
Indian farmers and traders are ready to take on the global retail giants such as Wal-Mart to protect their interest in Indian retail market. Several farmers and traders groups have opposed to the entry of private retail companies in Indian market and now they have planned to build a chain of superstores to give a tough challenge to new entrants in domestic market.
Setting up the chain of superstores is a part of efforts to put up their produce directly for sale. Such efforts would stop prices being set by a several big market players. Authorities in the western state of Maharashtra, which says infrastructure costs for the project could be subsidized, are backing the effort.
Sunil Pawar, General Manager of Maharashtra’s agriculture marketing board, said:
It’s a viable idea to counter private players, and if everything goes to plan the first of the superstores can come up in a few months. We are talking to the farmers’ cooperatives and traders and the government is very supportive of the idea.
Fearing the slaughter of employment and earnings, traders, farmers and small shopkeepers opposed the introduction of supermarts into India’s fragmented $350 billion retail market. According to a report, the market would go double in size by the end of 2015. This is being said that large multinational retailers will decide the price of produce in coming days.
The farmers are very much worried about the possible loss of their occupation and land as well because at one hand the entry of big retail giants may hit their livelihood and on the other hand, the government is aiming to take their lands for industrial units. Farmers from Maharashtra are hoping that by establishing the chain of outlets to sell vegetables, fruits and other farm products, they can give a fight to the private retail giants.
Sopan Kanchan of the Grape Growers’ Federation of India said: The idea is to gather scattered sales into a single sales channel through these farmers’ malls. Unitedly, we can take on the Wal-Marts and Reliances.
The blueprint of the chain is ready and farming leaders are likely to ask the government to grant a 25 percent subsidy on infrastructure costs because they are eligible for it under a government plan. They have even identified the sites in some of the cities in Maharashtra to set up the farmers’ superstores.
The issue of global retail giants’ entry in Indian market has even become a political issue also and several political parties are supporting farmers just to take advantage of their large vote bank. They feel it could win them crucial votes in the general election likely to be held next year.
Home

Delicious
Digg
Facebook
Reddit
Stumble Upon
Technorati
Mixx
Sphinn
Twitter
SphereIt
Propeller
Gmarks
Newsvine
Yahoo! My Web
Live Journal
Blinklist
E-mail



