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Royalties paid by Indian firms in line with emerging markets, shows data

Figures are based on percentage of a country's GDP

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However, they are significantly lower than what the MNCs earn from their subsidiaries in high-income countries in Europe and North America

Krishna Kant Mumbai

3 min read Last Updated : Sep 19 2020 | 6:05 AM IST

The balance of payments data suggests that royalty payments by Indian subsidiaries of multinationals (MNCs) to their parent for using their brand and technology are in line with their peers in other emerging markets.

However, they are significantly lower than what the MNCs earn from their subsidiaries in high-income countries in Europe and North America. The figures above are based on percentage of GDP.

In 2019, the royalty and technical fee payment by Indian subsidiaries of global MNCs such as Maruti Suzuki, Hindustan Unilever, Samsung India, Toyota Kirloskar and Honda Motors India was equivalent to 0.27 per cent of India’s

Topics : Royalty payments BALANCE OF PAYMENTS

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