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Foreign Direct Investment FDI

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The new Drone Rules of 2021 & the Legal Framework governing Drones & Unmanned Aerial Vehicles (UAV’s) in India

IntroductionTechnological advancements and scientific progression do mark a catapulted growth for a country. Use of drones and other similar Unmanned aircraft systems is landmark for Indian scientific growth and is exigent for the development of various sectors of the economy. Drones, as pe the Drone Rules 2021, refers to any Unmanned Aircraft System (UAS). The definition of the same does entail a widespread connotation and must be inferred in a manner, that encourages operators and pilots to use the technology liberally, while, in the meantime must protect and preserve the integrity and security of India. Prior to the enactment of...

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Setting-Up Business in India by Foreign Nationals

India has become a hub for foreign nationals to set up their business. It is attracting a large amount of Foreign Direct investment every year and opportunities & large market in India are encouraging foreign nationals to set up their business in India. In this Article, the procedure to set up business in India is detailed. Entry Strategies into IndiaThere are mainly two ways by which a foreign national can set up business in India- by Setting up of Liaison Office in India or by Incorporation of Private Limited Company in India.The first thing to look into before setting up business...

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Legal Challenges faced by Foreign Nationals in Setting-Up their Corporations in India

As the world's fastest growing economy India holds the potential for corporations across the world. But before entering into the Indian market one needs to know about business culture in India and challenges that one could face here while setting-up their business in India. So, in this article we would be disclosing the legal challenges faced by Foreign Nationals while setting-up their business in India. Legal Challenges faced by Foreign Nationals in Setting-Up their Corporations in IndiaListed below are the key challenges faced by Foreign Nationals in Setting-Up their Corporations in India-Time-Consuming Registration Process- The first step to enter into the...

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Applicable Laws & Legal Compliances for E-Pharmacies in India

IntroductionIn the era of online shopping of garments, groceries, equipment, where within a click of a button the need reaches one's doorstep why medicines are given a back seat? E-pharmacies are virtual platforms wherein the order of medicines is placed on the E-pharmacy website/app using the web and therefore the drugs are delivered to the customer’s chosen address via mail or dedicated delivery companies. This has made life easier as a customer needn't visit a brick-and-mortar pharmacy to shop for essential medicines. Self-dependent, Internet-only outlets, electronic alternatives of “brick-and-mortar” hospitals, and platforms serving pharmacy companies are included under E-pharmacy companies....

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Foreign Direct Investments (FDI) Routes in India

There are two routes in India for Foreign Direct Investment namely, the Automatic Route and the Government Route. Foreign citizens or entities can make investments in debentures or shares of an Indian company, through either the Automatic Route or the Government Route of Foreign Direct Investment (FDI). Who can Invest in India? According to Foreign Direct Investment (FDI) Policy, the Government of India allows non-resident entities to invest in India except in sectors which are prohibited.Non-Residents of India (NRIs) in Bhutan and Nepal and citizens of Nepal and Bhutan are permitted to invest on repatriation basis in the capital of Indian companiesA...

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Concept of Transfer Pricing and Foreign Direct Investment (FDI) in India

Transfer Pricing is closely related to Foreign Direct Investment (FDI) as its definition suggests- Transfer Pricing refers to the price that is paid by an entity for transferring of goods and services from one entity to its other entity/branch/office situated in another country. Now the question is what are the transactions that are subjected to the Transfer Pricing?So, to answer this question the transactions like sale of final goods, purchase of raw material to produce final goods, buying of fixed assets, buying or selling of machineries, support services rendered, IT enabled services, payment for technical services rendered, software development services, Management...

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Setting-Up of Liaison Office by Foreign Corporations in India

Setting up a Liaison office in India is a preferable option for foreign entities planning to set up their business in India as it would help the foreign entity to look out for possible business opportunities and to develop a strategy to promote business activities of the parent company outside of India. Concerned Authority for Approval of ApplicationThe Foreign Exchange Management Act,1999 (FEMA) administered by Reserve Bank of India (RBI) regulates the application process for establishment of Liaison offices in India and is also responsible for approval of the same. Applications from foreign entities that are non-profit organisations, non- government organisations...

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Benefits of Executing an Outsourcing Agreement for Foreign Corporations

Nowadays, businesses are persistently adopting Offshore Outsourcing opportunities to minimize the costs involved and intensify the productivity with an ultimate motive of stepping up the shareholder value. In a nutshell, “Offshore outsourcing” is basically the practice wherein Foreign Companies contract out non-core and routine services to third party providers based in a country different from the one where the client company (i.e., the 'outsourcer') is based, with an aim to take advantage of their experience, expertise and efficiency. There exist abundant benefits that the Foreign Companies can avail after outsourcing its services overseas but before anything, both the participating companies...

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Legal Advice for Foreign Corporations on Reducing their Hassles while Onboarding Human Resources in India

Unlike domestic firms that operate in their home countries, Multinational Corporations or MNCs that operate around the world face several cultural, legal, logistical, and strategic challenges in terms of staffing and other Human Resource Management (HRM) functions in overseas locations. While doing international business in multiple jurisdictions is exciting, however, there are some legal issues one should be aware of. Running an international business in foreign countries means complying with all applicable domestic laws when oner business is about to prosper. The best legal advice is to comply with and adhere to the local domestic laws of the host country....

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Laws and Legal Compliances applicable upon Foreign Companies for Selling Baby Care Products in India: Lawyers Advice

India is a market for some of the most extensively known global brands as well as popular domestic brands in baby products segment. While a leading player like Nestle has a number of brands under its belt like Cerelac, Nan Pro1 and Pro2, Lactogen, Nestum, there is growing commitment from other companies to introduce more products in this category. Laws Governing Baby Products in IndiaPolicies related to Baby Care Market in India include Infant Milk Substitutes Act (1992 and 2003), Infant Milk Substitutes, Feeding Bottles and Infant Foods (Regulation of Production, Supply and Distribution) Act, 1992 and 2003 and Bureau of...

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