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Rajasthan became the second state to scrap the FDI decision in multiple-brand retail taken by the former Congress government. Delhi state government of AAP has already scrapped the FDI in multiple retail, immediately after it took over the reins.
The Rajasthan Government has written to Commerce and Industry Minister Anand Sharma in this matter.
Anand Sharma, immediately after the Kejriwal Govt. has decided to scrap FDI has stated that the state government can not alter a decision taken earlier allowing FDI. Now that two states have scrapped FDI, it will have to be seen what decision the UPA government takes.
Though majority of the parties had opposed 51% FDI in multiple brand retail, the UPA government managed to get it passed in the Parliament. Now two state governments viz. Delhi ruled by AAP and Rajasthan ruled by BJP have scrapped the decision of the former congress governments. It is sure that more states may follow suit as it is well known that the retail merchants are strongly opposed to FDI as it will adversely affect about 4 crore of families.
It is better for the Central government to allow the state governments to take their own decision.