India’s Commerce Minister Anand Sharma has said that the government in the country will soon take a decision on the issue of Foreign Direct Investment in multi-brand retail.

He was speaking to the media after holding meeting with various ministers of the UK ministers. He indicated that the Indian government s aiming to arrive at a consensus with political parties as well as all stakeholders, such as farmers, SMEs and community groups.

"Most chief ministers support FDI in retail. There are particular reservations of the Left parties, who continue to have ideological blinkers. The principal opposition also has a partisan agenda, it changes sides when it suits them," Sharma said.

The move will allow global giants like Wal-Mart, Tesco and Carrefour to enter the Indian market.

Those who favor the deal argue that it will address the issue of supply bottle necks, develop supply chain infrastructure, reduce wastage of food and improve efficiency, besides generating employment. They also say that it will benefit farmers, who will be able to negotiate better deals with large firms and ultimately, customers, who will get commodities at a cheaper price.

Opponents argue that the allowing big international players will affect small retailers, which dot the country’s streets. They cite the examples of Thailand and Malaysia, which allowing FDI in retail has resulted in problems for small retailers.

The department of industrial policy and promotion of the India government had put forward a proposal to allow 51% FDI in multi-brand retail and 100% in single-brand retail in the country in November 2011. However, the government had to put off its plans due to stiff opposition from various sectors.