Burning issue

This refers to the editorial “Burning issue” ( Business Line. January 29).

The government should provide necessary security to the employees, especially those working in sectors such as oil, steel, coal, and Defence.

The introduction of technology such as GPS to track the movement of trucks will certainly help to monitor the situation. To reduce chances of corruption, truck operators must work on rotation.

Marketing and distribution departments should be modernised and necessary training imparted to the employees.

Vedula Krishna

Visakhapatnam

FDI in retail

The Wal-Mart CEO's concern over kirana shops in the name of taming inflation ( Business Line, January 28) misses the entrepreneurial spirit of India.

The UPA Government must be conscious of the fact that multi-layer retailing in India is the second-most decentralised economic activity after agriculture and constitutes more than 95 per cent of trade, leaving the balance 5 per cent to organised trade.

Contributing to 14 per cent of the country's GDP, while the share of all the BSE-500 companies is less than 10 per cent, unorganised retail is also the second-largest employment provider, next only to agriculture. FDI in multi-brand retail will only distort the existing economic harmony in India's unorganised retail. It will do more harm than good to this sector, which has grown at an annual average rate of 8 per cent in the last 10 years.

FDI in multi-brand retail was an important item on the agenda of bilateral talks during the recent visit of the French President to India. The Government should encourage and help retailers upgrade their distribution network instead of hoping for a foreign solution to the Indian problem of food inflation. The Green Revolution, technology revolution and Defence capabilities are the result of indigenous efforts against tough global sanctions.

Why should we rely on Carrefour and Wal-Mart when we can encourage our own entrepreneurs?

S. Vaidhyasubramaniam

Thanjavur

Published on January 31, 2011

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