Govt eases FDI rules for inventory-based e-commerce model to boost exports
The Indian government eased Foreign Direct Investment (FDI) rules for inventory-based e-commerce, allowing entities to operate exclusively for exporting domestically manufactured goods. This change aims to boost manufacturing's share in GDP to 25% by 2035 and increase merchandise exports to $1 trillion by 2030. The new provision exempts export-focused inventory-based models from existing FDI restrictions, effective immediately upon notification under the Foreign Exchange Management Act.