Maharashtra reclaims top spot in country as FDI recipient, says minister Uday Samant

Reports published in September suggested that despite a slowdown in FDI influx, Maharashtra managed to attract Rs 36,634 crore of FDI equity inflows in the first quarter.

Maharashtra Industries Minister Uday Samant on Thursday said his state regained the top spot in the county as the foreign direct investment (FID) recipient. 
 
While speaking in the legislative council in Nagpur, Samant said Maharashtra attracted Rs 28,868 crore of foreign direct investment in the last three months.
 
As per the data on FDI released by the Union government, the state has regained its position as recipient of the highest FDI in the country, he added.
 
Samant, who also held the 398th Member Board Meeting which was attended by Principal Secretary Harshdeep Kamble, Chief Executive Officer Vipin Sharma, Development Commissioner (Industry) Dipendra Singh Kushwaha, Joint Chief Executive Officer Maliknar, Anil Bhandari, Vijay Rathod and members of the board on Thursday, highlighted several initiatives taken by his government to draw investment in Maharashtra.
 

FDI in inventory-based e-comm for exports

Meanwhile, there was a broad agreement within the government to allow foreign online sellers to undertake inventory-based e-commerce only for exports, though such a move would require requisite changes in different rules for its smooth operationalisation, sources said.
 
At present, the FDI policy does not permit foreign direct investment in the inventory-based model of e-commerce. FDI is allowed only in firms that are operating through a marketplace model. Under the inventory-based model, online sellers are allowed to own the inventory of goods and services and sell them to consumers directly. On the other hand, the marketplace-based model of e-commerce involves a portal by an entity to act as a facilitator between a buyer and a seller.
 
At present, foreign e-commerce entities providing a marketplace can not exercise their ownership over the inventory i.e. goods purported to be sold. Such ownership over the inventory will render the business into an inventory-based model.