By Shishir Sinha

Copyright thehindubusinessline

In an effort to help homegrown accounting, auditing and advisory firms compete with global biggies, the Corporate Affairs Ministry has invited suggestions on the establishment of Indian Multi-Disciplinary Partnership (MDP) firms. This is a follow-up to brainstorming by the Prime Minister’s Office in June this year.

Corporate Affairs Ministry, in an office memorandum, said that the global consulting and auditing industry is valued at nearly $240 billion, dominated by international networks and global strategy majors. “Despite India’s world-class talent pool, domestic firms remain marginal players, particularly in high-value audits and consulting, partly due to structural and regulatory barriers,” it said.

The paper noted that while government efforts so far have largely concentrated on the auditing sector, it is equally important to prioritise the consulting business, which represents a far larger share of the revenue potential and strategic influence in the professional services industry. The recent FTAs of India has opened opportunities for Indian consultancy firms to expand their presence abroad, it emphasised.

Further, it said that the government is committed to enabling the growth of large Indian firms capable of competing with leading international players by facilitating the establishment of Indian Multi-Disciplinary Partnership (MDP) firms. Accordingly, a note has been prepared to identify the challenges faced by Indian firms and to seek suggestions for necessary amendments to laws, rules, and regulations.

“These inputs will help strengthen Indian firms to compete not only in the domestic market but also globally. he Ministry of Corporate Affairs is actively working towards amending the relevant Acts, rules, and regulations to support the growth of domestic MDPs and enhance their international competitiveness,” it said.

Six key challenges identified for Indian professional firms

The OM has identified six key issues that need to be addressed to help Indian firms grow to an international level. These include advertising & marketing bans, restrictions on multi-disciplinary partnerships, fragmented licensing, public procurement and empanelment processes, standalone operations, and the absence of global collaboration platforms.

Nine questions seek stakeholder inputs on rules, safeguards, and global best practices

The Ministry has put nine questions for suggestions. First, it focuses on specific changes in the Rules/Regulations governing different professionals in India, aiming to ensure that Indian firms become globally competitive players in the consultancy field. The second question concerns the type of regulatory safeguards necessary for the successful implementation of the MDP framework. “What should be the mechanism to settle disputes among professionals in a MDP? Are you aware of successful MDP models in other countries? If yes, which of the best practices should be adopted in India,” asked the third and fourth questions.

The fifth question is about the measures the Government/Professional Bodies can take to ensure Indian firms develop into globally competitive players. The sixth point concerns the regulations of governing bodies/associations that prevent Indian firms from offering services in India, similar to global consultancy firms operating both domestically and internationally. “What is the status of presence of Indian Consultancy firms in international market? How can brand building for Indian firms be encouraged without opening the sector to solicitation/advertising,” said the seventh and eighth questions. The last question is about any other issue that a respondent would like to add.

Published on September 19, 2025