Traders set to up the ante

Traders across the country are all set to protest from next week against the proposed opening up of the retail sector to foreign players. True, the retail policy draft has yet to be presented to the Cabinet, but trade associations that represent the neighbourhood mom and pop stores are already working on agitation strategies.

The Confederation of All India Traders (CAIT) is planning a nation-wide sit-in (dharna) on November 22. People in torn clothes, aided by suitable props, will depict the consequences of bringing in MNCs in the retail space, said Praveen Khandelwal, CAIT’s national secretary-general. “That will aptly describe the theme of our protest,” he added. Besides Delhi and Mumbai, traders will take to the streets across the country, particularly in the towns of Maharashtra, Karnataka, Madhya Pradesh and Gujarat.

The proposed stir would be stepped up, if and when the government actually clears the policy, association representatives said. At that point, traders could resort to shutting of shops.

However, some traders pointed that the finance ministry nod to the retail FDI proposal was only meant to assess the scale of protest.

“The government has given us a feeler,” said a trader. He argued that a go-ahead to FDI would backfire on the government, as elections are lined up in five states next year. “Besides, the general election is in 2014. It could be suicidal.”

Another association, Bhartiya Udyog Vyapar Mandal, is also planning country-wide processions next week. “Strikes and shutting shops will be our last resort,” said its president, Shyam Bihari Mishra. His association has already written to the prime minister against the finance ministry’s nod to the FDI proposal.

Mishra’s subsequent comment was cryptic: “Britishers came to India for the purpose of trade, and ruled for 150 years thereafter.” These foreign multibrands were not doing well in their own country, he claimed.

“Therefore, they wanted a foothold in the Indian economy.” CIAT’s Khandelwal said the prime minister had, in January this year, assured his confederation that the government would not approve any move that could adversely affect the Indian traders. “What has happened to that promise?” he asked.

According to CAIT, retail is growing at 10 per cent per annum in India, and employing the largest number of people after agriculture.

Khandelwal said the country’s existing retail structure could be upgraded with technology and innovation, as there was no dearth of funds. “We are ready for a positive change. We can become organised without bringing in foreign brands,” he added.