FDI can supplement and complement the Indian industry and make it globally competitive, open up export markets and provide access to international quality goods and services. It can raise resources through technological up gradation, optimal utilization of human and natural resources, and backward and forward linkages.

There are promising fields like the food processing sector in the country. Foreign retail giants are willing to buy processed food from the country. Foreign direct investment (FDI) in retail space, specialized goods retailing like sports goods, electronics and stationery is also being contemplated. The government has to walk a tightrope to ensure a `level playing field' for everyone.

It is hoped that the Indian retail industry will integrate the unorganized retail market with the organized one. The relaxation of the FDI ceiling has opened the doors for India's largest FDI in the real estate sector. Groups showing interest in India include major Indian and international companies. Foreign players have been keenly watching the development. Opening up of the Indian economy provided them with new opportunities. The changed set up has instilled great confidence in them. Since the year1994, NRIs have gone on to invest a sizeable amount, of which a big chunk has found its way into the property market. The market got a lot of exposure and has shown some degree of maturity.