"A study on retail in underway and report is still awaited. We have no plans for FDI in retail,'''' Nath told reporters, adding that the local retail stores are the country''s backbone and it is necessary to focus on them.

The minister said while the centre cannot offer direct help to retailers, the state governments should take a decision in the interest of the nation.

The commerce ministry had asked the Indian Council for Research in International Economic Relations (ICRIER) to study the problems that small retailers were facing as a result of the entry of big corporate houses into organised retail. The report is expected in a month, he said.

Large domestic retail chains have also been facing opposition from small retailers in many states even as some multinational players like Wal-Mart have joined hands with domestic companies as their cash-and-carry partners.

The government allows 100 per cent FDI in cash-and-carry and wholesale operations and 51 per cent in single-brand retail.

AT Kearney Global Retail Index, 2006 ranks India as world''s No 1 in the retail business, and according to industry estimates, the organised and unorganised retail market will grow to $427 billion by 2010 and $637 billion by 2015.

The Left parties, a key ally of the ruling UPA at the centre is opposed to the opening up of the country''s $330 billion retail sector.

In fact, even Congress president Sonia Gandhi had expressed reservations on opening up of the sector.