Few retail brands have responded to the Delhi government's decision of not allowing foreign direct investment (FDI) in the retail sector in Delhi.
Vineet Chhajer, Director, Vineet Sarees, said, "I feel FDI in retail is a good option, if proper protection to us indigenous retailers is provided by both State and Central Government. We as an economy need the FDI in retail for it would induce investment as well as employment at the macro level and drive Indian brands to be versatile and compete to better the product quality, lower cost of production and design up gradation at the micro level, for which the support system and low cost financing is key, which can only be allowed by State and Government. Policies."
Aditya Gupta, Founder, The Furniture Republic, said that this is misplaced "nationalism" and myopic economics and indeed retail investments in India are not really much different from "Make in India" and like manufacturing, retail involves large investments, generates employment, and generates business for suppliers.
Delhi government's decision came a day after the Central government's decision, allowed foreign retailers to open multi-brand stores with 51 per cent stake.
The Arvind Kejriwal-led government had taken a stand against FDI in retail first during its 49-day rule in 2013-14.