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  #31  
Old December 2nd, 2011, 06:40 PM
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Farmers Support this (Do they?)

Another interesting read i found

FE Editorial : Farmers versus kiranas

The Financial Express

Posted: Saturday, Dec 03, 2011 at 0027 hrs IST



: Now that leading farmer groups have come out in support of FDI in retail, the debate has got a lot more interesting. After all, if the imagined travails of 3 million retailers can stall the FDI proposal, then the possible benefits to farmers have to be weighed against this. While the BJP lot are now of the view FDI will finish off kiranas, the fact is that even if Big Retail's market share jumps from 6% today to an impossible 20% in a decade, that allows kiranas to grow at 12-13% annually. Pitted against this is the 30-35% loss that farmers are supposed to suffer in terms of shrinkage/wastage as their produce moves between one middleman and the other—once Big Retail purchases directly, a part of this will accrue to the farmer. You can quibble on the amount, but with 140 million farmers in India—and around the same number of agriculture labourers—versus just 3 million retailers it's obvious where the balance should lie. The first farm group to come out in favour of FDI was the Consortium of Indian Farmers Association which has 300 farmer associations including the Maharashtra Shetkari Sangathana as members; next was the All India Vegetable Growers Association which claims 2,200 farmer organisations as members, and then the Bharat Krishak Samaj with more than 75,000 members … watch equations change as more farmer associations add their weight to the pro-FDI side and ask for allowing direct procurement by abolishing the Agriculture Produce Marketing Committee (APMC) Acts that are anti-farmer and pro-middlemen.
The larger issue is why does it even matter if kiranas shut down, unlikely though that is—after all, the proportion of farmers has steadily declined but no one has argued that industry or services need to be shut down. The reason is simple: the farmers got more money by switching to industry or the services sector, and the same will happen to the kiranas who find their business affected – and given the low margins, many may even like to make the shift. In which case, the real pain point is how to get retailers to make the shift, and that's where none of the crocodile-tear politicians are making the right demands – that governments make it easier for entrepreneurs to set up businesses so that jobs creation rises and that the government work hard on setting up re-skilling institutes to facilitate this. So far, sadly, no one's spotted the crocodile-tears.
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  #32  
Old December 2nd, 2011, 07:07 PM
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Re: India's Retail Sector opens up to Foreign Players

Quote:
Originally Posted by marvelous View Post
LK Advani gone mad

LINK
Lekin tune bataya nahi why FDI is better for India?
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  #33  
Old December 5th, 2011, 10:48 AM
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It is on Hold Now---

It's on hold, Pranab tells Opposition



Finance Minister Pranab Mukherjee addressing the media at Parliament house, in New Delhi. Photo: R.V. Moorthy





Union Finance Minister Pranab Mukherjee on Monday confirmed to a section of the Opposition that the Union government had decided to put on hold the move to allow foreign equity in the multi-brand retail sector, pending further consultations.
The issue has stalled Parliament since November 25. However, it is not immediately clear whether this is enough to break the deadlock.
On Monday, Mr. Mukherjee called up BJP leaders L.K. Advani and Sushma Swaraj and CPI(M) Rajya Sabha leader Sitaram Yechuri and sounded them out on the government's latest thinking. They reportedly suggested that he hold an all-party meeting to make a formal announcement.
The Opposition is yet to take a view; some of them feel that such an announcement should be good enough to let Parliament function. Another view is that the Opposition should stick to its demand for rollback of the decision.
“If the government agrees to keep the decision in abeyance pending wider consultations, there is no reason for the Opposition to hold up Parliament. There are so many urgent and important subjects that need to be debated, and Parliament cannot be held to ransom over one issue,” a senior Opposition leader said.
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  #34  
Old December 5th, 2011, 10:52 AM
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Re: India's Retail Sector opens up to Foreign Players

It may be just to give some more time to Reliance. But a bit disappointing. After such a brave move, the trackback.
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  #35  
Old December 7th, 2011, 09:57 AM
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One more Copy Paste

'Highly regressive', says India Inc of decision to hold back FDI




Posted: Wed Dec 07 2011, 17:14 hrs New Delhi:









Disappointed by the government's decision to put foreign direct investment (FDI) in multi-brand retail on hold, India Inc today described the move as “highly regressive”.


“... It is a highly regressive move. For the growth of this vital sector of the economy, which is likely to result in strong linkages with the farm sector and for the economy as a whole, it is imperative that reforms like these should take place,” FICCI President Harsh Mariwala said.


He was reacting to the announcement made by Finance Minister Pranab Mukherjee in Parliament that the government has decided to hold back its decision to allow 51 per cent FDI in multi-brand retail.


The decision to hold back FDI in multi-brand retail will have a strong impact on the domestic and foreign investor sentiment, another chamber, the Confederation of Indian Industry (CII), said in a release.




“We firmly hope this would not be a rollback and a quick consensus is reached,” CII Director General Chandrajit Banerjee said.


Describing the volte face as a case of “missed opportunity”, Assocham Secretary General D S Rawat said, “It will send a very negative message to foreign investors.”


Rawat said FDI in multi-brand retail could have created over 10 million jobs in three years, curbed wastage of farm products and benefited farmers through better prices for their produce.


Meanwhile, a senior government source told Reuters it is too soon to say that the stalled policy would be watered down, a senior government source said on Wednesday, hours after the government suspended the reform.

Read on

Now, why was i thinking that Reliance Retail is behind this 'Hold'
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  #36  
Old December 9th, 2011, 10:25 PM
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Re: One more Copy Paste

Quote:
Originally Posted by sgars View Post
'Highly regressive', says India Inc of decision to hold back FDI

....
Now, why was i thinking that Reliance Retail is behind this 'Hold'
Of course it is highly regressive. I mean, after all the money that Walmart spent on lobbying in India.

Anyway, all this talk of Foreign Direct "Investment" is hogwash, because it is much more than investment (not just money), it is Foreign Direct "Ownership". When they say "investment", they try to imply that only money is coming in.

Someone raised the point about the farmers not getting better prices today and the government control on the same. Right, so will the govt. lift the control on prices when the foreigners come in ? Will they allow a free market ? Punjab farmers are already dumping potatoes and basmati rice on the streets because of lower prices. Some time ago there was a news of onions being allowed to rot in Nashik and cabbage used as animal fodder by the farmers.
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  #37  
Old December 10th, 2011, 08:58 PM
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Re: One more Copy Paste

Quote:
Originally Posted by raniraja View Post
Of course it is highly regressive. I mean, after all the money that Walmart spent on lobbying in India.

Anyway, all this talk of Foreign Direct "Investment" is hogwash, because it is much more than investment (not just money), it is Foreign Direct "Ownership". When they say "investment", they try to imply that only money is coming in.

Someone raised the point about the farmers not getting better prices today and the government control on the same. Right, so will the govt. lift the control on prices when the foreigners come in ? Will they allow a free market ? Punjab farmers are already dumping potatoes and basmati rice on the streets because of lower prices. Some time ago there was a news of onions being allowed to rot in Nashik and cabbage used as animal fodder by the farmers.
So, Walmart spends mony Lobbying, but we see Indian Industrialists supporting this FDI in retail. Either Walmart has lobbied with them also, or they hope that they can sign a lot of JVs with these retailers.

We can call FDI as FDEI. In fact, if it is only money, the only motive is to recover it. If it is ownership, you have to keep the show running, create jobs, provide competition, etc.

Free Economy for Farmers- The main problem is, if market prces are low, there is always a demand for Minumum Support price. The Free economy goes for a toss an govt then sets maximum price (Actually even US FIs are also in the same league)

Long time back when the Brazil's coffee crop failed and international coffee prices soared, the govt kept the domestic coffee proces low, fearing that allowing a free export would make it lose the South Indian voters.
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  #38  
Old December 10th, 2011, 08:59 PM
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Re: India's Retail Sector opens up to Foreign Players

Another thought some one put was that this Retail FDI proposal and reversal was to divert media attention while Kani walked away from Jail into Bail.
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  #39  
Old December 13th, 2011, 05:26 PM
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Re: India's Retail Sector opens up to Foreign Players

Quote:
Originally Posted by sgars View Post
So, Walmart spends mony Lobbying, but we see Indian Industrialists supporting this FDI in retail. Either Walmart has lobbied with them also, or they hope that they can sign a lot of JVs with these retailers.

FICCI is supporting it, while Vyapari Mahasangh has opposed it. Even Steven.


We can call FDI as FDEI. In fact, if it is only money, the only motive is to recover it. If it is ownership, you have to keep the show running, create jobs, provide competition, etc.
If it is ownership, the only aim is to make as much money to send back "home", whatever they call home. Public welfare isn't the objective at all. Any benefits accrued are simply bye-products. Is there a cap on how much profits they can send back and how much should be retained / utilised in India ?? No !!

First comes trade, then comes protection for the traders, then comes subjugation.. classic firang strategy.


Free Economy for Farmers- The main problem is, if market prces are low, there is always a demand for Minumum Support price. The Free economy goes for a toss an govt then sets maximum price (Actually even US FIs are also in the same league)

Long time back when the Brazil's coffee crop failed and international coffee prices soared, the govt kept the domestic coffee proces low, fearing that allowing a free export would make it lose the South Indian voters.
Quote:
Originally Posted by sgars View Post
Another thought some one put was that this Retail FDI proposal and reversal was to divert media attention while Kani walked away from Jail into Bail.
Congress is diabolically clever. They got the Parliament to suspend and got the opposition blamed for it. Raul Baba was on a tour of UP for first few days of the parliament session. That got buried in the mess. Kani getting bail was a judicial process, don't think the timing was affected by this ruckus. Also, the govt. got through 100% FDO in single-brand retail, didn't they ??
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  #40  
Old February 5th, 2013, 08:02 PM
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Re: India's Retail Sector opens up to Foreign Players

So, about a year after this thread and 2 months back, FDI in retail finally happened. no big bang investments in the news. The only chain seeming keen is Ikea.

RaniRaja bhau. since you seem to be in retail, what is the impact you have felt.
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  #41  
Old December 2nd, 2013, 08:56 AM
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Re: India's Retail Sector opens up to Foreign Players

10 months down and there has been No walmart, No Tesco, etc. so far. For all those who were saying either that opening up will be very beneficial or it will be disastrous, this is like a whimper.
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  #42  
Old December 2nd, 2013, 08:57 AM
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Re: India's Retail Sector opens up to Foreign Players

Compare this with insurance. within a year of opening, the floodgates opened and there were some 20 odd life and non life companies in.
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  #43  
Old December 2nd, 2013, 04:25 PM
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Re: India's Retail Sector opens up to Foreign Players

There is No comparison.. for walmarts and likes they have to have a large enough place to retail, "real things" to retail a godown larger one to keep stocks.. manage real items and sell things for 20, 30 50 rs etc to make money

Insurance? Well every tom dick and harry here is an Isurrrance "advisor" well agent is now a politically incorrect word.. what they need fo ofice? couple of rooms, few telephones a cute girl t answer telephones, a office boy to fetch tea and water, couple of computers a printer few glass partitions and brochres and start selling bull shit which never tuns our of stock.. One dude a fat one with a pot belly will become a branch manager and a few hero honda dudes act as advisors (who work for commision and no salary) and the recoeptionist and peon get paid peanuts.

Where is the comparison? A local chat waala needs more infrastructre to actually do business..

(Insurance IS bull shit and nothing else. It is legalized robbery).,
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  #44  
Old December 2nd, 2013, 04:55 PM
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Re: India's Retail Sector opens up to Foreign Players

Actually, I remember when there was one or just two insurance companies (one exists and another dunno).. LIC and peerless. And there was a brief period when people in PSU/Govt Employment could have their own business but not another employment from another Govt agency/PSU. So the hubby would take this LIC insurance agent thingy on his wife's name.. and that is it.. he would get a LIC carry bag, a cap or something which he wold gift to the children. and to his customers calendar every year and a pocket diary with pen.. and for him a status symbol a "business card".. he would go around in his bicycle hunting on his spare time.. and would be doing the same everywhere.. while going to the bazar and meeting.. lol.

Even a casual visit to their house or them to ours would be quite an ordeal.. they were like those amway pests.. everywhere.




What have you saved up for your children?

5000 crores.

Just that much?? How sad.. what happens if you die tomorrow? Who will take care of your wife/kids/parents/siblings?

Oh there is no chance.. I don't drive..
Others do.. what if someone hits you
Oh I don't go for a walk either
Very unhealthy.. you will have a heart attack.
Oh so I should start walking eh.
You smoke.. that is a danger.
I quit NOW.
OH what if a stray bullet hits you. when you go out for a walk, what if a robber kills you?
But I dont walk
You said you will start.
Oh I won't then.
THen you will have a heart attack.

You see.. you are gonna die anyway.. 5000 crores in this day and age is peanuts why don't you insure yourself for an additional 10 lakhs? I will help you out. You see my wife just joined LIC (as an agent will not be said).

You.. ohhh..
Him she suggested that you have always been a good luck so start with insuring you.. so shall I put you down for 25 lakhs..
You just said 10.

Yaa but for less than 2 times that prem, you get 2.5 times more coverage. Normally I would not give that to others because it hits my commissin percent but you are a friend.. so I just thought you should get the best.. the 1 crore is even better but 25 should be good.. but if you insist I will give you the 1 crore one. I wont recomend it for you 50 lakhs is more than enough.

helooooo I said 3000 crores.. what is your 25 laks gonna do for this family?
he will say.. well you can help a friend out no? see I was only trying to help you.. I am down my target by JUSSSSSSSSSSSSSSSSST One 5 lakh policy this month.. you certainly can afford atleast that!!.. I mean..

yes.. I am ecstatic. Just had an orgasm.. stop screwing already.
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  #45  
Old December 2nd, 2013, 05:15 PM
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Re: India's Retail Sector opens up to Foreign Players

And this is how Insurance as an industry begain.. its birth.

In olden days, ships used to carry hell of a lot of things as they were the only mode for international business.. take silk from china download it in europe.. upload, wine, choclates from europe/south america and dump it in asia sots and assorted loots from here and there. ANd there were pirates.

So these shiping companies used to pay the agent of the pirates a protection money. Inditialy to multiple ones to make sure their ship is not attacked. Then more and more chanavataana pirates sprung up. So this protection money started being a little more expensive cos they included safety.. ie. if a priate was big and powerful, the smaller ones would not attack a ship insured by him.. if they did the biger one would go kick their ass, recover the loot keep some for him and rest returned and the smaller group merged to the bigger one.. so a win situation for pirates however you saw it. And the shipers would relectantly give to avoid attack by the bigger guy.. if someone did not, he was sure to pay by way of his ship, his crew and his cargo..

Later pirates were killed, imprisoned and put out of business by governments.. and they took over the insuring business.. but WHO to insure agains? Pirates were not there!! so calamities which are rare and so for a small risk, max returns for the insurance company.. and with technology improving the industry became safer and safer.. now a person dies, his insurance will be lingering in papers for kingdom come.. did he kill himself.. go screw yourself.. did he die of cancer.. aaah. a preexisting condition you should have told us before you did not so it is cheating so screw yourself.. died of lightnig strike.. you took the risk.. you had no business going out during a thunderstorm.. etc etc. etc..

So basically.. you bend over I make hay.. I am the insurer. I insure my profits.
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