Five routes for foreign retail brands to enter India

India allows 100% foreign direct investment (FDI) in e-commerce marketplaces. However, Inventory-led or hybrid models of e-commerce are not permitted.

India’s retail as a policy is segregated into single-brand, wholesale, multi-brand, food-only FDI and franchisee where generally there is no overseas investment involved.

Single brand

India allows 100% overseas ownership for a unified license under the single brand route.


Retailing space where India allows 100% FDI but such ventures are only allowed to sell merchandizes to other retailers, hotels, restaurants, caterers, institutions and other businesses.


Allow 100% FDI in multi-brand retailing

Food-only retail

Allow 100% FDI in a retailing venture that sells only locally-packaged food items.


India through the franchisee route where the foreign brand owners get royalties and such ventures don’t involve any FDI from the brand owners.