Step forward in print reform: GoM OKs foreign papers to publish here

The Centre today took the first tentative step towards allowing FDI in print media with the Group of Ministers (GoM) giving the green signal...

The Centre today took the first tentative step towards allowing FDI in print media with the Group of Ministers (GoM) giving the green signal for foreign newspapers to publish facsimile editions in India.

The move is expected to open the doors for foreign newspapers to reach Indian readers at affordable prices on the same day they are available abroad.

However, the GoM recommendation comes with ‘‘protective clauses’’ that prohibit local content in facsimile editions, including local advertising.

Story continues below this ad

Last year, Midram Publishers had started publishing the International Herald Tribune from Hyderabad on the grounds that there were no rules prohibiting foreign newspapers from being printed in India by an Indian publisher.

According to sources, the Information and Broadcasting Ministry will now prepare a note for the Cabinet to amend the Press Registration of Book and Periodical Act 1876, which sets the rules for registration of newspapers in the country.

These facsimile editions, sources said, will be allowed on two conditions: foreign publications will have to register themselves along with their Indian counterparts, as per Indian laws, and take the FDI route.

The GoM, headed by Home Minister Shivraj Patil, has also recommended hiking of syndication limit from the present 7.5 per cent to 20 per cent. The GoM, sources said, also discussed foreign investment, especially the possibility of allowing foreign institutional investors in print, but stopped short of spelling out its decision.

Story continues below this ad

The I&B Ministry is in favour of keeping foreign investment—including foreign institutional investors’ stake—at 26 per cent, said sources.

Besides Patil, the GoM comprises Finance Minister P Chidambaram, Law Minister H R Bhardwaj, Communications Minister Dayanidhi Maran and Information and Broadcasting Minister Jaipal Reddy.