FDI in Retail revisited

on Friday, March 4, 2011
To those who wonder how FDI in Retail will help the country, here is a perspective. The biggest item on a retailer's income statement is cost of goods, i.e. products, most of which will be manufactured in India, adding to our manufacturing sector. Apart from real estate, labor is another significant investment that retailers make. Much needed entry-level jobs are created by this sector. Investment in the supply chain helps retailers cut costs in the entire value chain and make profits. Competition will ensure lower prices and more products for consumers. When there are so many beneficiaries, why is our government still using the 'kirana' bogey to stall investment in this important sector?

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