Govt clears 23 FDI proposals worth Rs 565 cr, defers 13 others

The government has cleared 23 foreign direct investment proposals, which will bring Rs 564.80 crore (Rs 5.64 billion) into India, including Dubai-based Damas' plan for retail trading in jewellery and Danone's plans to re-enter food products space, after quitting Britannia earlier this year.

A proposal by Damas LLC to set up a joint venture with Gitanjali Lifestyles for retail trading of jewelleries will bring in FDI of Rs 180 crore (Rs 1.8 billion), while Danone's plans for food products business do not have any definite FDI content as company for this purpose is yet to be incorporated.

However, the government, on the basis of recommendation by the Foreign Investment Promotion Board, deferred 13 proposals which include Vijay Mallya-owned United Breweries plans for raising Rs 708 crore (Rs 7.08 billion) by issuing fully convertible equity warrants.

The proposals by G4s Corporate Services Ltd and Morgan Stanley were rejected by the government, an official release said on Tuesday.