Indian Government Sets Rules for Foreign Investment in Industrial Parks

The government on Wednesday set out conditions for automatic approval
of 100 percent foreign direct investments in industrial parks.

Such parks would have to house a minimum of 10 industrial units and
at least 66 percent of their developed area would have to be allocated
for industrial activity, a trade ministry note said. No single unit
could occupy more than half of the allocable area, the note added.

If these conditions were met, investors would not need to conform
to guidelines on minimum investment and minimum area developed, which
are applicable for housing, commercial and regional infrastructure projects,
it said.

India has allowed 100 percent foreign investment in industrial parks
in 2000 and in 2005 granted similar permission for other construction
projects, but with certain conditions.

Photo: Howrah Bridge Kolkata Photography 03 (cropped) by Arghamallick5151, licensed under CC BY-SA 4.0, via Wikimedia Commons.