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· TaxGuruFDI

Retail and e-commerce FDI, as summarised in 2019

Summary

Single-brand retail was 100% automatic, multi-brand 51% with government approval, and e-commerce allowed only the marketplace model, not inventory. Where foreign ownership in single-brand exceeded 51%, 30% of sourcing had to be from India.

Key points
  • Summary as of August 2019; later amendments possible
  • Also check recent e-commerce rules on our distribution & marketing platform
For Korean companiesUse this summary only as a starting point for retail or e-commerce entry, and re-check current rules with legal counsel.

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What changes when land-border-country capital is involved?

Until now, investment involving China or other bordering countries needed approval across the board. Since the March 2026 amendment, up to 10% non-controlling beneficial ownership goes through the automatic route, and designated manufacturing sectors get a 60-day review.

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Retail and e-commerce FDI, as summarised in 2019 · Adullam Market Research