Italy keen to bring FDI in fashion, textiles in India
May 17 2012
, New Delhi
Terming India's decision to allow 100 per cent foreign direct investment (FDI) in single-brand
retail as revolution", Italy today said several companies have shown interest in setting up stores in the country.
Italian Trade Commissioner Erica Di Giovancarlo said businessmen of both the countries can collaborate in sectors like automobiles, fashion and textiles through joint ventures.
"This decision (allowing 100 per cent FDI in single- -brand) of the government is a revolution in this market. I am sure it will catch interest of lot of companies...," Giovancarlo told PTI.
The decision has paved the way for global Italian chains like Armani, Gucci and Prada to have full ownership of their India operations.
Italy, a world leader in fashion designing, is interested to setting up businesses here. "Italy is known for fashion. Indian designs are growing very fast. It will be interesting to see how two countries can match. We are working hard on this," she said.
She said in order to bolster trade ties between the two countries, Italy is also organising a three-day 'Expo Riva Schuh Fair' here from June 5.
The exhibition will offer high-end products which include bags, belts, footwears and leather accessories. "Its a good meeting point of local needs and Italian products," she said.
However, the third-largest economy in Europe, will wait for the economic situation to recover in its region, before making investments here.
The Italian companies, mainly the SMEs are facing tough situation due to slowdown. "We have to wait as situation in Italy is very tough but the interest in this country (India) is very high," Giovancarlo added.
The bilateral between India and Italy stood at $8.8 billion during 2010-11.
Italian Trade Commissioner Erica Di Giovancarlo said businessmen of both the countries can collaborate in sectors like automobiles, fashion and textiles through joint ventures.
"This decision (allowing 100 per cent FDI in single- -brand) of the government is a revolution in this market. I am sure it will catch interest of lot of companies...," Giovancarlo told PTI.
The decision has paved the way for global Italian chains like Armani, Gucci and Prada to have full ownership of their India operations.
Italy, a world leader in fashion designing, is interested to setting up businesses here. "Italy is known for fashion. Indian designs are growing very fast. It will be interesting to see how two countries can match. We are working hard on this," she said.
She said in order to bolster trade ties between the two countries, Italy is also organising a three-day 'Expo Riva Schuh Fair' here from June 5.
The exhibition will offer high-end products which include bags, belts, footwears and leather accessories. "Its a good meeting point of local needs and Italian products," she said.
However, the third-largest economy in Europe, will wait for the economic situation to recover in its region, before making investments here.
The Italian companies, mainly the SMEs are facing tough situation due to slowdown. "We have to wait as situation in Italy is very tough but the interest in this country (India) is very high," Giovancarlo added.
The bilateral between India and Italy stood at $8.8 billion during 2010-11.
Rupee falls to record low, spurs RBI to act
MUMBAI: The rupee hit a
record low against the dollar for a second session in a row on Thursday
as global risk assets remained largely under pressure, leading the
Reserve Bank of India (RBI) to intervene again, according to traders.
Though global risk assets avoided the steep falls seen in the previous session, the mood remained grim given the political uncertainty in Greece and the challenges at home.
How aggressively the RBI defends the currency will be key in the near-term.
On Wednesday, the central bank had intervened in the morning but was then seen largely in the sidelines as the rupee broke below the previous record low hit in December, but that changed on Thursday after the currency again hit an all-time low.
"India has already had one failed attempt to prevent record highs on USD/INR and will need to try harder to avoid a test of 55.00," Westpac Bank said in a note.
The rupee slumped to a new life low of 54.60 to the dollar, surpassing the previous session low of 54.52. The RBI stepped in to prevent a wider rout, multiple dealers said.
The cross settled at 54.48/49, in range with Wednesday's close of 54.49/50, as per State Bank of India data.
Dealers said liquidity was thin in the forex market with bid-ask quotes often wide.
Local stocks ended mildly positive with the BSE Sensex up 0.25 percent, but that was a fraction of earlier stronger gains.
The RBI has already taken steps like asking banks to sell half of the foreign currencies in their accounts, as well as raising the interest ceiling that local banks can offer to overseas Indians for their forex accounts.
Possible next steps by RBI may be opening a dollar tap directly for state-run oil companies.
The one-month offshore non-deliverable forward contracts were at 54.83.
In the currency futures market, the most-traded near-month dollar-rupee contracts on the National Stock Exchange, the MCX-SX and the United Stock Exchange all ended around 54.59 on a total volume of $4.4 billion.
Though global risk assets avoided the steep falls seen in the previous session, the mood remained grim given the political uncertainty in Greece and the challenges at home.
How aggressively the RBI defends the currency will be key in the near-term.
On Wednesday, the central bank had intervened in the morning but was then seen largely in the sidelines as the rupee broke below the previous record low hit in December, but that changed on Thursday after the currency again hit an all-time low.
"India has already had one failed attempt to prevent record highs on USD/INR and will need to try harder to avoid a test of 55.00," Westpac Bank said in a note.
The rupee slumped to a new life low of 54.60 to the dollar, surpassing the previous session low of 54.52. The RBI stepped in to prevent a wider rout, multiple dealers said.
The cross settled at 54.48/49, in range with Wednesday's close of 54.49/50, as per State Bank of India data.
Dealers said liquidity was thin in the forex market with bid-ask quotes often wide.
Local stocks ended mildly positive with the BSE Sensex up 0.25 percent, but that was a fraction of earlier stronger gains.
The RBI has already taken steps like asking banks to sell half of the foreign currencies in their accounts, as well as raising the interest ceiling that local banks can offer to overseas Indians for their forex accounts.
Possible next steps by RBI may be opening a dollar tap directly for state-run oil companies.
The one-month offshore non-deliverable forward contracts were at 54.83.
In the currency futures market, the most-traded near-month dollar-rupee contracts on the National Stock Exchange, the MCX-SX and the United Stock Exchange all ended around 54.59 on a total volume of $4.4 billion.
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