Assam CM asks PM for implementation of FDI in retail

Following strong opposition from its key allies like Trinamool Congress (TMC), the UPA government had put on hold the decision to allow 51 per cent foreign direct investment (FDI) in multi-brand retail segment.

"I urge the Prime Minister for early implementation of this policy," he said.

After meeting Commerce and Industry Minister Anand Sharma, Gogoi said the move would help to bring in foreign investment, technologies and efficiencies.

"This decision holds significance in unlocking the true potential of our agrarian economy as in absence of adequate logistics and infrastructure, a larger part of farm produce never reaches the market," Gogoi told reporters here.

He said that the decision to open the stores should be left to state governments.

"Some states are opposing this, let them oppose. Those states who want, should not be deprived of this decision as it will help in improving agri economy. We hope that the government will take early decision on this," Gogoi said.

"We hope the decision is implemented at the earliest as it will bring in foreign investment, technology, efficiency and generate rural employment to strengthen economy," he said.

He said due to inadequate infrastructure in the farm sector "farmers are at the mercy of middlemen and do not get true price for produces". He added that consumers too ends up paying many times more than the price secured by the farmer.

On why allies are opposing entry of foreign investment in the retail, the Chief Minister said: "Allies are not Congress. They have their own policy."

The UPA government has renewed efforts for a consensus on on the politically-sensitive issue of FDI in retail, estimated to be a about USD 550 billion market.