Department of Industrial Policy and Promotion (DIPP) will consult with different central government ministries separately on the proposal to raise the foreign direct investment limit in different sectors.
It may be recalled that the Mayaram Committee recommended raising FDI limit in almost all sectors to 49 per cent through the automatic route.
The panel proposed raising the cap to 49 per cent under automatic route in sectors such as single-brand retail, existing pharmaceutical companies, power and commodity exchanges, state-run banks, tea plantation, print media, PSU petroleum refinery, asset reconstruction companies, stock exchanges, insurance, depositories and clearing corporations and satellite services.
In the civil aviation sector, the committee suggested 100 per cent FDI in non-scheduled air transport services under the automatic route as against the current 49 per cent.
After holding meeting with the individual ministries, the DIPP would discuss it with Finance Minister P. Chidambaram and Commerce and Industry Minister Anand Sharma, reports suggest.
The report would subsequently be placed for discussion in the inter-ministerial meeting called by Prime Minister Manmohan Singh on July 5 to discuss the issue of revision in FDI caps. A decision on a Cabinet note on the fresh caps will be taken after that, unconfirmed reports indicate.
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