The numbers clearly indicate a significant progress in the development of mechanism to settle international trade in Indian rupees.
Elon Musk-led company Tesla to set up its wholly-owned showrooms in India says reports. Billionaire Elon Musk is reportedly in talks with the Centre on the rules and regulations to open its Electric Vehicle (EV) retail showrooms.
According to reports, the American manufacturer Elon will have to comply with Foreign Direct Investment (FDI) norms relating to single-brand retail, including local procurement norms, to sell directly in India.
Two global behemoths, Apple and Ikea already had a detailed discussion with the government long before the sourcing guidelines were relaxed for buying under single-brand retail. In August 2018, Ikea world's largest furniture retailer from Sweden had opened retail showrooms in India. However, Apple is yet to open any retail outlet in the country. Last year, Apple launched its online store in India but deferred the idea of opening the showroom due to the Covid-19 pandemic.
Firms with plans for foreign holding of more than 51 percent in single-brand retail are required to purchase 30 percent of the value of their product from India. The government modified FDI rules to enable foreign enterprises to operate in India.
Tesla has globally opened its physical retail outlets rather than going for a third-party dealer network. Plus, it also sells online.
The market share of electric vehicles in India is less than 1 percent due to a lack of infrastructure and high pricing. Tesla’s EV models will become almost twice as expensive if the government does not agree to cut import duty.
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