The Maharashra Chamber of Housing Industry (MCHI) has called for rapid reforms in the real estate sector to help revive the sluggish economy.

Paras Gundecha, President, MCHI, said the decision on FDI in retail was the right move and would lead to new chains and outlets for farmers, traders and industry.

The retail chains would need huge complexes and this provided an opportunity for the real estate industry, he said.

Gundecha appealed to the Government to take a serious look at the real estate industry and ensure easy accessible funding, speedy approvals by setting up a single window system and accord the sector the status of infrastructure.

For long, the growth of the real estate industry has been thwarted by limitations of land availability, delays in approvals, expensive and almost prohibitive funding and the ever increasing cost of inputs such as cement, steel, sand and labour, he said.

The capital and labour-intensive construction industry contributes over 11 per cent to the GDP, apart from creating job opportunities that lead to a rise in purchasing power. This, in turn, will affect the retail chains as well, making the reform process truly meaningful, he felt.

Gundecha also lauded the encouragement given for FDI in logistics and storage chains in rural areas to reduce wastage of farm produce. The move will increase the number of jobs in the farm sector and change the rural landscape, he said.

The real estate industry is looking forward to tapping the vast opportunities in housing, retail and office segments. The Chamber says it is open to a dialogue with the Government and its agencies to work on real estate reforms, he said.

>shanker.s@thehindu.co.in

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