Those opposing FDI in the retail sector argue that a large number of small and medium retail traders will lose their livelihood. But they forget one important thing — that there is no quality control over the goods we get from them. The consumers are at their mercy. Milk, edible oils, pulses and cereals are all adulterated. When retail giants of international repute enter the market, unscrupulous traders will either lose their business or have to assure quality.
V. Rajalakshmi,
Mumbai
My hometown is Kuppam in Chittoor district. At present, I am in Hyderabad. There is a Big Bazaar close to the place I stay. There are shopping malls and many small grocery shops too. I find people in all these places. Because of competition, even small shops clean and package their products well. I don't think all 1.2 billion people will go to Walmart or Tesco to buy grocery. Every enterprise has its own customers.
M.R. Yugandhar,
Kuppam
The Opposition is neither allowing the government to usher in reforms nor suggesting any worthwhile remedies to control inflation. The root cause of the high prices of our products, agricultural and industrial, is the presence of middlemen operating at various levels between the producer and the consumer. Only they are benefited by the economic growth. If FDI is permitted in retail, the middlemen will be eliminated. Cash rich foreign companies will operate with a fixed percentage of profit and pass on the benefits to the producers and consumers. As a person who has seen the functioning of retail giants in the U.S., I can say consumers are happy.
K.R. Prakasam,
Puducherry
The ubiquitous kirana store has served the community well and will continue to do so. Most of us just walk round the corner to buy what we want. Another important point in favour of the kirana stores is the personal relationship between the trader and the buyer. If an item is not available, the trader offers to get it for us the next day and even sends it home. The famous corner shops in the U.K. are an example. They did not fold up when multinationals set up shop. They coexist and thrive well.
I.P.P. Prabhakara Rao,
Secunderabad
FDI in retail will be a positive game-changer with better pricing for farmers, better logistical infrastructure, reduction in wastage and, above all, more employment opportunities. In small towns, people will continue to patronise the kirana shops, and towns and cities with big populations will enjoy better quality at competitive prices. The kirana shops in cities will not suffer because most of them cater to different segments. Besides, most of the younger, educated, generation of kirana shop-owners want to take up other employment. In the long run, there is bound to be a consolidation of such shops, the small giving way to the big.
P.M. Adam,
Chennai
The fracas over FDI in retail is much ado about nothing. Clearly, a fear psychosis is being created in the minds of common people. Undoubtedly, the middlemen who neatly pocket super-profits from the supply chain/value chain in the retail marketing are going to be affected. The case of the Nasik onion farmer, who gets a paltry Rs2-4 a kg even as the retail onion price is Rs.15-20 a kg, is a classic case of exploitation of farmers by middlemen. Producers and consumers stand to gain from organised retail.
When Reliance Mart, Big Bazaar, et al, launched their business some time ago, so much was said about the elimination of the kirana shops. Years later, we find both supermarkets and neighbourhood kirana shops co-existing.
Bichu Muttathara,
Pune
One wonders why so much fear psychosis has been whipped up over FDI in retail trade. Indigenous retailers have not been banned. They are only going to face competition. What is wrong in consumers getting a competitive price? Producers, too, will get more remunerative prices as there will be more buyers. Do we want to keep our country in the grip of unscrupulous, profiteering traders? Let the middlemen face competition and survive only if they are able to offer competitive prices to consumers and remunerative prices to farmers. They do not add any value, and prosper at the cost of consumers and producers.
V. Krishnan,
Chennai
