Which are the sectors to have given green signal for total FDI (100%) either through the Automatic or through the Government route? Do you expect these sectors to perform well with such a move ?
CS Professional · International Business – Laws and Practices · PYQS · December 2019
Which are the sectors to have given green signal for total FDI (100%) either through the Automatic or through the Government route? Do you expect these sectors to perform well with such a move ?
Answer & Explanation:
The sectors with 100% of FDI cap either through the Automatic (A) or the Government (G) route include: Agriculture and Animal husbandry (A) Tea plantation (G) Mining (A & G) Petroleum and Natural Gas (A) Civil aviation-greenfield and existing projects/helicopter and seaplane services/ flying training institutes/maintenance and repair organizations (A & G) Courier Services (G) Construction (A) Industrial Parks (A) Trading and E-commerce, single brand retail (A & G) Pharmaceuticals (A & G) India has recently taken a lot of initiatives, especially in infrastructure and aviation sectors. The country is witnessing development in the airports and air service, e-commerce, IT, and construction sectors. The demand in the service sectors has improved consistently as a result of the change in consumer behaviour. This has happened primarily because of increased competition due to globalization. The future has a lot of opportunities for international business in India. There has been a consistent increase in the FDI limits in various sectors. This will further lead to a business integration with the rest of the world.
Topics: International Business Environment
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