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Sunday, December 18, 2011

A govt. of few for the few

The last few weeks witnessed a remarkable perspective in which India’s democracy won but India’s people lost, a country of 120 crores lost their faith in the constitution of INDIA. Dr Ambedkar would never have thought that government of India, Gandhi-Nehru family, whose ancestor were the freedom fighters and ruling the nation since 1947 as first prime minister of free India will misuse the constitution to be the most corrupted political party. 

  On November 24, the government announced a bold reform to allow 51% foreign stake in retail. This triggered off a storm of protest across the political spectrum, and eventually forced the government to back down and suspend the reform. During the entire debate, no one asked why the USA, EU and rest of countries with FDI in retail, facing recession and cutting off the jobs?? A country with more 50% of uneducated people, whose livelihood depends on small-2 kiryana shop and feed the family of 4-6. 
Indeed it can help in reducing the price of commodity, The defeated government trying to personified that Indian consumers have lost a chance for lower prices, India’s farmers have lost the prospect of higher returns, a third to half of India’s food will continue to rot, and millions of unemployed rural youth have been denied jobs and careers in the modern economy. But what about the cash flow of Indian currency from India to outward, the profit made in dollars, similar reason induced the downfall in the pathway of American economy. Lets see it with management perspective. today organised retail sector of India is around 10-12% and provides the jobs to 15lakh of Indian people, no. people working per 100square feet are 1.23 approx, considerably looking at the unorganized place like Lajpat Nagar, Sarojni Nagar, Chandni Chowk and Karol Bagh etc. etc., number of people working 100sq feet are 8-10. I don't know about the perspective of Indian congress party.

It does seem odd that democracy should win and people lose. In the 1980s, labour unions captured it to ban computers in government offices, banks and insurance companies. But it is most instrumental source for success, but difference is, in adopting technology has nothing to do with cash-flow. Somehow i found the FDI is not at all wrong. But, unemployment and number uneducated people are more than the population of few countries. Wallmart have few stores in India having the same supply chain system which government is boasting off with zero difference in price. Why govt. don't support Kendriya Bhandar, NCCI etc on big level, trusting foreign brands, poor in quality, good in services should not be the system. With recent statistical survey, are proofing the inferiority in product like Nike, Reebok and Addidas.
 "India has 50 crore farmers, 120 crore consumers and half a crore traders. Obviously, government should support farmers and consumers. FDI in retail will bring down inflation??” not at all, exporting sugar without considering the internal demand is cause of high price commodity. If 75% Indian need subsidies to eat, how wall-mart can help India???
Global retailers have perfected a cold distribution system. By investing in thousands of cold storages and air-conditioned trucks, they will reduce farm wastage, and bring a revolution in transport, warehousing, and logistics, as they have done in major countries like Argentina, Brazil, Chile, China, Indonesia, Malaysia, Russia, and Thailand, can be achieved with positive encouragement in domestic supplier, which wil help in bringing back the black-money by investing in new business.

This issue goes beyond shops and supply chains to whether India’s democracy can throw up the sort of leaders who can reach out the right decision for positive India. A govt of few but govt of every People is the only key.  

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