Friday, November 25 2005 18:25 Hrs (IST) - World Time -

New Delhi: The European Union (EU) today (Nov 25, 2005) asked India to remove restrictions on foreign investments in print and broadcasting media to enable media houses in the EU forge joint ventures with their Indian counterparts.

"I am going to raise this issue (of raising foreign equity cap) in print and audio visual media with Indian Government.Many companies from EU have expressed their keenness to enter into joint venture with Indian print and broadcast groups the less and less are the barriers, trading relations will be better", Viviane Reding, Commissioner for Information Soceity and Media, EU said at a CII meet here.

At present, New Delhi allows 26 per cent FDI in news and current affairs of both print and television media. Twenty per cent FDI is allowed in FM radio and in Direct-to-Home venture, while foreign investment up to 100 per cent is allowed in Indian entities publishing scientific/technical and specialty magazines/periodicals/journals.

Even as she did not mention any specific rise in the foreign equity caps, Reding said, "Besides issues of national sovereignty, business should be left free for investment, sharing and joint ventures."

Former Information and Broadcasting Minister S Jaipal Reddy had earlier this month said that the government was open to FDI cap review in media and entertainment though there was no immediate proposal.

On the thorny issue of EU visa to Indian IT professionals, she said, "We are discussing the visa issue among the EU states. We have to lead first at home. There are some sovereign questions and there needs to be a coordination between EU states on this issue."

Earlier, TCS Executive Vice President of Phiroz Vandrevala said, "There is a problem of movement of people between EU countries and India. It is a 'fortress Europe'and EU has to change this mindset for global business competitiveness though there have been some visible changes in auto and financial segment.

On another contentious issue of control over Internet Corporation for Assigned Names and Numbers (ICANN), a non-profit global body for overseeing the Net and which was the major focus at the recently concluded World Summit on Information Society in Tunis, Reding said, "ICANN was doing a good work and does not need any political supervision so it was not important to replace US as the head".