Foreign direct investment (FDI) proposals are being cleared and as of today only 29 applications are pending, a top government official said on November 25. Department for Promotion of Industry and Internal Trade (DPIIT) Secretary Anurag Jain also said those FDI proposals which deserve proper consideration under Press Note 3 (PN3) will be facilitated.
Under that press note, the government had made its prior approval mandatory for foreign investments from countries that share land border with India to curb opportunistic takeovers of domestic firms following the COVID-19 pandemic.
Countries which share land borders with India are China, Bangladesh, Pakistan, Bhutan, Nepal, Myanmar and Afghanistan. As per that decision, FDI proposals from these countries need government approval for investments in India in any sector.
''We have had a huge clearance in one lot...Non-PN3 only 29 proposals are pending for approval, many of less than three months, '' he told reporters here. Six companies which have got approval under the production linked incentive (PLI) scheme for white goods have raised the issue of FDI approval under Press Note 3. On this, Jain said the department will follow it up and ensure that those applications are taken up on priority basis and ''see what best can be done''.
''All of you are aware of why Press Note 3 had to come...It was a national emergency, therefore we have to come out (with that). We are not doing away anything with that because actually that has done good for the industry at large. But those cases which deserve proper consideration will be facilitated,'' he added.
He was speaking at DPIIT-FICCI Investor Roundtable on PLI for White Goods. Talking about single window clearance, he said so far 10 states and central government departments have been integrated. By December 31, the number of these states would be increased to 14 or 16, he said, adding ''we are targeting that all 32 departments be integrated before March.''
On the semiconductor shortage issue, the secretary said ''soon you will hear something''.
(With inputs from ANI)
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