DIPP , which formulates and monitors industrial policy and investments, has asked the Chinese company to provide details of the concessions and incentives it wants for the project. “We have not got any response from them in this regard yet.Once they tell us their plans and ex pectations we can see how it can be taken forward,“ the official told ET. India allows 100% foreign direct investment (FDI) in townships through the automatic route.
The Haryana gov ernment has already assured Wanda group that it will make the required land available. Wanda group e is the world’s largest property devels oper with interest in culture and tourism, ecommerce and department stores as well. It reported annual income of $38 billion, or over . 25,000 crore, in 2014. It operates 123 ` Wanda Plazas, 78 hotels including 68 five-stars, 6,600 cinema screens and 99 department stores in China. In June this year, Wanda group had expressed its interest in building five industrial and theme parks besides shopping malls in India. The company has plans to invest $10 billion in the next four-five years for building 10 urban complexes in India.
This is several times the total FDI inflows from China from the start of this century . Between April 2000 and June 2015 India has drawn $1,161 million, or over `. 7,600 crore, FDI inflows from China, or just 0.45% of the total FDI equity that came into the country during this period.Prime Minister Narendra Modi during his visit to Beijing in May had invited investments from China.
India eased the FDI rules for the construction sector in December 2014, bringing down the minimum capital investment to $5 million and allowing foreign investments in with a minimum built area of 20,000 square metres, down from a previous 50,000 sqm limit.
This was done with a view to attract investments into areas like housing and hospitality.