What is your take on government’s decision on FDI in multi-brand retail?

[Bala Venkat]

Question in Yahoo India please.

UPA ally Trinamool Congress virtually led the charge in opposing the move in Parliament. Besides Trinamool Congress, the move is being strongly resisted by all the opposition barring the Shiromani Akali Dal, which is a key constituent of the BJP-led NDA

The ruling Party spokesperson Abhishek Singhvi said that FDI in retail is actually going to “promote employment” and offer a much higher degree of choice better quality and compensation to consumers. Echoing similar views, party general secretary Digvijay Singh remarked on Twitter “fully support 51% FDI in Retail. Good for Consumer as it would eliminate middle men. It won’t affect neighbourhood store and Rural Market.”

http://www.thehindu.com/news/national/ar...epage=true

Well what is your take on the decision of the Govt of India? Please share with your reasons. thanks for your time!

[gentleactor850]

Its must be strictly regulated.

[arlmbhat]

Being a Citizen(lower middle class) of India I do agree in employment opportunity in metro city by opening multi brand retail.Already many moles existing in metro city's not effected the retail store or rural as cash and carry business system.
Here one thing notable in foreign investment as 51%.After WTO it was some 24-26% for foreign partner es to invest with local with some condition.

Why we are not able to create Foron exchange by such activity like china achieved in world market.

Why only IT and Pharmacy sect ores gives foreign exchange to the nation because of their quality and efforts as per ISO to be considered? Or any other reason.. not known.

The easy sources going to adopt from the govt to immediate need or Relief by 51% to be think for future of the nation.

[tilva]

This decision is affected to small shop store people.

[Mukesch Kaley]

India Sale continues.

[Anuj]

personally i think its good decision...
these inter-nation stores not open in every townships n villages nor open in every street... India already have various mall groups in India since last 10 years (like future group, Big Bazar n reliance n others), n all that not make any bad impact on retail market...

*The Cabinet is likely to approve 51% FDI in multi-brand retailing and may increase the FDI ceiling to 100% from the present 51% in single-brand retail.
*government is looking to mandate that at least 30 per cent of the procurement is done from small and medium enterprises.
*In multi-brand retail, companies would be allowed to operate only in towns that have a population of one million or more.
*In big cities, stores can come up within 10 km of the city limits to help companies deal with real estate prices better.
*Companies would have to invest at least $100 million, of which at least 50 per cent would have to be earmarked for creating backend infrastructure.

important is need to strengthen consumer act, currently law not protect well enough to consumers n manufacturers (like farmers)
1.Because government give excuse that its helps India's supply chain...n crate competition controlled inflation...but for that also need to break middle men chain in Indian supply system.

farmers got nothing, but they can't do much because various farmers n commodity unions are decided rates themselves n they joint hand with big boons.so Poor farmers have not other option available to sell product on there own price... also,because of not having cold storage n transport system (n inter states tax), so farmers can not wait longer...
on same way customers got product on totally diffident n high price... + possibly duplication in mostly all items..

so mostly all money n profit looted by middle men (like unions n others)...so with out making protective law for them,i don't see its much effective (even-thought its good decision) on supply chain of India.

2.government also given excuse of success this model in south east Asia, but they forgot after applying this entry, Thailand n Malaysia n Indonesia n some part of china make a new law/strengthen old consumer n manufacturers protection laws...

3.also its depend on state governments, whether they allow it or not...so opposition parties can make own decisions in there ruing states governments.

about fear, its all created...its myth.
i remember my grandmother said she buys food on yearly of six months basis from wholesaler...after opening many retail stores on streets, my parents buy from retailers...n i am living in mall culture...nether i seen any wholesalers suicides nor i seen any retailers die after opening mall...n same way nor any buddy die, due to new international stores...!! yes we all seen farmers suicide continually n frauds with customers n unlimited duplication!

[Gentlemenbelieve982]

Without going into too much details, these are the very same people, who opposed IT revolution by Late Rajeev Gandhi, who opposed open market by Late P V Narsimha Rao, who opposed telecommunication revolution under Late Pramod Mahajan and Ajit Kumar Panja and they will continue to oppose. They are just open to opposition to any change without looking into merits and demerits of those changes.

[Dilli]

Some one argues that the Retail Malls are not in every town and every street etc! Another argues that more FDI in retail would generate more employment! Are they ignorant or corporate spokespersons?!

Everso many corporates with foreign and domestic investments have come up with promisse of fabulous claims of offering higher employments which never happened! The FDIs will be preferred by even middle class of our society being basically drawn to showy Malls rather than the small trade on roadside, on which millions of poor's livelihood rests!

Even now the Malls have sprung across major cites and satelite towns as well. If the 51% comes into operation, the small investors in retail trade would virtually be wiped out of existence and no economic gains would accrue to the people, except unemployment and a group of overthrown poor who would bear acute grudge against the pro corporate govt!

This is blatantly economic sell out of our markets to the foreign rich to amass wealth at the cost of our average citizens, as rightly pointed out by Activists and the opposition! The ill effects would be evident very soon and the Anuj Co would have to find weird reasons to bale out govt when the damages had occurred! These guys seem to think that once the foreign fashionable shops appear in the streets, our country would look ''advanced''! what a pity and a curse!

[skinnytitle488]

I endorse the views expressed by Mr Anuj.

very very very very....bold decision taken by UPA. Thumbs up to INC for this