Levi’s can open exclusive company stores in India, multi brand retail chains like Wal-Mart would not be able to do so without partnering a majority holding local partner.

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