Friday, April 21 2006 15:55 Hrs (IST) - World Time -

New York: Strongly favouring opening up of retail sector to FDI, Tata Group chairman Ratan Tata today (Apr 21, 2006) said any apprehension that multinational retailers will kill domestic ones was not true.

Asking Indian business leaders to overcome their fears of foreign competition, Tata said, "There is there fear that if retail is opened up to the world, the Wal-Marts and Costcos will overrun us, and Indian retail industry will die. But its not true".

Competition was the most exhilarating force one could have, Tata, who heads the leading retail chain Trent Ltd with its Westside stores all over the country, said, "If you succeed, you know you have succeeded against your competitor in a fair and just manner, he said pointing out that protectionist polices like licensing of businesses, which kept foreign investors out resulted in limited economic growth and encouraged corruption.

Indian Government has opened only single-brand retail to 51 per cent of FDI with prior approval even as the debate on opening up the multi-brand retail is hotting up.

Tata was delivering the 2006 Robert Hatfeild Fellow lecture at Cornell University. The fellowship is the highest honour that the Cornell University grants to business leaders.