The Department of Industrial Policy and Promotion (DIPP) and the Confederation of Indian Industry (CII) have commended Andhra Pradesh government’s policy to allow investments into the retail industry and have decided to showcase it to other states in the country as a model. AP’s retail policy is hailed by the commerce ministry at a time when FDI in multi-brand retail sector faces resistance in the country.The policy which allows automatic clearance to retail business permits within three weeks after applying is hailed as path-breaking.
AP Chief Minister Chandrababu Naidu has announced a revamped retail industry policy at the just concluded three day Sunrise Andhra Pradesh investment summit at Visakhapatnam from 10 to 12 January. Much to his delight, four major retail brands singed MoUs with the AP government to a tune of Rs 1,480 crore investments creating around 31,000 jobs in the next two years.
Global retail brand Wal-Mart India signed an MoU for Rs 750 crore investment to open stores in three big cities in the state followed by Future Group which will open seven stories in next the eight months with an investment of Rs 800 crore. Spencer Group and Arvind Lifestyle Brand too would open four stories each in one year with around Rs 300 crore, officials in the AP government told this paper.
What pleased CM Chandrababu Naidu was the open praise by the industrialists led by CII and the DIPP officials that AP government’s new retail policy was worth emulating by other states which want to woo investments. “Union commerce Minister Nirmala Sitharaman and DIPP secretary Amithabh Kant and the CII top brass complimented us,” said Finance Minister Yanamala Ramakrishnudu.
CM Naidu personally cleared the retail policy of AP government which is being hailed as decisive and pro-investor.Naidu after becoming the CM of AP two years ago made it a point to liberalise retail business and allow FDI into the sector. Now, he eyes around Rs 5,000 crore investments to create 20,000 more jobs in the next five years.