Japan's UNIQLO looks to enter business in India

Japanese clothing chain UNIQLO is looking to source garments from India and may open its stores soon in the country.

UNIQLO chairman Tadashi Yanai called on Prime Minister Narendra Modi Wednesday and said his company is exploring sourcing garments from India.

The prime minister welcomed UNIQLO's interest in developing business in India.

The prime minister highlighted the benefits the country's garment sector offers, including availability of cotton, skilled manpower, robust infrastructure, a big domestic market and good ports for exports.

At present, India allows 100 percent FDI in single brand retail and up to 51 percent in multi-brand segment.

Single-brand retailers are also allowed to set up shop in the country but are required to source 30 percent of their goods from the domestic small and medium enterprises.

Yanai also met Commerce and Industry Minister Nirmala Sitharaman and Textiles Minister Santosh Kumar Gangwar, expressing his company's intention to source garments from India.