New Delhi : Fast Retailing Group Chairman Tadashi Yanai met Prime Minister Narendra Modi, Commerce and Industry Minister Nirmala Sitharaman and Textiles Minister Santosh Kumar Gangwar expressing intention to source garments from India by the Japanese firm that runs UNIQLO chain of casual clothing.
A statement from the Prime Minister’s office said that the Japanese garment company is aiming to source garments from India.
“The Japanese retailer is keen to enter the Indian market and they would begin with tying up with Indian exporters for sourcing readymade apparel from India,” a senior official present in one of the meetings told Cogencis.
Single-brand retailers are allowed to set shop in India but are required to source 30% of their goods from the domestic small and medium enterprises.
Modi welcomed Yanai’s interest in developing UNIQLO’s business in India, and highlighted the advantages that India enjoys in the garments sector, including availability of cotton, skilled manpower, robust infrastructure, a big domestic market and good ports for exports.
The Japanese fashion retailer has been linked with Arvind to for its entry in India. At present India allows 100 per cent FDI in single brand retail and up to 51 per cent in multi-brand segment.
As of February this year, UNIQLO has a total of 1,383 stores, including in its home Japan and overseas markets such as China, Hong Kong, Taiwan, Korea, UK, US, France and Russia.