Congress-led United Progressive Alliance (UPA) government won vote on FDI in multi-brand retail in the Rajya Sabha on Friday. The Opposition's motion seeking withdrawal of the decision on FDI was beaten after the BSP and SP members voted in favour of the government.
A total of 123 MPs voted in favour of the government while 109 MPs voted against it. One MP was absent.
Reacting to the vote, Anshuman Magazine, chairman and MD, CBRE South Asia said, 'This is a positive move by the Government which will be a game-changer for the real estate industry in India. It will encourage international retailers to look at India as a destination to set up their operations resulting in creating opportunities in supply chain management, warehousing and better quality products at competitive prices.
Eventually it is expected that most of these foreign retailers will source products locally to remain competitive which will benefit the manufacturing sector. The expansion of the retail industry will create significant employment. However all of this is not going to happen overnight.
The results on the ground will depend on the global economic situation, pace of increase in purchasing power in India besides time taken by retailers to set up their operations.'