The Chief Minister of Delhi, Mr. Arvind Kejriwal has
decided not Allow FDI in Retails in Delhi and thus, reversing the earlier
decision of the Congress Government.
It is fine not to have FDI in retails as Retails
Marketing is in no way a high Tech venture where country needs foreign help or
cannot do well without foreign investment. It is also true that FDI in retails
will increase unemployment and this is not acceptable to our honorable Chief
Minister of Delhi who is pro Aam Aadmi. It is quite well known that several
states in USA have opposed setting up of big departmental chains like Wal-Mart
for the same reason. If there is opposition to Wal-mart in USA, why should we
welcome it in Delhi?
It is fine to say NO to FDI in retails as long as the
decision is based on intelligent analysis and not for political gains alone.
In this regard, I would like to submit for the kind
consideration of The Chief Minister of Delhi, Mr.Kejriwal to address the
following disadvantages of saying NO to FDI in retails:
(1) Most shopkeepers do not give any cash memo,
resulting in poor collection of taxes and generation of Black money. Aam Aadmi party is committed to minimize black
money. Does Party have a roadmap to address this issue?
(2) Food
and Drug adulteration is a serious health problem. Food Safety department is
completely in effective in Delhi in handling samples from small shops besides
in effective and impractical Food Act. This problem would be very much under
control, if Retail Marketing is restricted to few big chains.
(3) The
experience of some western countries indicate prices will be lower , if FDI in
Retails is allowed due to better management of supply chains, effective storage
system, lower wastage etc. This would mean wealth creation for the people,
lower inflation and better quality of life for most.
It is requested that a Task Force of Chief Minister
should look into these issues and suggest concrete action plan.
Some of my suggestions are:
(a) Develop
modern Food Storage facilities by involving reputed national as well as
international companies with good track record. These facilities should be
managed by professional companies to minimize wastage.
(b) Develop procurement system to minimize
pilferage, corruption. With minimum
Government controls.
(c) It should be mandatory to give computerized
cash memo for all purchases.
(d) The Food Act 2006 need to be reviewed and made
meaningful and consumer friendly to ensure
(1) Consumer is able to collect the sample
without any problem (At present sample should have the signature of seller and
there is no remedy, if seller refuses to sign).
(2)
Results of samples tested in any accredited laboratory should be acceptable by
law. (At present only samples tested in Government labs are accepted for legal action.
(3)
Testing and action should be completed within 3 months (At present action is
pending even on samples collected in 2004.
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