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FDI in Retail: Misplaced Expectations and Half-truths by Sukhpal Singh

The central government claims that allowing foreign direct investment into India’s retail sector will benefit small farmers, expand employment and lower food inflation. What has been the experience in India with organised retail so far and what has been the global experience with FDI? Sukhpal Singh (sukhpal@iegindia.org) is currently at the Institute of Economic Growth, Delhi. After being under relentless attack for a week, the United Progressiv Alliance government was forced to...

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Traders' concern by TK Rajalakshmi

Indian traders reject FDI in multi-brand retail and emphasise the need for a policy to regulate the labour-intensive sector. TRADERS across the country responded angrily to the Union Cabinet's decision to allow 51 per cent foreign direct investment (FDI) in multi-brand retail trade, disproving the arguments of the United Progressive Alliance (UPA) government and the assessment of corporate India, which had tried hard to make it appear that traders and...

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Experience so far by CP Chandrasekhar

Global experience in retail trading by MNCs does not tally with the presumptions on which the UPA government's FDI policy is based. IN the course of the debate on the need to permit foreign direct investment in retail in India, two arguments have been advanced often. The first argument is that large organised retail is good for not just consumers, who would benefit from lower prices owing to cost efficiencies...

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Single-brand FDI map stays, may be step by step now for multi-brand by P Vaidyanathan Iyer

The government is likely to recalibrate its retail foreign investment strategy, while simultaneously trying to bridge the political divide with allies and states. Government sources said with neither the opposition nor the allies, Trinamool and DMK, objecting to 100 per cent FDI in single-brand retail approved by the cabinet, the commerce and industry ministry would work on a notification to operationalise the decision. “Our understanding is we can work on rules for...

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FDI in retail will boost agro-economy: Amarinder Singh

-PTI   Punjab Pradesh Congress Committee President Amarinder Singh on Sunday said that Foreign Direct Investment in retail would boost agricultural-based economy of the state.  "Organised multi-brand retail stores are in the interest of both the producers as well as the retailers and consumers," he said.  He pointed out if the farmers have the option of selling directly to retailers, the produce will reach the consumers at a lesser price.  While potatoes sell at an...

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