Lok Sabha Question No. 2064 (UNSTARRED), answered on 2016-11-28
Subject: Foreign Direct Investment
Ministry: COMMERCE AND INDUSTRY
Asked by: PARVATAGOUDA CHANDANAGOUDA GADDIGOUDAR, BHARAT SINGH, E. T. MOHAMMED BASHEER, RAKSHA NIKHIL KHADSE, ASADUDDIN OWAISI, RAMCHARAN BOHARA, MANSHANKAR NINAMA, MANSUKHBHAI DHANJIBHAI VASAVA, BALKA SUMAN, V. SATHYABAMA, ADHIR RANJAN CHOWDHURY, PRATAPRAO GANPATRAO JADHAV, SHIVKUMAR CHANABASAPPA UDASI, S.P. MUDDAHANUMEGOWDA

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT OF INDUSTRIAL POLICY & PROMOTION

## LOK SABHA

UNSTARRED QUESTION NO. 2064.

TO BE ANSWERED ON MONDAY, THE 28 TH   NOVEMBER,  2016.

## FOREIGN DIRECT INVESTMENT

## 2064.  SHRI P.C. GADDIGOUDAR:

SHRI BHARAT SINGH:

SHRI E.T. MOHAMMED BASHEER:

SHRIMATI RAKSHATAI KHADSE:

SHRI ASADUDDIN OWAISI:

SHRI RAM CHARAN BOHRA:

SHRI MANSHANKAR NINAMA:

SHRI MANSUKHBHAI DHANJIBHAI VASAVA:

SHRI SUMAN BALKA:

SHRIMATI V. SATHYA BAMA:

SHRI ADHIR RANJAN CHOWDHURY:

SHRI PRATAPRAO JADHAV:

SHRI SHIVKUMAR UDASI:

SHRI S.P. MUDDAHANUME GOWDA:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state:

## वाणिज् यवव द्यग ं ्री

- (a) the details of the Foreign Direct Investment (FDI) made in the country including under 'Make  in  India  Programme'  during  each  of  the  last  three  years  and  the  current  year, sector-wise;
- (b) whether India is far behind in attracting FDI in comparison to China, if so, the reasons therefor;
- (c) whether the decision to permit  100 per cent FDI has adversely affected the domestic small and medium range industries, if so, the details thereof along with the corrective steps taken by the Government in this regard; and
- (d) whether the  Government proposes to  review  the  FDI  policy  to  ease  FDI  rules  for  15 sectors  including  retail,  defence,  civil    aviation  and  media,  if  so,  the  details  thereof, sector-wise?

## ANSWER

वाणिज् यवव द्यग ााज् यं ्रीस् वतं ््रभााा(स्रींतंरीिरंमलााीरीतंाांि( THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF COMMERCE & INDUSTRY (SHRIMATI NIRMALA SITHARAMAN)

- (a): The sector wise information on Foreign Direct Investment (FDI) is available only for FDI equity inflows and is given at Annexure .
- (b): No data regarding FDI received by other countries is maintained by the Government. However, certain  international  bodies/  agencies  have  published  such  comparison.  As per the UNCTAD World Investment Report (WIR) 2016, India has been reported among the  top  10  host  economies.  The  said  report  has  ranked  India  at  10 th position  in comparison  to  China  which  has  been  placed  at  3 rd position.  As  per  FDI  intelligence Report, 2016, a report on global greenfield investment, in 2015, greenfield FDI into India is  estimated at  US$63 bn compared to United States  US$59.6 bn and China at US$ 56.6  bn.  FDI  inflows  depend  on  a  host  of  factors  such  as  FDI  policy,  availability  of natural resource, market size, infrastructure, political and general investment climate as well as macro-economic stability and investment decision of foreign investors.
- (c): No such assessment has been made by the Government.
- (d): The Government reviews FDI policy on an ongoing basis and significant changes are made  in  the  FDI  policy  on  different  sectors,  from  time  to  time,  to  ensure  that  India remains increasingly attractive and investor-friendly investment destination. With a view to liberalise and simplify the FDI policy, so as to provide ease of doing business in the country leading to larger FDI inflows, the Government vide Press Note 5 (2016) dated 24.6.2016,  brought  in  FDI  related  reforms  and  liberalisation  in  a  number  of  major sectors of the economy.

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## ANNEXURE  REFERRED  TO  IN  REPLY  TO    PART  (a)  OF  LOK  SABHA UNSTARRED QUESTION NO. 2064 FOR ANSWER ON 28 TH  NOVEMBER, 2016.

## SECTOR-WISE FDI EQUITY INFLOWS FDI EQUITY INFLOWS FROM APRIL 2013 TO SEPTEMBER 2016

| Sl No   | Sector                                             | 2013-14 Apr-Mar    | 2014-15 Apr-Mar    | 2015-16 Apr-Mar    | 2016-17 Apr-Sep    | Total              |
|---------|----------------------------------------------------|--------------------|--------------------|--------------------|--------------------|--------------------|
|         |                                                    | FDI in US$ million | FDI in US$ million | FDI in US$ million | FDI in US$ million | FDI in US$ million |
| 1       | METALLURGICAL INDUSTRIES                           | 567.63             | 359.34             | 456.31             | 447.29             | 1,830.56           |
| 2       | MINING                                             | 12.73              | 684.39             | 520.67             | 2.70               | 1,220.49           |
| 3       | POWER                                              | 1,066.08           | 707.04             | 868.80             | 558.58             | 3,200.51           |
| 4       | NON-CONVENTIONAL ENERGY                            | 414.25             | 615.95             | 776.51             | 376.02             | 2,182.73           |
| 5       | COAL PRODUCTION                                    | 2.96               | 0.00               | 0.00               | 0.00               | 2.96               |
| 6       | PETROLEUM & NATURAL GAS                            | 112.23             | 1,079.02           | 103.02             | 24.87              | 1,319.14           |
| 7       | BOILERS AND STEAM GENERATING PLANTS                | 0.17               | 1.33               | 77.91              | 52.84              | 132.26             |
| 8       | PRIME MOVER (OTHER THAN ELECTRICAL GENERATORS)     | 212.78             | 230.70             | 159.13             | 35.11              | 637.72             |
| 9       | ELECTRICAL EQUIPMENTS                              | 134.31             | 574.83             | 444.88             | 1,428.19           | 2,582.22           |
| 10      | COMPUTER SOFTWARE & HARDWARE                       | 1,126.27           | 2,296.04           | 5,904.36           | 1,032.25           | 10,358.92          |
| 11      | ELECTRONICS                                        | 132.58             | 96.84              | 208.39             | 32.28              | 470.09             |
| 12      | TELECOMMUNICATIONS                                 | 1,306.95           | 2,894.94           | 1,324.40           | 2,786.73           | 8,313.03           |
| 13      | INFORMATION & BROADCASTING (INCLUDING PRINT MEDIA) | 428.52             | 254.96             | 1,009.34           | 651.99             | 2,344.81           |
| 14      | AUTOMOBILE INDUSTRY                                | 1,517.28           | 2,725.64           | 2,526.82           | 728.65             | 7,498.39           |
| 15      | AIR TRANSPORT (INCLUDING AIR FREIGHT)              | 45.95              | 74.56              | 361.25             | 48.15              | 529.91             |
| 16      | SEA TRANSPORT                                      | 20.49              | 333.22             | 429.30             | 309.72             | 1,092.72           |
| 17      | PORTS                                              | 0.31               | 1.90               | 0.00               | 0.00               | 2.22               |
| 18      | RAILWAY RELATED COMPONENTS                         | 236.93             | 129.73             | 73.99              | 13.05              | 453.70             |
| 19      | INDUSTRIAL MACHINERY                               | 477.38             | 716.79             | 568.26             | 169.29             | 1,931.72           |
| 20      | MACHINE TOOLS                                      | 64.52              | 24.06              | 126.38             | 19.46              | 234.43             |
| 21      | AGRICULTURAL MACHINERY                             | 48.78              | 72.35              | 16.44              | 6.67               | 144.24             |
| 22      | EARTH-MOVING MACHINERY                             | 34.44              | 30.11              | 97.66              | 26.94              | 189.16             |
| 23      | MISCELLANEOUS MECHANICAL & ENGINEERING INDUSTRIES  | 288.13             | 186.69             | 274.57             | 162.59             | 911.98             |
| 24      | COMMERCIAL, OFFICE & HOUSEHOLD EQUIPMENTS          | 21.13              | 33.39              | 36.68              | 6.27               | 97.47              |
| 25      | MEDICAL AND SURGICAL APPLIANCES                    | 173.48             | 145.93             | 173.26             | 355.57             | 848.24             |
| 26      | INDUSTRIAL INSTRUMENTS                             | 0.53               | 0.85               | 7.42               | 0.30               | 9.10               |
| 27      | SCIENTIFIC INSTRUMENTS                             | 45.08              | 32.34              | 6.36               | 73.74              | 157.52             |
| 28      | FERTILIZERS                                        | 20.65              | 225.32             | 20.93              | 0.27               | 267.17             |
| 29      | CHEMICALS (OTHER THAN FERTILIZERS)                 | 786.76             | 762.76             | 1,469.95           | 532.48             | 3,551.95           |
| 30      | PHOTOGRAPHIC RAW FILM AND PAPER                    | 0.00               | 0.75               | 0.00               | 0.00               | 0.75               |
| 31      | DYE-STUFFS                                         | 0.00               | 54.89              | 3.32               | 8.73               | 66.93              |
| 32      | DRUGS & PHARMACEUTICALS                            | 1,279.34           | 1,497.74           | 754.26             | 640.71             | 4,172.04           |
| 33      | TEXTILES (INCLUDING DYED,PRINTED)                  | 198.86             | 197.42             | 230.13             | 269.62             | 896.03             |
| 34      | PAPER AND PULP (INCLUDING PAPER PRODUCTS)          | 26.86              | 116.21             | 85.21              | 151.49             | 379.76             |

| Sl No   | Sector                                                                                                              | 2013-14 Apr-Mar    | 2014-15 Apr-Mar    | 2015-16 Apr-Mar    | 2016-17 Apr-Sep    | Total              |
|---------|---------------------------------------------------------------------------------------------------------------------|--------------------|--------------------|--------------------|--------------------|--------------------|
|         |                                                                                                                     | FDI in US$ million | FDI in US$ million | FDI in US$ million | FDI in US$ million | FDI in US$ million |
| 35      | SUGAR                                                                                                               | 3.08               | 27.77              | 105.85             | 0.60               | 137.30             |
| 36      | FERMENTATION INDUSTRIES                                                                                             | 814.58             | 225.38             | 202.36             | 86.92              | 1,329.25           |
| 37      | FOOD PROCESSING INDUSTRIES                                                                                          | 3,982.89           | 515.86             | 505.88             | 500.77             | 5,505.40           |
| 38      | VEGETABLE OILS AND VANASPATI                                                                                        | 21.55              | 148.34             | 34.22              | 32.93              | 237.05             |
| 39      | SOAPS, COSMETICS & TOILET PREPARATIONS                                                                              | 108.44             | 177.22             | 193.26             | 53.82              | 532.74             |
| 40      | RUBBER GOODS                                                                                                        | 370.54             | 284.51             | 296.15             | 127.05             | 1,078.25           |
| 41      | LEATHER,LEATHER GOODS AND PICKERS                                                                                   | 6.14               | 34.21              | 17.13              | 1.94               | 59.42              |
| 42      | GLUE AND GELATIN                                                                                                    | 0.97               | 21.44              | 0.82               | 85.92              | 109.15             |
| 43      | GLASS                                                                                                               | 43.09              | 41.82              | 25.78              | 39.07              | 149.76             |
| 44      | CERAMICS                                                                                                            | 150.09             | 35.29              | 51.21              | 11.71              | 248.30             |
| 45      | CEMENT AND GYPSUM PRODUCTS                                                                                          | 254.01             | 208.99             | 19.69              | 8.79               | 491.48             |
| 46      | TIMBER PRODUCTS                                                                                                     | 6.16               | 8.97               | 53.17              | 1.21               | 69.51              |
| 47      | DEFENCE INDUSTRIES                                                                                                  | 0.82               | 0.08               | 0.10               | 0.00               | 1.00               |
| 48      | CONSULTANCY SERVICES                                                                                                | 285.85             | 458.13             | 517.47             | 155.99             | 1,417.44           |
| 49      | SERVICES SECTOR (Fin.,Banking,Insurance,Non Fin/Business,Outsourcing,R&D,Courier,Tech. Testing and Analysis, Other) | 2,225.10           | 4,443.26           | 6,889.46           | 5,287.96           | 18,845.79          |
| 50      | HOSPITAL & DIAGNOSTIC CENTRES                                                                                       | 684.58             | 567.85             | 742.35             | 506.08             | 2,500.87           |
| 51      | EDUCATION                                                                                                           | 262.09             | 78.86              | 230.78             | 62.15              | 633.87             |
| 52      | HOTEL & TOURISM                                                                                                     | 486.38             | 777.01             | 1,332.69           | 522.64             | 3,118.72           |
| 53      | TRADING                                                                                                             | 1,343.39           | 2,727.96           | 3,845.32           | 1,481.95           | 9,398.62           |
| 54      | RETAIL TRADING                                                                                                      | 11.30              | 168.72             | 262.24             | 371.51             | 813.76             |
| 55      | AGRICULTURE SERVICES                                                                                                | 91.01              | 59.95              | 84.65              | 14.86              | 250.48             |
| 56      | DIAMOND,GOLD ORNAMENTS                                                                                              | 42.56              | 280.18             | 58.54              | 79.30              | 460.58             |
| 57      | TEA AND COFFEE (PROCESSING & WAREHOUSING COFFEE & RUBBER)                                                           | 5.86               | 1.43               | 1.12               | 1.12               | 9.53               |
| 58      | PRINTING OF BOOKS (INCLUDING LITHO PRINTING INDUSTRY)                                                               | 113.78             | 72.58              | 122.81             | 20.38              | 329.55             |
| 59      | COIR                                                                                                                | 0.54               | 1.36               | 0.00               | 0.00               | 1.91               |
| 60      | CONSTRUCTION (INFRASTRUCTURE) ACTIVITIES                                                                            | 485.37             | 870.25             | 4,510.71           | 930.22             | 6,796.56           |
| 61      | CONSTRUCTION DEVELOPMENT: Townships, housing, built-up infrastructure and construction- development projects        | 1,226.05           | 769.14             | 112.55             | 61.85              | 2,169.58           |
| 62      | MISCELLANEOUS INDUSTRIES                                                                                            | 468.74             | 765.88             | 668.77             | 225.04             | 2,128.43           |
|         | Grand Total                                                                                                         | 24,299.33          | 30,930.50          | 40,000.98          | 21,624.34          | 116,855.15         |

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