From past one year, India is facing heat of inflation. Prices of fuel prices had gone up in international market many times in past twelve months due to which the prices of essential commodities increased considerably.
Indian government failure to tackle the situation created an unrest among the people. Government not only faced the agony due to inflation by the people of India but also by the opposition parties. Members of government also protested against the inflation.
To tackle this situation, government of India came up with the solution to increase foreign direct investment in the Indian retail sector by increasing the the investment up to 51%. It will not only push money in the Indian market which is need of the hour to tackle down the inflation but also it will provide consumer good quality products on much cheaper rates. This will abolish the bad quality products made by few dealers to increase their profit level.
But this profitable move by the government wasn't supported by the opposition and the allies of the government, specially the left front. Many brokers and small business man showed unhappiness about the decision. There were protest all over the country, by closing down shops for twenty four hours. Where as big business houses are happy about the increase in FDI in retail sector.
India has lot of scope in retail market specially for foreign retail companies who are unhappy with the recession in Europe and USA and are looking forward to India.
Retail market can also help farmers to gain more as retail firms will directly contract farmers to do farming and produce required vegetables. This will also abolish brokers or middle men, which in turn will reduce prices of vegetable and other retail products, which in turn will benefit the MANGO people (common people).
Protesters fears that, entry of foreign retail firms in India will abolish small business men, and small shops. I doubt this kind of reason. India is a country of 125 Billion of people, and few retail chains can't handle so many consumers at a time. India is a huge country and retail firms cannot establish their retail chains in each and every city, town and village. If retail chain will come in almost all of the city then also these small business men will stay, as shops near residential area will give consumers an option to save time, as big retail chains will be located either outside city or little away from residential area.
When government decided to allow investment of foreign companies in beverages, people criticizes that lemon water (nimbu pani), lassi and Indian beverages will vanish, but still they are there with foreign products.
Government should experiment with retail market and if there are some issues then it should be solved. But protesting against this policy, overall, will lead to slow development of the nation
Indian government failure to tackle the situation created an unrest among the people. Government not only faced the agony due to inflation by the people of India but also by the opposition parties. Members of government also protested against the inflation.
To tackle this situation, government of India came up with the solution to increase foreign direct investment in the Indian retail sector by increasing the the investment up to 51%. It will not only push money in the Indian market which is need of the hour to tackle down the inflation but also it will provide consumer good quality products on much cheaper rates. This will abolish the bad quality products made by few dealers to increase their profit level.
But this profitable move by the government wasn't supported by the opposition and the allies of the government, specially the left front. Many brokers and small business man showed unhappiness about the decision. There were protest all over the country, by closing down shops for twenty four hours. Where as big business houses are happy about the increase in FDI in retail sector.
India has lot of scope in retail market specially for foreign retail companies who are unhappy with the recession in Europe and USA and are looking forward to India.
Retail market can also help farmers to gain more as retail firms will directly contract farmers to do farming and produce required vegetables. This will also abolish brokers or middle men, which in turn will reduce prices of vegetable and other retail products, which in turn will benefit the MANGO people (common people).
Protesters fears that, entry of foreign retail firms in India will abolish small business men, and small shops. I doubt this kind of reason. India is a country of 125 Billion of people, and few retail chains can't handle so many consumers at a time. India is a huge country and retail firms cannot establish their retail chains in each and every city, town and village. If retail chain will come in almost all of the city then also these small business men will stay, as shops near residential area will give consumers an option to save time, as big retail chains will be located either outside city or little away from residential area.
When government decided to allow investment of foreign companies in beverages, people criticizes that lemon water (nimbu pani), lassi and Indian beverages will vanish, but still they are there with foreign products.
Government should experiment with retail market and if there are some issues then it should be solved. But protesting against this policy, overall, will lead to slow development of the nation
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