One of the major key changes in the FDI Policy, 2013 was the approval of FDI in multi-brand retailing. Analyse the impact of the FDI policy in multi-brand retailing.

Following are most probable impact of FDI Policy 2013 in Multi Brand Retailing: FDI Policy 2013 sets a Minimum Investment Limit at $100 million for foreign companies, out of which at least 50 percent must be in 'Backend Infrastructure' segment. This move is anticipated to result in improved transportation, distribution, storage and packaging facilities, agricultural processing, and develop farm allied infrastructure. Due to these, inflation is expected to come down. In addition, job opportunities in sectors above sectors are expected to thrive. Foreign companies are expected to take some constructive steps for the creation of supply and logistic chain. Previously, the country use to suffer huge losses due to under developed refrigeration facilities. Now with the entry of foreign players, storage and refrigeration infrastructure are supposed to improve significantly. Due the FDI initiative, the concept of the middleman, which has subjugated farmers in India for decades, can be eradicated. Farmers can now get the full benefit of their produce. However, FDI in the retail sector may not have a beneficial impact on the MSME sector. FDI in retail will also be beneficial for customers as this will increase one-stop shopping options with access to international brands.