Government clears 25 FDI proposals worth Rs 1,546 crore

NEW DELHI: The Finance Ministry has approved 25 FDI proposals, including six of single-brand retail trade, envisaging a total investment of Rs 1,546.12 crore, and referred a Rs 1,800-crore pharma proposal to the Cabinet for consideration.

The proposals have been cleared by the Finance Ministry following recommendations for the same by Foreign Investment Promotion Board (FIPB), a multi-department panel headed by Finance Secretary Arvind Mayaram.

Among others, the government has cleared "multi-brand retail trading (MBRT)" applications of Flemingo International ( BVI) and Miami Perfume Junction, Inc, USA. These proposals envisage investment of Rs 50.5 crore.

These MBRT proposals relate to investment in setting up shop in duty free area and selling products on board on international flights, the Finance Ministry said.

It further said three pharma sector applications, including a Rs 600 crore proposal of Laurus Labs, has also been cleared.

The single-brand retail trading proposals which have been cleared include that of Lush Ltd, UK; Austria Puma Dassier Gesellchaft m.b.H, Austria and Bestseller United (Singapore) Pte Ltd, Singapore.

While deferring decision on two proposals, the FIPB also rejected the application of Veritas (India) Ltd, Mumbai.

Veritas had sought post-facto approval for issue of warrants to foreign collaborators in a company engaged in trading of metals and chemicals products.

The Ministry further said it has recommended the proposal of Medreich related to pharma sector to the Cabinet Committee on Economic Affairs ( CCEA) for consideration.

The applicant had sought approval to increase foreign investment up to 100 per cent in its paid up capital and direct foreign investment in its subsidiaries. The proposal entails an investment of Rs 1,800 crore.

FDI proposal exceeding Rs 1,200 crore are cleared by the CCEA.