FDI in retail: Govt places full-page ads on 'myth and reality'
NDTV Correspondent <http://www.ndtv.com/search?q=NDTV+Correspondent> , Updated: November 27, 2011 14:54 IST http://www.ndtv.com/news/images/story_page/FDI_in_retail_ad_295x200.jpg New Delhi: Sticking firmly to its stand in the face of stiff opposition over its move to raise the cap on Foreign Direct Investment (FDI) in the retail sector, the government, in a major publicity blitzkrieg, placed colourful, full-page, glitzy advertisements in all major newspapers this morning to highlight the benefits of its decision. The ads - which aim at rejecting the Opposition's claims that FDI would only hurt farmers - say the move, in fact, will only benefit farmers as 50 per cent of the investment by retail chains would be put into development of back-end infrastructure. The ads further say that farmers would get better returns for their grains. Not just that, the move to allow FDI in retail will help in creation of lakhs of jobs. The government also says that the move would be in the larger interest of the consumers as it would create and increase competition, thus resulting in improved quality and lower prices. The Cabinet's nod to allow 51% FDI in the multi-brand retail segment will facilitate giants like Walmart, Carrefour and Tesco to set shop in the country. Previously, such retailers were not allowed to conduct retail business in the country. The Centre has further defended the move by what it calls Distinct Indian Imprint which means that investors would only have 51% ownership, as against countries that allowed 100% ownership, something that The government has also strived to bust certain myths through the ads by quoting examples of other countries where small retailers have flourished despite FDI in the retail sector. The latest effort by the government signals its strong intent to go ahead with its decision on FDI in retail in particular and big-ticket, politically-sensitive reforms in general. It comes in the face of vehement opposition by political parties, including the Congress' allies, which are demanding a rollback of the decision. There was, in fact, a major ruckus in Parliament on Friday over the issue with the Bharatiya Janata Party (BJP) even mulling an adjournment motion in the Lok Sabha on the issue on Monday. Senior leader Sushma Swaraj yesterday accused the Centre of showing contempt of Parliament by not discussing a crucial issue like FDI. Ms Swaraj, who is also the Leader of the Opposition in the Lok Sabha had tweeted, "On Friday the House was stalled on the issue of 51% FDI in retail. Parliament is in session and government announced a decision of such far reaching consequences outside the Parliament." (Read: Govt's FDI decision contempt of House, says Swaraj) <http://www.ndtv.com/article/india/govts-fdi-decision-contempt-of-house-sush ma-swaraj-153223> Uttar Pradesh Chief Minister Mayawati too has warned the government against going ahead with its decision, even threatening to disrupt Parliament if the move in not withdrawn. She had, in fact, alleged that FDI in retail would help Congress General Secretary Rahul Gandhi's foreign friends. (Read) <http://www.ndtv.com/article/india/fdi-in-retail-mayawati-slams-centre-says- move-to-benefit-rahuls-foreign-friends-153151> But the government seems unfazed by the opposition, contending instead that FDI in multi-brand retail will not only help farmers but will also create jobs. Read more at: http://www.ndtv.com/article/india/fdi-in-retail-govt-places-full-page-ads-on -myth-and-reality-153274?pfrom=home-otherstories <http://www.ndtv.com/article/india/fdi-in-retail-govt-places-full-page-ads-o n-myth-and-reality-153274?pfrom=home-otherstories&cp> &cp With regards Rajesh -- You received this message because you are subscribed to the Google Groups "Skorydov MyTaxAssistant Member Group" group. To post to this group, send email to [email protected]. To unsubscribe from this group, send email to [email protected]. For more options, visit this group at http://groups.google.com/group/skorydovmytaxassistant?hl=en.
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