We as a nation are the cusp of becoming a great nation. But the destiny of the nation is in the nads of we, the people and not the politicians. There are huge opportunities with us and major obstacles and hurdles in the same.
As a nation, India is known for its rich heritage and varied landscape. Where as in the world can find such divsity in terms of culture religion history. Yet it is a great pride for us that we have a thriving democracy for the last sixty years.
If we look back for last five six years, there is a major change happening in the country. Huge opportunities exist in new industries like retail and bio technology. Retail has the potential to transform this country and improve the conditions of the masses at large. Organized retail requires high quality infrastructure, which is one of the major reasons, why the industrialisaon in this country is scatterred and prosperity is uneven. Retail will require good roads, improved railways and airports. This will create huge jobs in the manufacturing and the infrastructure.They will use people for constructing roads, bridges, airports, railways etc. What is needed urgently on the part of the govenment is to patornise the retail growth in India. The industry needs the goods to be transported at low cost quickly. Thus there will be demand for trucks and the automative sector will improve.
But the most important aspect of organized retail is the improvement in the lives of our vast majority of people in villages and who are dependent on agriculture. In sixty years of our independence, there is still a huge majority who do not earn a respectable living. though officially they are above thr proverty lne as defined by the GOVT OF INDIA, they are not able to send their children to schools. Retail will require vegetables, fruits and grains to stock in the stores across the country. The govt should allow the retailers to procure the stock directly from farmers rather than from the middleman. The farmers will get abetter price and the retails will ensure that they get better products from farmers. They will invest in long term supply chains and creation of storages and transfer of technology to farmers. This will improve the conditions of farmersprimarily. They will not be at the mercy of middlemen and the corrupt officials of the govt's procument officials. It will bring about a competition in this sector. The next benefit will accrue to the common consumer and the people like you and me. What we are already seeing in citieslike Mumbai and Delhi should be extended to other places also. The reduction in prices at BIG BAZARS and RELIANCE FRESH is a surprise for common man like you and me. The retail industry needs a common graduates with qualifications like BA and BCom and not MBAs and CAs and Engineers. This will create a huge job opportunity for people in the small cities and for whom pursuing an MBBS and MBA is a dream. This will ensure that people from economically backward strata of the society will benefit and they will earn better rather then a low paying govt job. Then the govt over a period of time can look at reducing the reservations for various sections which is a big pain for people with merit and the government in itself. Who canorget what happened in the Gujjar agitation in Rajasthan sometime back.
At many forums, many people have said what will happen to the small businessman and traders who will be wiped out from Business. I admit it would be true to some extent and there is no denying this fact.But there is always a room for some percentage in any major task. However, the govt can bring a policy which can in fact take care of such people. The govt can make provision through legislation that such people should be employed by the retailers and that there should be some form of franchisee models where in these small time Kirana stores across the country procure from retailers. They will get products at better price and the shelf life will also be less. Thus such people will have less stock costs and their margins will in fact improve. The people in mandis can be made to work in tandem with the retailers who actually are facing a dearth of talent. Thus retailers will also have access to a rich source of talent which they can use.
Saturday, October 13, 2007
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