Flipkart did not comment on the investments planned for the new venture.
It also notified the decision to allow 26 per cent FDI in digital media, a move over which certain industry and experts have raised issues.
Flipkart’s six-day sale begins Sept 29, while Amazon is yet to announce dates.
Govt will meet companies between Aug 26 and Sept 5 to suggest the best investment zones for their operations.
All procurements counted as local sourcing.
Slowdown has been driven by a fall in household savings and banks’ increased bad loans, which has hit private investment.
The changes in FDI policy will result in making India a more attractive FDI destination.
FDI in India dipped 1 per cent to USD 44.36 billion in 2018-19.
FM Nirmala Sitharaman in her Budget speech had said that local sourcing norms will be eased for FDI in single brand retail sector.
The present FDI policy is silent on the fast-growing digital media segment.