Foreign supermarkets wanting to set up shop in India will have to source 30 percent of their produce from local, small industries, a government statement said on Monday, appearing to change the rule within days of announcing a supermarket policy.

The government on Thursday approved 51 percent foreign direct investment (FDI) in supermarkets, paving the way for firms such as Wal-Mart Stores Inc, Tesco and Carrefour to enter one of the world's largest untapped markets.

Last Friday, a government statement had said supermarkets could not be forced to source their wares from Indian industries as such a policy would not be compliant with guidelines from the World Trade Organisation (WTO).

Source: Reuters

• US tariff threats over forced labour 'unjustified', Commission says
• US Section 301 Forced Labor Investigation: New Trade Compliance Risks for Viet Nam Exporters
• US cites forced labor concerns as grounds for new tariffs
• Aquatic products face challenge of maintaining market share in US
• Viet Nam extends anti-dumping duties on some Thai sugar products to 2031