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Cig major Philip Morris jolted by India's proposal to ban foreign tobacco

Philip Morris entered India in late 1960s by acquiring majority stake in Godfrey Phillips India Ltd

Photo: Shutterstock
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<b> Photo: Shutterstock <b>

Reuters
Philip Morris International is fighting to keep a toehold in India's $11 billion tobacco market, as the government considers further tightening foreign investment rules in the sector, according to documents seen by Reuters.

In previously unreported letters from Philip Morris to the trade minister and an influential government think-tank, the U.S.-based company said the "discriminatory" and "protectionist" proposals would represent a blow to its plans to launch new products and make further investments in India.

The two letters dated May and October last year followed local media reports of a possible change in government policy. While the warnings may be part of