Inaugurating a National Seminar on `Shifting Paradigm in Retail Management' jointly organized by The Associated Chambers of Commerce and Industry of India (ASSOCHAM) and NIS Sparta, Dr. Dua announced that though single branded retail has been opened to MNCs, the government is currently weighing all pros and cons and exploring a role model before it policy decision is taken to open up multiple brand retail business to foreigners.
Dr. Dua said that retail opening would be done keeping in view the existing social fabric of India as the government will ensure that with the entry of global retail giants into India do not displace the existing employment in the retail business. Opening up of retail to MNCs could be subjected to multiple conditions and even location wise chartered could be worked out before India invites foreign participation in retail based on Thailand model.
In nutshell, the government is exploring and working very hard to adopt a model for retail opening that does not either displaced the organized retailers or even their competitors in Kiraniwalas, indicated Secretary, DIPP.
In view of Dr. Dua, economic logic suggests that retail should be opened up for MNCs but empirical evidence say that wherever retail has opened up, it had its adverse impact and if the Government of India takes a policy decision for retail opening, all the apprehensions that are being expressed against MNCs entry into retail would be adequately addressed to, clarified Dr. Dua.
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