What is the Foreign Direct Investment Policy in India?

India has more Foreign Direct Investment opportunities, and this is evident from India’s rank in the world FDI table. If you study the table, you will find that this country has made remarkable progress in a very short span of time. And it was not possible to achieve growth without opening the doors to foreign investors and making necessary changes in policy.

Let’s study the world FDI table

In 2013, the country was in the 15th position on the world FDI table. It was receiving lesser foreign investment than needed. Here you can argue that the foreign policy at that time was not supportive of foreign investment. And you could be correct to some extent as the next year, India improved its position to 9th. 

Policy Changes 2014

The year 2014 was significant for the foreign investment policy in India as the Government of India made major changes in the policy. It was clear that the administration was determined to bring foreign investment into the country, and the government was even ready to make fundamental changes in policy to increase the inflow of foreign funds.

For example, the upper limit of FDI in the insurance sector was increased from 26% to 49% to attract foreign investors. Also, the government launched the Make in India initiative under which the government liberalized the FDI policy for 25 sectors. The results bore fruits, and the country’s FDI and ranking improved further. 

In 2015, FDI inflows increased by 48% and this growth is attributed to the new foreign investment policy, which allowed more and more investors to consider India as an investment destination. The “Make in India” initiative started by the government played a huge role in making India the top destination for foreign investors. 

India Brand Equity Foundation (IBEF)

Before we discuss more changes, here is what you should know about India Brand Equity Foundation (IBEF) Trust. It is a government body or organization controlled by the government of India. IBEF was formed with the sole aim of educating foreign investors about the investment opportunities available in India. And this organization played a crucial role in increasing the flow of foreign investment.

Continuing with their efforts to further liberalize the FDI policy in India, the government further opened the defence manufacturing for foreign investment from 49% to 74%. At the same time, the government restricted opportunistic takeovers of Indian businesses from neighbouring countries by amending the policy. And it proved a big step towards protecting domestic businesses from unwanted acquisitions.

In times of pandemic, the government made a major policy change to protect domestic businesses from foreign investors. According to the new policy, foreign investors from the countries sharing their land borders with India would have to get approval from the Ministry of Commerce and Industry for investment. The consolidated policy was released in October 2020.

How Is India Doing On FDI?

India has strengthened its Foreign Direct Investment to an excellent level. The country is already number one, and it now wants to open more sectors for foreign investors. The government is determined to bring foreign investment to achieve its growth targets.

The country is doing well on the FDI front due to the policy changes that made it investor friendly. In addition, IBEF helped the country reach out to targeted investors looking for investment opportunities. IBEF has a crucial role to play as a one-stop platform for all information about foreign policy. 

The world is recognizing the Foreign Direct Investment opportunities available in the country. The policy changes made in 2014 and 2020 put the country in the top position of the world FDI table.

Which Are The 10 Best Tea Products In India?

India is the second largest tea producer in the world after China, but the country has no absence of tea brands and flavors. The range of tea products in India is quite wide, and it is difficult to list all these products in a list. But here you will find the top ten tea brands in the country.

1. Tata Tea

It is a household name in the country and world. Tata Tea offers a wide variety of tea products are ranging from basic to masala and loose leaf to kadak chai blends. This brand offers products that require little to no additional flavors. People love its taste and it great blend of elder tea leaves.

2. Wagh Bakri

Second, on the list of tea export companies in India, Wagh Bakri is famous for its wide range of refreshing and invigorating brews includes original tea, masala tea, green tea, and much more. Indian consumers love its premium masala chai leaves, which made at home. In addition, there are three types of premixes available in spice, ginger, and cardamom flavors.

3. Organic India

It is a homegrown tea brand known for delivering green and herbal teas in the country. Also, the brand produces Masala Chai is a fine blend of various spices with medicinal benefits. It is a popular brand as it has flavors for every need.

4. Society Tea

One of the most popular tea manufacturers in India, Society Tea has carved a niche market for its products in the highly competitive market. It offers a masala chai that contains whole spices to enhance the flavor. Society Tea is one of the few brands that tea lovers never want to miss.

5. Vahdam

The brand has made a name for itself by providing a wide range of flavors to customers. But it is better known for its masala chai which will remind you. 

6. Chado

This tea exporter is known for creating delicious tea blends including white, oolong, black, and more. Consumers love its spiced chai concoction specially designed for tea lovers.

7. Dancing Leaf Tea

It is one of the few tea brands that offer spiced teas that provide both flavor and nutrition. People who drink tea for the taste and medicinal benefits choose this brand over others. Its market share has also increased in the last couple of years.

8. Jokai Fearless Tea

The 150-year-old Jokai Tea Company offers a fine blend of Assam tea and spices that improve its medicinal value. And it shouldn’t be surprising to know that this brand has more tea export countries as its clients, and it is growing with each passing day.

9. Teamonk Nilgiri White Tea

It is the first tea venture in the country to offer exclusive quality with natural flavors. Sourced from the historic plantations in Darjeeling, Nilgiris, and Assam, this brand promises a great taste in every sip. Those who value quality always prefer this brand.

10. Vedaka Premium Tea

This tea exporter belongs to Amazon India. Made from high-quality long leaves, this brand can elevate mood instantly. People love the strong dose of flavor this brand gives. It is one of the best premium teas available in the market.