In this era of globalization and liberalization each and every nation is trying to liberalize its economic policies in order to attract investments not only from its domestic players, but also from all across the globe and India is not out of this space. The economic policy- 1991 of India first proposed retail reforms by allowing Foreign Direct Investment (FDI), with the hope that FDI in Indian retail may provide benefit through development of backend infrastructure like cold chain, enhanced supply chain with minimal wastage and minimization of the middle man concept, and larger employment opportunities. 100% FDI was already been allowed both in wholesale ‘cash and carry’ and single brand retail in India after several attempt to open up the sector to FDI, and abruptly on 14th September 2012, the previous indefinitely suspended 51% FDI decision in multi-brand retail is finally endorsed with a historic decision towards retail sector reform, despite strong opposition from government’s key-ally, opposition and left parties, and also finally cleared the Parliament hurdle (both Lok Sabha & Rajya Sabha) by means of debate & voting in the Winter Session-2012 of Parliament. However, Indian government should take care of its decision regarding this transformation and revolution along with safeguarding the health of the great Indian retail sector.