Is Foreign Direct Investment (FDI) in retail sector good for India?

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Hemant said: (Mon, Sep 1, 2014 12:19:53 AM)    
The term FDI refers to investment either in business or production by the people of other to your country. As far as FDI concerned in India it has both advantages and disadvantages. As we all know India is a developing country so allowing investment in our country will improve economy, employability and infrastructure. It will strengthen Indian economy on the map of world economy. But there are also some serious consequences.

Of FDI which will result in destruction of local market because there product and technologies are more cheaper and reliable then ours. So government should make right kind of policies so that even if there is global slowdown our economy remain unaffected.

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Vivek Kumar Shaw said: (Sun, Aug 31, 2014 08:25:51 PM)    
Hello everybody,

Much has been talked about the fdi in the retail sector especially after the approval of 100% grant of fdi in single brand retail sector. As few of the people mentioned about the merits and demerits of the fdi in the retail sector but one the most important question is that what will happen to the domestic market players ? no doubt technology transfer will take place due to fdi, skilled labour will get jobs but what about the unskilled labours who will be completely out of favour due to this and India is home to largest unskilled labour force of the world, second thing is about the independence of the farmers will they be able to produce the food grains they expertise in or they will be manouvered by the fdi companies. I am against the fdi but to the extent to which it should penetrate in the Indian market keeping the domestic market alive and keeping the dollar inflows too.

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Bunny said: (Fri, Aug 29, 2014 10:01:25 PM)    
Hello friends.

I would like to initiate the gd by saying that like everything in this world has its pros and cons means negative or positive effect like this fdi in retail is also not spared from these effects, however being an Indian we all know that our country is still a developing one and from 1947 till now we are unable to find any way to make it a developed one but that as old axiom says hope for the best. Mere just hoping can't solve our problem efforts should be there to change the things.

We should welcome fdi in retail as its infusion in the Indian homelands can help in reviving our drowning economy.

Infusion of foreign currency is always considered good for any country but under controlled conditions. With fdi in retail middlemen will surely loose their shining status, and producers maintains direct link with the consumers. Employment infrastructure technology, standard of living, gdp, national income will surely improve. Resources will be available at cheaper prices like said it has disadvantages too ít may expose our economy at global risk, and definitely increased competition will drastically effect the small retailers. Or these companies can misuse govts predefined policies.

To conclude this gd govt should frame such policies which results in boosting domestic sector and should take strict action against those companies who will take undue advantages of farmers and includes in numerous malpractices.

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Rakesh Soni said: (Tue, Aug 26, 2014 07:49:37 AM)    
The question, of course, always needs to be asked: why should there be regulations on foreign ownership, anyway - especially between one sector and another? If FDI can galvanise one sector, say retail, why should it be restricted in another? The most coherent answer is to ensure that there are safeguards for reasons of national security.

Whatever steps the government takes to liberalise FDI, it should always allow itself the option to intervene on questions of security. Legitimate questions could be asked, for example, as to whether India's entire telecommunications backbone should be built by providers from a single foreign country.

This would lead to an unacceptable degree of vulnerability in a crucial component of India's economy, and one that is susceptible to remote attacks, too. These sectoral interventions, however, should be chosen judiciously, and not at random; the default should always be to attract investment that benefits consumers and broadens the market.

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Smriti said: (Fri, Aug 22, 2014 05:43:29 PM)    
Every thing has its pros and cons. Similarly for FDI it has its both negative and positive sides. The positive side is opening FDI in retail sector will definitely helps in increasing the flow of dollars in India which ultimately helps in decreasing the current account deficit. Employment opportunities will increase. In this present scenario there is a lot of middlemen between the producers and the ultimate consumers and because of this prices of goods increases five to seven times. Allowing the FDI, will definitely reduce the number of middlemen as company will have a direct link from manufactures and to consumers, in this way Consumer will get the quality products at cheaper price. Standard of living will improve. Supply will increase which definitely helps to meet the demands as a result Inflation will reduce. Which helps the RBI to reduce interest rates.

However opening FDI in retail sector or any other sector, will expose our Indian Economy to Global risks. In 2009 when recession hits the world our Indian economy didn't get much affected, because at that point of time our Indian economy is not much that expose as it now.

My suggestion is FDI should be allowed in retail sector, but government should frame policies which helps in boosting the domestic manufacturing. Moreover there should be restriction in repatriation of profits, so that there should be stability in the value of Indian Rupees. The government should establish a regulatory authority which will keep a check on these companies, so that these companies will not take undue advantage from farmers and does not involve in malpractices.

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Rao Lax Yadav said: (Mon, Aug 11, 2014 04:20:58 AM)    
In my opinion FDI in India should be allowed but there should be some strict rules and policies to control the level of involvement of FDI in Indian market.

It should be allowed partially not 100%. In every field it has its pros and cons,

Eg. If we talk about FDI in retail sector then it has various advantages and disadvantages too.

Advantages are - it will provide better infrastructure.

Better quality of product.

Inflation rate will decrease.

It will boost the economy and will increase the GDP of our nation.

Disadvantages - it will affect small scale businessmen.

Unemployment will increase etc.

At last I want to conclude that FDI should be allowed for small period of time with strict rules and policies.

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Sivaramakrishnan said: (Sat, Jul 26, 2014 10:49:53 AM)    
Hello Everyone,

According to me, FDI is having both advantage & disadvantage. Advantage in the sense, It will be creating direct and indirect job opportunities to everyone & through FDI investment, Indian Economy will be going to upwards. At the same time, the small retailers will be getting affected by the FDI. "Prevention is better than Cure". So our Indian Government should correct the FDI policies to save the small retailers of our country.

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Shankey Kumar said: (Mon, Jul 14, 2014 03:22:12 PM)    
Hello friends, acc to my point of view, the FDI in retail sector will come but with the restriction that government should hold the complete control on the foreign companies such that government should immediately cancel the licence of these companies whenever government feel that these companies are harmful or useless for country.

No doubt, today with the coming of foreign company provide benefits. When these companies come in India, they can open their mall in big cities and they can purchase things of daily needs directly from farmers as a result of which their is decrease in the price of products because of removing of mid stakeholders. Also the quality of products is good. With the coming of these companies, the farmer get the right value of their products. Also there's increase in dollar in India which help to improve the economic situation in India. There are also large number of peoples who get work in these companies. With the formation of big malls, there is also improvement in infrastructure.

But we can't ignore the harmful effects of these companies like it can totally damage the value of local shopkeeper as a result of which there is increase in unemployment.

So at last I conclude that the foreign companies should come in India and they can open their mall but the government take complete control on these companies and make a complete arrangement of all the person who are effecting after coming foreign companies.

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Rajesh said: (Thu, Jul 10, 2014 01:52:38 PM)    
Hello friends.

I am in favour of FDI in retail. India is a developing nation and like any developing business the Indian market also needs lots of investment for its growth, for the growth of the country. I agree with one of my friend as he says that we talk about globalisation on one side and put off the idea of fdi on the other hand.

I just want to put some valid points why it is necessary in a developing country like India.

1. Stable economy.
2. Low inflation.
3. Access to the advance technology of the world.
4. World class infracture.
5. Better utilisation of resources.
6. Good foreign exchange.
7. Increase in employment.
8. Increase in the no.of trained labours.

These are just few but major advantages. Now I want to give some practical data from India and across the world.

Before 90's FDI was not considered good for the country. But after 91 when FDI was allowed in India.

1. GDP grew from 1.7 % to around 5% in 95.

2. Inflation came down from 17% to 7% in 95.

3. Financial deficient came down to $1 billion from $9 billion in 95.

Now if I talk in the context of the world there are many asian countries where it is accepted heartedly. Malaysia, Singapore is such countries which accepted this policy and all of us are aware of the development of this two countries. In china they have the policy that chinese government won't accept an investment below a certain amount but it may go upto even 100% investment. The minimum investment should be 25% in china. Similar is the case with Thailand. But in India we talk that investment should not be higher than a fixed value in most of the sectors. Currency reserve bank of India allows fdi with max 51%.

Investment in most of the sectors except one or two sectors where it is 100%.

There may be some demerits also of FDI like.

1. There may be monopoly in the market if a particular investor is the major player.

Bt I think this problem can be sort out with some strict rules and of course if our leaders play their role actively and wisely.

Over all I want to conclude that FDI is very necessary in India if it wants to run on the track of developed nations. There may be some demerits but it has major advantages as compared to demerits. And we should change our thought for this. We should try to look the other side of the coin which has many gifts for us.

Thank you.

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Rahul said: (Sat, Jun 28, 2014 07:23:51 PM)    
I am ok with FDI but not more because India need FDI in some place which not developed for long time. Government should allow FDI in undeveloped area. But it is not used for log time period. Today our country economic very low we need some boost from foreign country. In some place. This is my view on this. Thank you.

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Tapas said: (Thu, Jun 5, 2014 11:37:40 PM)    
In my opinion FDI has some advantages as well as some disadvantages. At certain angle it seems like a weapon of globalization of our economy but also its disadvantages are so much influential that it can't be allowed at once. Because the no of people gets affected by this are large and it is not favorable. So Govt should take the initials to strict the middlemen and should allow controlled FDI in some sectors which are not a state of art at all. So by this an environment is needed to be created because all revolutions need an environment. After that FDI has to be allowed gradually and controlled way to agriculture and other daily life product sectors. Because we can't avoid FDI if we wish to grow globally but a time horizon in needed to apply it in our mixed economy system.

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Amulya said: (Tue, May 20, 2014 11:18:20 AM)    
Retailing is one of the pillars of the economy. India's retail sector contributes to 14-14-15% of the GDP. WE have one of the world's largest retail markets. It is estimated to be us $500 billion. Its very fast growing.

Until 2011 India has denied fdi. In november 2011 Indian govt had announced reforms in both multi brand retail and single brand retail which paved way for innovation of the market. Fdi has brought in competition of the Indian retailers with global mncs like wal-mart, tesco, carrefour. Inspite of strict opposition Indian govt had allowed full ownership in single brand retail from jan 2012 with a requirement of sourcing 30% of goods from India. Multi brand retail was given 51% of ownership allowance from from foreign retail in dec 2012. Because of heavy uproar from the opposition, only some states would allow for this.

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Sumit Ojha said: (Mon, May 19, 2014 01:16:12 PM)    
Hello Everyone.

I am in Favour of FDI.

On one we talk big about globalisation and on other hand we stop it if what we sell is buying is good but if what the sell is buying then it is bad.

Yes it is true that the FDI has cons but they do not underline the pros.

When the country is capable of doing something we should not stop competition rather we should raise our standard to meet them or take them down.

Talking about the good points there are many.

1. Liquid money to Govt.
2. Infrastructure.
3. Jobs.
4. Better choice to buyers.
5. Standard of living.
6. Demand for the local commodities.

And many more,

Yes there are bad points as well we should properly implement the rules and have proper guidelines to minimize the negative points.

But totally stopping the FDI will be a Loss to country as well as to the local retailers as they would not know their status and will be in disillusion that they are at the top of chart.

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N K Jayaraman said: (Sun, May 11, 2014 06:01:31 AM)    
Dear All,

FDI in retail sector is good for India, so long as we are not upto the mark in doing.

The retail properly. Our country has a vast population which is a big market. Day to day retail needs of Indians are increasing day by day both quantitatively and qualitatively. The private retailers in India are interested only in their well being. Government doing retail has its own deficiencies due to the uniqueness of Indian market. For maintaining quality of products, there must be competition between public sector and private sector. Why we should be enamoured by the fancy packaged products of FDI and find fault with them.

Instead the ultimate users of retail markets that is buyers must become choosy about their day to day needs and ensure that they get the best either from Indian retailers or FDI developed retailers. If inviting investment into our country is of paramount import there are various neglected areas where nobody wants to look at. Government can regulate FDI to an extent by allowing them to do retail only and only if they cater to the neglected areas, as also plough back the profits generated out of their investments into our own country without allowing them to take it out at least for a 5 year period.

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Prashant Chaudhary said: (Fri, May 9, 2014 06:47:54 PM)    
Hi folks. FDI (foreign direct investment) is a burning issue for many months and years. Till 1992 Indian government followed licence permit due to which India had lack of foreign currency, so they were unable to buy crude from gulf countries, in the government of P. V Narshima Rao, finance minister Dr. Manmohan Singh proposed 'Globalization' term in contemporary budget, which opens the door for foreign investors in India, thus foreign investor can invest in India and this situation is called FDI in economic term.

FDI is very important for India because it gives the chances to Indian government to earn foreign currency from foreign companies. There so many examples of FDI in like SEZs, PPP model these things gave boost up to India economy to reach on its zenith.

Shine India dazzling buildings marvelous infrastructure is a boon to India which given by FDI.

If we talk about economic power of India in the Asia and in the World it happened due to FDI India. FDI is good in retail sector, Indian government has been provided 100 percent investment to companies it means that companies can purchase and sells goods in all over India easily.

But 100 percent FDI in retail has drawback too, it has removed hawkers from the market.

Which occupied a large no of place in the market. Thus hawkers has lost their jobs and they have nothing to do now.

So government should take care of hawkers too.

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Vishal Advani said: (Fri, May 9, 2014 12:28:11 PM)    
Hello Friends.

FDI in Retail sector:

No I am not in the favor of FDI in retail.

"Competition is always in the favor of consumers, monopolies not".

1. They adopt Predatory pricing strategy.

Predatory pricing (also undercutting) is a pricing strategy where a product or service is set at a very low price, intending to drive competitors out of the market, or create barriers to entry for potential new competitors.

How it works:

Big brands like Wal-Mart, Tesco etc. Buys goods from farmers or manufacturer in dirt cheap price then they sell those products to customers after adding up their margin on it. This process continues till other competitor exit from the business.

After then they start up rising their profit margin on the product because it is only available in their stores.

Painful Experiences:

1. On feb.2008 European Union adopted a declaration because of farmer's protest around the euro zone. In that declaration it was stated that - evidence from across EU suggests large super stores are abusing their power to focus down prices take suppliers to unsustainable levels and impose unfair condition on them. The declaration came because of farmers protests in front of super markets across European countries like France, Italy, Netherlands, Belgium the nature of the complaints are similar in the zone, which are as follows:

The giant retailers were squeezing the pricing paid to the farmers for products like milk & meat etc. And in some instances forcing to sell at below cost prices.

2. On jan 2010, Bob Russell, MP of Britain told that "Britain was a nation of small shopkeepers all of that has changed and it is because of the super markets lead by the giant companies. It's impossible for small shopkeepers who have so much to offer to compete with the prices of super market. One on six small stores in Britain has gone out of business in the last decade."

3. New initiative started in USA which is named as small business Saturday which promotes small scale businesses in which buyers buys goods from small shops on Saturday to help and promote small scale businesses across the country including New York, Boston, Los Angeles, and Miami.

4. Amul being most successful cooperative society still farmer are protesting and R. S. Sodhi MD of Gujarat Cooperative Milk Marketing Federation Ltd. (Amul) said that "farmers get the least returns from the modern trades and so called efficiency benefits only get by large retailer as they constantly drive down the price rates.

5. Another example of Pepsi, when the Pepsi factory was under its setting up process in the Punjab, the farmers of Punjab protested because the Pepsi authority committed to purchase the potatoes of the farmer but later on the reject and told the farmer that there potatoes are not up to their standards which is used in making up wafers chips and they have imported potatoes from the foreign countries.

6. Only 30 % is mandatory to purchase from Small and medium enterprises (SME's). What about rest 70%?

7. The large supermarket will import rest 70% which will increase current account deficit of the India. It will demotivate the small and medium scale industries. Hence it will increase unemployment.

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Prashant Kumar said: (Fri, May 2, 2014 01:38:06 PM)    
FDI means foreign direct investment where business in the country by another country. According to me India is now a developing country. There is need of FDI in my point of view, because this increase the flow of money business and technology such as in telecom automobile etc. An increase in FDI may be associated with improved economic growth due to the influx of capital and increased tax revenues for the host country.

Host countries often try to channel FDI investment into new infrastructure and other projects to boost development. Greater competition from new companies can lead to productivity gains and greater efficiency in the host country and it has been suggested that the application of a foreign entity's policies to a domestic subsidiary may improve corporate governance standards.

Furthermore, foreign investment can result in the transfer of soft skills through training and job creation, the availability of more advanced technology for the domestic market and access to research and development resources. The local population may be able to benefit from the employment opportunities created by new businesses.

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Raj said: (Thu, May 1, 2014 02:36:29 PM)    

Fdi in retail has its own advantages and disadvantages to Indian economy:


1. Due to economies of operation. Production facilities will be available at cheaper rates thereby availability of large variety of goods to ultimate consumers at reasonable and cheaper rate.

2. Availability of new technology leads to give development of infrastructure in domestic country.

3. Long term cash liquidity.


1. Agriculture.
2. Breakdown of small shops.
3. Decrease in rupee value.
4. Internal resources.
5. Manpower in rural area.
6. Productivity.

Therefore, FDI in retail can be allowed with some good regulations which cannot affect on rural part.

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Mahendra Choudhary said: (Tue, Apr 29, 2014 01:23:25 PM)    
In a developing country like India allowing FDI may help in booming the economy. But, this will only be up to a certain period of time only. Initially, India will get employment but that may also affect the middle class people who are mostly depended on small business. The employment provided by FDI will be of low class like, sweepers, security guards, etc. FDI saying that the farmers will be benefited but, their land used for cultivating the crops by spraying large amount of pesticides will be infected.

Ex. FDI using one farmers land for one year. It will cultivate large amount of crops by using pesticides indirectly affecting the land's quality. After one year that land will be poisoned. Then FDI will shift to next farmer spoiling that farmers only land.

The quality of food items will reduce due to mass manufacturing and large storing and high demand because only one firm is there to satisfy the need. But, now there are many local small firms to do this.

Also, allowing FDI we will have development of particular class of people only. Small business families will suffer. Remember the implementation of LPG in 1991. This led the many consequences into the Indian society causing a lot of corruption and development in only some classes of people. Indian investors were affected and only foreign investors were profited causing instability into the Indian market.

If we want development we need to have FDI only foe some period of time. Allowing foreign investors to invest in Indian companies. Creating more Indian entrepreneurs and helping them to rise their organizations.

A country is only developed if all class of people are developed. Purchasing the thing one rupee more will not matter because that rupee will be in my country only.

Example- One local market with 10 small shops. There are 10 Indian owners, 10 Indian managers and almost 100 workers who are treated equally. But consider that whole market into one FDI mall. One foreign CEO, one foreign manger, 10 Indian sweepers, 10 Indian toilet cleaners, 10 Indian security guards.

Giving this kind of employment will make us slaves.

I strictly oppose FDI in India.

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Sravs said: (Thu, Apr 24, 2014 07:57:01 PM)    

In my point of view, FDI is not at all good for India because India is a country with lot of rural areas. If we support FDI the rural area people position will become more hard because instead of increasing their economy it decreases their economic growth. And as a Indian I won't support in decreasing of our economy by buying foreign products.

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Robin Tyagi said: (Tue, Apr 22, 2014 10:54:42 PM)    
I am of a view that FDI in India should be allowed and encouraged only in those sectors in which the country doesn't have a state-of-art infrastructure and also in those where we need heavy imports from other countries.

We must not take any inefficient decision in case of FDI but should give it a good (not very long) stretch of time and thus come up with a solution that is accepted by the people that eventually benefits the economic as well as the social condition of the nation.

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Rohit Batra said: (Sat, Apr 12, 2014 06:34:38 AM)    
India is a developing country and our economy has been bad from a long time. Introducing FDI in retail sector would sure boost the economy for years ahead, not to mention the other added benefits like lower prices of commodities for consumers, better quality products, employments, etc. These benefits cannot be achieved from investments within the country, for one we are not capable of such huge and long term investments. We cannot even compete with foreign companies in providing all such benefits in such low margins.

Also, we don't have much cash inflows from other countries to India because we lag behind in money and technology. And so the economy is weak. Other countries which have FDI and are yet economically strong, for eg. China, are far more developed than India. China is highly advanced in terms of electronics, manufacturing and technology and has business globally. Therefore, its people are capable to compete with foreign investors.

In India, in a long run, FDI is going to worsen the economy. Once the initial and setup investments by foreign companies are recovered and they are well established, they will start earning profits and Indian money from the consumers would flow to these foreign countries making the economy of India gradually weaker.

What we need today, is to strengthen the economy first. Sincere and dedicated development is required in terms of every field you name, technology, education, construction, management, manufacturing and everything else. Thats the only way to improve economy and the money inflow to India, not FDI. Then only we would generate employments for our people and be able to provide better and cheaper products to our consumers.

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Deshraj said: (Wed, Apr 2, 2014 07:24:47 PM)    
According to FDI in India should be allowed but in those sector where we have to import the material from foreign countries. Then it will increase employment rate and also reduce the import charges or formalities.

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Kumar Shantanu said: (Wed, Apr 2, 2014 04:01:17 PM)    
I want to support my opinion with some statistics.

1. China receives $ 116 Billion as FDI inflow and considered as one of the best FDI destinations and the main reason is it has increased its integration with the world and has taken a path to true progress. Whilst India suffers from economic and FDI stagnation due political friction as it receives only $ 16 Billion FDI inflow and that too has got a downward trend as foreign investors lose faith in Indian market and politics.

2. Secondly, political and social situation of the country is alienated with prejudices such as decline of small retail shops and increase in unemployment. This serves as biggest hurdle in economic development.

3. Thirdly, it would increase quality of product and services to consumers and would serve as an effective measure for the elimination of those middlemen who are parasites thriving on the cost of consumers.

4. Fourthly, it would give impetus to globalization and appreciate employment opportunities in MNCs, BPO and KPO sector.

5. Fifthly, it would act as an incentive for technological progress and would keep India at par with the latest trends in technology.

6. Sixth, it would increase internal competitiveness of the economy and an apt old saying goes with it. "Competition appreciates performance".

7. Seventh, it would provide India a voice in international forums and market and increase its importance at global level.

8. Eighth, in edible sector only when McDonalds and Kentucky Fried Chicken (KFC) came into India. Intrinsic Indian industries such as Haldirams and Bikanerwala had gone global to acquire foreign markets.

9. Ninth, China being largest recipient of FDI. Neither did it lose small businesses or cottage industries nor it became a slave of other countries. A well controlled and cleanly managed FDI operates in China which has accelerated its economic growth rate.

In conclusion, I could say that what India needs in FDI appreciation with NECESSARY and SUFFICIENT degree of control over it. Here the words SUFFICIENT and NECESSARY means a lot as it advocates both welfare (check on exploitation, unemployment etc. ) and also relaxation of meaningless restrictions to take a path and initiative of true progress.

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Ankur said: (Mon, Mar 31, 2014 09:54:25 PM)    

FDI is a good opportunity to the government because it is the big cause of the boot of our government but everything has advantages and disadvantages if we say that it is totally wrong it is not good it gives the boot to the government as well as the retail sector but in todays time we are suffering from the problem of unemployment which is the cancer to the youth if we accept the fdi we increase the boot for the government.

But also gives a boot to the problem of unemployment.

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Sowjanya said: (Sun, Mar 23, 2014 09:07:25 PM)    
In the present era, Foreign Direct Investment plays one of the major role in the development of economy of the country. The entry of foreign companies into Indian Retailing will not only create many employment opportunities but, will also ensure quality in them. This helps the Indian human resource to find better quality jobs and to improve their standard of living.

But even though FDI in retail helps in creating employment, there are many disadvantages too. The organised retail will tend to dominate the entire consumer market. The entry of foreign retailers in our country will not only hit the livelihood of the local retailers but also the middlemen working in their industry may be thrown out of the job. Since the look for a place in the heart of cities to establish their company, the real estate value increases.

As a coin has two sides, everything has its positives and negatives. But since there are many negatives over positives, Foreign Direct Investment in retail sector is not good for India.

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Kishan said: (Fri, Mar 21, 2014 11:40:52 PM)    
According to me FDI in retail should not be allowed in India. Although it will decrease the price initially but in the long run, it will make the Indian markets more prone to international fluctuations. And which will harm the economy. Moreover it is seen in many countries where FDI in retail is allowed that there is sharp growth in the rate of unemployment.

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Swaraj Pattanaik said: (Fri, Mar 21, 2014 12:05:20 AM)    
According to me FDI is good as well as bad for our country BECAUSE. If govt is allowing it then automatically few things will get develop such as:

1). Employment.
2). Economy.
3). Lifestyle.
4). Awareness about the foreign brands.

But in other side similarly the effect will be on,

1). Agriculture.
2). Manpower in rural area.
3). Productivity in some sectors.
4). Breakdown of small shops.
5). Decrease in rupee value.
6). Internal resources.

And many more things. If we 'll see it as from a different angle then the positive side is much more less than than the negative side for FDI in India.

Lastly I'll suggest that, there should be some tight rules and regulation for allowing the FDI in India and which 'll never make a effect on the rural market as well as in our core production system of agricultural products.

Thank you. :).

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Tushar said: (Thu, Mar 20, 2014 11:40:50 PM)    
Hello Everyone,

In My point of View FDI in retail sector should not be allowed in India.

India is a Very Big Country and more Importantly is a developing very fast. Indian Government Can bring policies which are friendly for local Entrepreneur's and promote the existing technocrats. We have many Indian companies which does far better job's even in current situation's.

The Organized Retail is accessed majorly by Tier 1 & 2 Cities what about the Rural Indian's who stays in Villages who will be left aloof. Which will Create the Gaps between rich and poor. Even Today more than 70% of Indian Population does not have easy access to this sector. So bringing in FDI is like calling for mechanism which will suck our actual money and take it away to other countries.

Technologies brought by this foreign Companies can also be very well emulated by existing technologies. We indian's have excellent brain's and can very well devise our own Technologies for this sector if needed so.

Bringing FDI can give a Booster dose to GDP growth immediately. However to ensure the consistent growth Indian Govt will have to pitch in time and again to create conducive environment even for this foreign player's.

Indian Govt Better Frame the alternate policy which will involve Indian's and focus more on inclusive growth as the same can be sustained for longer time to come ahead. This will also improve the Morale of all Indian's.

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Chanda said: (Thu, Mar 20, 2014 02:23:10 PM)    
Hello everyone,

According to me FDI should not be allowed in India because it will largely effect our local retail sector. As the rupee value is demolishing day by day these foreign countries will be able to provide goods at a very low price which will not be affordable to our local sellers and hence they will have to close their medium of livelihood. As we all know that India is a poor country and there are very few sources of income after arrival of these foreign huge companies the sources of income in the Indian market will become almost zero. And after reading all the stories and history of British-raj in India I fear that our country will be slaved for another 200 years by another foreign reign, I know I am sounding a bit stereotypical but before letting those countries enter in our country again we should start searching for another Mahatma Gandhi!

Thank you for listening :).

Rate this:   +43   -7

Umang said: (Wed, Mar 19, 2014 02:13:08 PM)    
Because of the collapse in value of rupee, people are facing a huge problem of Rising Prices. As compared to this, the cost of foreign products is less. Moreover India is the 3rd largest producer of agriculture, but we do not have the technologies to process the goods. FDI gives new technologies to make the goods look more presentable and efficiently usable. Rate of Employment also increases. And while working in these foreign organizations one can learn about the good areas of their culture. We can continuously work better and get to a high level job as well. And then, after reaching to a magnificent position, we can cultivate Indian morals and values at the foreign grounds. It can only happen due to this collaboration.

Rate this:   +21   -9

Akshay said: (Tue, Mar 18, 2014 07:30:11 PM)    
According to me FDI should come in India because it gives us employment may be it harm our local retailer but after fdi in India there is stuff is easy to buy and directly we get profit because we get the things in much less amount.

Rate this:   +7   -11

Vinoth.M.K said: (Tue, Mar 18, 2014 11:13:58 AM)    
Dear citizens of India, we should be unit in opposing the FDI to develop Indian economy and to save Indian small scale vendors, the large scale foreign vendors will gain the money from our fellow people and don't let the small Indian vendors to gain in business and Indian won't get any income and Indian economy goes down, so please stop FDI in India.

Rate this:   +17   -2

Ramya said: (Sun, Mar 16, 2014 01:06:10 PM)    
FDI in retail sector is like a coin. It has 2 sides- positive and negative sides. When FDI is accepted by the government it will improves our standard of living, increase the quality of products, development of modern technology at same time it will affects the poor people. They cannot even able to afford that. Due the development of modern technologies it reduces the manpower in the sectors.

Rate this:   +18   -3

Vishal Bhayani said: (Fri, Mar 14, 2014 02:06:02 PM)    
HI friend.

In my point of view FDI in retail is good for Indian economy. Because of it it grow fast as well as increase the standard of living of people. There are several benefits as under.

1. Increase employment.

2. Customer get good product at reasonable price.

3. Farmer get enough price for his product.

4. All brand under one roof.

5. There are many option available for customer to chose best among the various brand.

6. New technology are come and it helpful to fulfill customer need.

7. Because of employment the national as well as per capita income will increase.

Thus this all are the benefit of FDI in retail are to be in come.

Rate this:   +37   -25

Pawan said: (Fri, Mar 14, 2014 09:55:54 AM)    
FDI in retail should not be allowed in India as of now, our country is facing a big problem of large unemployed population and this must be solved as soon as possible. But bringing FDI is nothing but a bad idea because if Indian government allows it, they are just destroying Indian market and making a space for foreign investors. It will for sure reduce the manpower need so it will not increase the job opportunities but Reduce it for sure.

So my point of view is. . FDI should not be allowed.

Rate this:   +18   -6

Bharat Choudhary said: (Thu, Mar 13, 2014 06:07:51 PM)    
Hi friends,

I hereby speak in against of FDI in India. For which to support I have a short story to tell.

My Father has a medium size grocery shop in the market. He explained this scenario with the real facts which he faces often in the competition.

He told me that if a small or medium businessman opens his or her shop in the neighborhood then we can tackle the situation with hard work and dedication.

But when a big firm like 'more market', 'reliance' or 'big bazaar' opens their outlet then during the first six or eight months of their operation they offer a huge and continuous discount which helps them to draw away the customers from traditional markets.

This way the local traders lose their ground and are forced to shut down.

Once the locals are gone then they start their real agenda and capture the whole market.

So, you can now imagine what damage the 'big' players are going to do (of course removing competition instead of creating one).

Rate this:   +70   -4

Arnab said: (Wed, Mar 12, 2014 08:02:50 PM)    
Hello friends,

According to me, FDI should be allowed in India but in a controlled way. By controlled way I mean to say that FDI should be allowed in those sector where we don't have the edge of excellence eg- manufacturing of arms and ammunition which can boost our economy to a large scale. We all know we still import all our defence needs from other countries. So by allowing FDI in these sectors we can not only become self dependent but we can make a good profit by selling these products to other countries.

Thank You.

Rate this:   +17   -9

Vignesh said: (Wed, Mar 12, 2014 10:47:29 AM)    
Hello friends,

FDIC has both positive and negative points in it but I m against the FDI, it only create a space between the rich and the poor but also makes a disaster change in every fields even in agriculture too! Introducing a new product in market by foreign industries by the attractive ad makes a common man to buy it and so the problem starts from the lower side. By this way each and every dept affects by it also the government.

Rate this:   +21   -3

Jos said: (Fri, Mar 7, 2014 06:32:37 AM)    
Hi friends,

If government allows FDI into retail, we will face a lot of problems in Economic of our country. They will have to increase modern technology. Definitely it will affect our employment opportunity. They will try to replace the manpower and they will not consider the rural area development.

My point of view, Our government should not allow FDI into retail market. Suppose They allows FDI, after 5 years, India will become poor country. So we should not allow culprits into our powerful country.

Rate this:   +23   -33

Kp Mukesh Kumar Singh said: (Thu, Mar 6, 2014 02:01:20 PM)    
Hello to all,

I would like to put some points in the against of FDI.

It is very simple perception to all that is, if Indian government allows FDI in retail sector then it will certainly sort out a number of jobs in retail sector. Friends as country like India is facing problems like unemployment, corruption, anarchy etc at a large extent.

Allowing FDI in India will have drastically effect on its economics and overall development. That is if FDI is establishing in a particular section of a sector it will modernize its working infrastructure, more advent of technology and installation of machines will definitely replace manpower in India.

And we are also unemployed and facing the same problems in getting jobs, don't we. We know this fact very well. I want to clear one misconception about this fact FDI will not create jobs but cut jobs. According to a statistics FDI is vacating approx 12 lakh people in India from various sectors and for example we are well known to this fact that there are approx. 12 lakh people employed in Indian railway, suppose this people are withdrawn suddenly from this sector then where will the people go for bread and butter. Think. What will be the situation.

Then you can imagine the consequences after 15- 20 years. If someone is talking about the development of our country. Listen carefully India will develop when its downtrodden society, backward people in village side will develop. We know FDI will not benefit the rural areas, then why are we talking about the development of our country by FDI.

Also it has same adverse effect to other sectors also. By the time Indian market will go in the hand of foreign company and then they will regulate as their policy. Only talking about the technology and black money that FDI will give is not sufficient for the development. Who will talk and contemplate about the small issues.


At last I would like to say that there is a great need of establishing company in India. Indian industrialists are opening their companies in foreign. Why are they doing so, is their lack of talent or entrepreneur in our country.


Rate this:   +131   -20

Gurleen said: (Wed, Mar 5, 2014 05:56:37 PM)    
Everything has pros and cons. FDI in retail too.

Many appreciate it as it does allure everyone but it is hard to see its dark side at once.

India is a developing country suffering from issues like increasing population and unemployment. I can't see in any way FDI can increase job opportunities. It might be for the smart and educated section but what about uneducated and poor people, (basically for whose development government talks. These people who earn their livelihood by involving in small businesses or as workers in retail sector will be just thrown out of jobs left poor again.

This will ultimately increase the gap between the rich and poor. Unless this gap is made least India can never come under developed countries.

Allowing FDI is allowing foreign market to set up in our country and destroying our own.

Its just the same as we used to read in fairy tales, 'A house made of candies, no one gets to know that the wicked witch resides inside'.

Rate this:   +47   -7

Gurleen said: (Wed, Mar 5, 2014 05:01:31 PM)    
FDI allowed in retail is a good step as it increases competitiveness which further provided better prices for buyers as the market is not under the control of only few persons in businesses. TESCO and WALMART must be welcomed. These will enhance the living standards of people which will ultimately lead to country's development.

Rate this:   +18   -39

Shantanu Ghosal said: (Tue, Mar 4, 2014 12:25:57 AM)    
Hi Friends.

Before we level FDI in multi brand retail we must understand the need of the hour.

Our country is facing some severe levels of fiscal deficits with dwindling foreign currency reserve. To add to that we have a falling currency and US taper is creating more pessimism among the investors who are withdrawing their money from the market and which in turn is pushing up the inflation rate. So in short it can be said that we are in real need of a massive level of cash influx in a short term into the Indian market so as to rejuvenate the market. And FDI is the best solution to this crisis.

Even the rationales presented against FDI do not hold good if seen in depth. First of all giants like WALMART will be opened in metro cities which already have so many Marts installed in them. But their the small shops are functioning as they used to. Through FDI many other foreign companies like TESCO etc will also enter the Indian Market not just WALMART so there is no chance of monopoly rather competition among the foreign and Indian companies will increase which will bring the prices down, create more employment and thereby better services to customers. The kirana shops will also lose their strong hold and practices like black market, hoarding will stop and they will also be forced to sell at legitimate prices.

Institution of Middlemen will also be destroyed and peasants will be less exploited and more benefited as the companies will also help them out by providing better technologies. All-in-all its a qualitative move and should be encouraged.

As of Indian customers, a large fraction of it are credit customers so they will never stop using the kirana stores. Its a win-win proposition and needs to be accepted.

Rate this:   +30   -13

Santakt92 said: (Sun, Mar 2, 2014 10:12:06 AM)    
Hi friends, according to me fdi is not good for health of Indian economy this is because India in itself is a big economy we have to find the way how to use our policy for the beneficial of our economy. In our country their are various opportunities for the Indian investors but the policy the Indian investors is not good. Our ministers are only thinking for his own bank they don't think about Indian's people bank.

If we make the policy of investors easy for Indian then only we can make more and more people rich and at the same time we have to appreciate their efforts by giving them some financial help. Due to fdi there is no way for the growth of small investors and middle as well. The difference between the rich and poor increases. This is not good for us. So fdi is not good for present Indian economy.

Rate this:   +7   -10

Amol Deshmukh said: (Sat, Mar 1, 2014 04:23:52 PM)    
I am not appreciate that FDI is not good for our nation because of as we think as an investor point of view such a investor can invest in the investment avenues it needs more return from it and the fdi such part of investment to foreign nation so our country is debtor and needs to pay back and its impact outflow of fund from our country.

Other countries adopt institutional investment policy for raising the fund (Ex. Mexico - call money from public) so why our country not adopt open market operation it is better so why our country not adopt it?

If fdi is good so why our country adopt 100% FDI In all Sector?

If you think blindly for capital adequacy it is good but if you think as an long term investment point of view it is harmful to our economy.

If we adopt the policy of Institutional investment in the forex and start hedging on behalf it is better option to getting the returns from that investment avenues.

So I think fdi is not good for our nation.

Thank you.

Rate this:   +11   -16

Vaishali Sharma said: (Sat, Mar 1, 2014 12:13:17 PM)    
Hello everyone :-).

FDI in India according to me at present is not more than just a quixotic idea of the honorable Indian government simply because :

- It will have an extremely negative and deteriorating effect on the small scale industries as since FDI would increase the competition of the market to such an extent that all the weak firms will be eliminated from the market which would affect a large part of the Indian population making them jobless.

- Since the products will be available under one roof entrepreneurs with low capital will be finished.

- Increased gdp will be at the cost of dependence on foreign exchanges which would lead to a situation of high fluctuations in the Indian economy and an instability in Indian market.

- For increasing good relationship with other countries India has once committed a mistake for which it payed for 200 years and it is highly. Possible that the history may repeat itself.

- India is a developing country with most of its population being based on primary sector and thus the needs are also limited which is indeed a boon for the country as it does not gets affected by the depression twice.

- When it comes to corruption and bribery it is the duty of the citizens to have a control over it.

For instance if we have one of our family member going on a wrong way we cannot ask our neighbour to get him to the right path as it is our duty to do so.

Rate this:   +52   -6

Vaishali Sharma said: (Sat, Mar 1, 2014 10:11:35 AM)    
Hey friends;

FDI in India may effect the following sectors:

1. Agricultre and animal husbandry.
2. Mining.
3. Manufacturing.
4. Defence.
5. Power.
6. Credit information companies.
7. Insurance.
8. Petroleum and natural gas sector.
9. Courier services.
10. Civil aviation sector.

FDI in the various sectors may prove itself useful in the short run but when we think about long term profits FDI does not stand a chance. In sectors like agriculture and development of townships, housing, built up infrastructure and construction development projects where a large part of the population below poverty line can get job on daily basis may loose their jobs because of FDI projects and a direct link between the producer and consumer which would eliminate the chain of middlemen.

In sectors of defence, insurance and banking too much of FDI involvement may lead India back to the state it was in before 1947.

India is considered as the country with largest. Population in the world and thus the first and foremost goal of the government should be to educate and employ the maximum percentage of population which is just. Not possible through an investment like FDI.

Once India becomes a developed country FDI can enhance its opportunities and can widen its scope but till then it is just a quixotic idea and nothing else.

Rate this:   +15   -4

Kapil said: (Fri, Feb 28, 2014 12:59:41 PM)    
Hi friends.

FDI in India is good if we look it in short terms, because it will create lots of jobs as a salesmen and boost our economy with the inflow of foreign exchange. It will also boost real state business because initially it need infrastructure. It will increase the competitiveness in the market and provide good quality of products from different companies under one roof.

But friends if we look into it for the long terms we will losses control over the prices of products because it will finish the entrepreneurs who has low capital investment. It creates monopoly in the market and only these big stores decide the prices of products like vegetables and cereals which I think basic need of every human.

Today as a customer I want the prices as low as possible and the hike of prices in daily used products is completely depend on the whether of our country but if we allow these things then prices will depend on the dollars exchange rate also and we will not handle that because we don't have control over that. Even if we have good monsoon but just because of global instability we bound to pay extra.

See the examples of petrol in this case. I know we import petrol that's why we are dependent but even in the current FDI norms only 30% goods or raw material are mandatory from India rest they import from other countries. So why our politicians willingly give our neck in the hands on foreign companies.

Rate this:   +21   -3

Lalit Soni said: (Thu, Feb 27, 2014 10:33:09 AM)    
Hi friends.

There are some advantage and disadvantages of FDI in retail sector.


1. It will boost economical level and GDP of country.
2. It will also increase the employment rate.
3. Infrastructure sector will get better.
4. Relationship with foreign countries will get better.


1. Entrepreneur's will be destroyed.
2. Small industries will be affected very badly.
3. Developed industries like reliance, tata, aditya birla group. Etc. Will get great competition from FDI.
4. Large part of our economy will become fully dependent on FDI.

Rate this:   +32   -5

Rishabh said: (Mon, Feb 24, 2014 11:39:39 PM)    
Hii friends,

In my opinion! if we permit to introduce FDI in retail sector. We faces one of the big loss due to breaking of supply chain & our country is a developing country so our need is development of all citizens of its because here people not on a same income platform. A big part of population is below poverty line & a big part is very rich. So our first aim should be reduce this gap between people. It can only be eliminated by increasing the employment offers & if supply chain will break products will directly from the company to consumer. So in this domestic whole seller, retailer role will be finished. So medium sound businessman will go in loses.

Some people think by introducing FDI supply chain will be more efficient. How it can be possible. We can understood by an example:

Suppose 20 FDI store in India & each has 90 employee so total will be 90*20 =1800 people.

Now suppose each FDI store have 5000 customer (family). So total family attach with FDI is 5000*20 =100000.

Now suppose each 10 group of families purchase goods from one shopkeeper. So total shopkeeper affects is 100000/10 =10000.

So conclusion is at the place of 1800 jobs if we affects the 10000 shopkeeper & wholesaler will be in extra so how we can improve employment by introducing FDI.

Finally my opinion is not suitable for developing country like India.

Rate this:   +33   -8

Kiwi said: (Mon, Feb 24, 2014 02:12:33 PM)    

FDI has both advantages and disadvantages. Before adopting any system, we need to analyse the long term effects of it especially in the marketing structure we have. I do agree that the opportunities for development that FDI offers is very attractive. But does it suit India? Ours is a developing nation and the development that we have witnessed over last 15-20 years is tremendous. With all the resources of our country, we have reached heights. Then do we really have to depend on FDIs for development in terms of modern technologies etc. And considering the employment opportunities, I agree that FDI could bring boon to employment sector, but employment for whom?, the well technically skilled and educated or the local people who are illiterate.

I don't think they would consider the latter. Majority of Indian population are still illiterates though skilled. Lack of proper education keeps them behind. They does their living by small shops etc, . Why can't we consider them as entrepreneurs and encourage them instead of foreign companies. The results may be late and not rapid as FDI. But after all nation is for people!. Focus on common people for they constitutes the major portion in Indian population. Promote the Indian market and exports for we do have resources and diversities no other nation has. And an important part -the government!.

I am not sure whether corruption can be stopped, but am sure that it can lead to the development of our nation.

Rate this:   +65   -3

Ebin Thomas said: (Fri, Feb 21, 2014 02:49:02 PM)    
Foreign direct investment incentives may take the following forms:

*. Low corporate tax and individual income tax rates.
*. Tax holidays.
*. Other types of tax concessions.
*. Preferential tariffs.
*. Special economic zones.
*. EPZ - Export Processing Zones.
*. Bonded warehouses.
*. Maquiladoras.
*. Investment financial subsidies.
*. Soft loan or loan guarantees.
*. Free land or land subsidies.
*. Relocation & expatriation.
*. Infrastructure subsidies.
*. R&D support.
*. Derogation from regulations (usually for very large projects).

Governmental Investment Promotion Agencies (IPAs) use various marketing strategies inspired by the private sector to try and attract inward FDI, including Diaspora marketing.

By excluding the internal investment to get a profited downstream.

Rate this:   +4   -8

Jibin said: (Fri, Feb 21, 2014 02:45:28 PM)    
According to me FDI should be allowed as it will create win -win situation for both Consumers base (1.21Billion) and farmers (263million). FDI will benefit us through more efficient processes and price adjusted after eliminating middlemen share which will help cultivators to sell their crop at higher prices and consumers to buy product at low price.

Rate this:   +9   -6

Utkarsh Dwivedi said: (Thu, Feb 13, 2014 11:46:15 PM)    
Its a very important message to each and every citizen of India, so PLEASE DON'T NEGLECT IT.

I want to convey my this message to all my dear friends, who took part in this long debate, especially the one who are in favour of FDI.

Introducing FDI will be a great loss to our Indian Economy. As we all know that today our nation is counted in one of the developing nation in comparison to other countries of the world, so according to me first we shall try to develop our nation in spite of thinking anything else. We need money to develop our nation and if FDI will be introduced in our country it will take much part of our Indian Economy, by 85%, and for a developing nation really it will be a great loss. FDI is to increase our living standardization. All want himself to be standard, but before increasing our status, we have to be at that level. Unless our country is counted in developed nation, a FDI will just be a sucker of the Indian Economy, and instead of developing it will again be deepening in the terms of standardization as well as a good status in the world.

Taking all aspects, government should be very clear to the topic because once introduced, it will not be easy to take it out from the country. Just imagine the situation after 20 years, when our country will be attaining a good position and at that time, any of the FDI company increases its rate very rapidly, where will the citizen, who are poor, go to purchase the things when our Indian market will all be closed. And also there is no doubt that the history may repeat itself and we, the people of India will once again the slaves.

Rate this:   +81   -29

Aslam said: (Wed, Feb 12, 2014 11:29:28 PM)    
Hello everyone !. According to me FDI Helps in transfer of new technologies, management skills, intellectual properties. FDI also can increases competition within the local market and this brings higher efficiencies. FDI helps in increasing exports and increase tax revenues. We can say it is the development of our country.

Rate this:   +20   -26

Sonal Priya said: (Wed, Feb 12, 2014 11:57:37 AM)    
Hello Everybody,

In my opinion every thing have good and bad side so before forming any opinion about anything we should look at both its side. FDI has both benefits as well as loss.

The advantages of FDI are:

1). New jobs would be created.

2). India will get the facility of the latest technology in the world.

3). The economic condition of India will improve by the taxes paid by the companies that has received FDI or by the company set through FDI.

4). Competition among companies will generate better product.

5). Bribery, corruption, cronyism will decrease considerably.

6). The living standard of people will improve since goods will be available at lower prices.

The disadvantages of FDI are:

1). Small retailer will suffer.

2). People living in small towns or village will not get its benefits.

3). The main aim of FDI is to make profit so it will not focus on environment of India or health of its workers which are Indians.

So finally I conclude that FDI can be made a Boon to India if the government of India impose proper rules on them.

Rate this:   +135   -15

Parag Tadhani said: (Tue, Feb 11, 2014 10:22:08 AM)    
Hi friends,

In my point of view FDI is helpful for our country but some kind of situations.


- It takes 80% raw materials for our country.

- It employ 90% Indian labours and 10% skill labours which it brings.

- It take care of both farmers and customers means, in this condition farmers sell their Crops at higher prize but customer buy products at lower prize.

- Means taxes are relieved.

So, advantages of our country likes,

- Our country GDP increase.

- Employment is increase.

- Technology and infrastructure are increase.

- Our labours technical skill increase.

- Quality of product increase.

- Economy of our country increase.

But, another thing is that above all thing already increase without help of FDI if our political department stop the corruption and also lokpal bill will pass.

So in this thing I totally agree with kejrival.

Thank you.

Rate this:   +88   -26

Radhakrishnan V said: (Sat, Feb 8, 2014 10:50:46 AM)    
Presently we are accepting investment from foreign countries in two ways. One in the form if FII - Foreign Institutional Investors and other in the form of FDI. Where we know that there is no physical investment in FII, FDI is different. FII can withdraw their investment at any time depending upon the market conditions. So here is the story.

Presently in many areas FDI is allowed like Education, Telecom, IT, Pharma etc. In some of the areas FDI is allowed upto 100%.

Whenever FDI is promoted our country, Indian laws are not humanitarian to the foreign investor. The company cannot take the whole profit to their domestic country, but it should be reinvested in our country itself which makes it more fruitful.

It creates huge tax revenue. As retail sector is not organized, FDI in retail will make it more organized which in turn creates Huge tax revenue for the government.

It will help our country to bring down Fiscal Deficit as well as current account deficit.

It will avoid middle men. We should know that to manufacturing a product, the maximum cost is 25% of the product. Balance 75% is divided among the middle men like C & F Agent, Zonal Distributor etc. So both consumer & manufacturer will benefit by bringing down the product cost.

When FDI is accepted in other areas, these areas had become competitive as well as service oriented. Just imagine if we have only one telecom operator in our country (BSNL) and compare it with present situation.

In a nutshell what our country need is more investment to create jobs as well as contribution to the GDP. Need of the hour should be, how to regulate and control FDI in Retail.

Rate this:   +89   -11

Manish Malewadkar said: (Thu, Feb 6, 2014 07:34:30 PM)    

Talking about FDI for retail in India the very most advantage we come to know is the increasing job opportunities. But is it really so. We live in a democratic country where we are said to live in unity. FDI has its advantage in many ways for both i.e. we Indians and for the Retailers. But practically the most for Retailers. As we know India is globally known for the cheapest labour. We here can create many job opportunities within India if the work is done in a unity.

Why this retail chains form outside India are needed. Government should give emphasis on encouraging the small retailers to come together for a consensus. Number of retailers coming together can result into creation of Giant Retail Chain. Talking about the middle man for farmers why not government can try to make a authority which would legalize the middle man working and would monitor the exchanges are done within the given regulations which will ensure that both parties are well balanced appropriately.

Rate this:   +24   -8

Ashutosh Kumar said: (Thu, Feb 6, 2014 04:26:18 PM)    
Hello friends as we know that in our country a lots of unemployed are still searching for job, govt want revenue, and the farmer want to eliminate the middle man which usually charge high commission to make them sell their product so, if some company want to which invest in your economy and help you to get rid of these type of problem why not it should be appreciated. I think fdi in retail sector must be come into force it will curb the inflation as well as the other economy situation will also will get better. Gov should make policy which could be in the favour of our economy and should not make the MNC to charge or do the action against the economy of India.

Rate this:   +9   -13

Mohit said: (Wed, Feb 5, 2014 11:00:14 PM)    
According to me FDI should be allowed as it will create win -win situation for both Consumers base (1.21Billion) and farmers (263million). FDI will benefit us through more efficient processes and price adjusted after eliminating middle man share which will help cultivators to sell their crop at higher prices and consumers to buy product at low price.

Rate this:   +11   -3

Antra Jain said: (Tue, Feb 4, 2014 04:44:38 PM)    
Hello friends,

Although Foreign Direct Investment in Retail will help in providing employment and developing our country but this will create a problem for small Indian retailers to exist in the market as this will increase the competition for them. For small Indian retailers it will become hard to compete with the global retail chains. Retailing in India accounts for 14 to 15 percentage of GDP. Allowing FDI will benefit the consumer by lowering the price of the commodity and eliminating the middlemen but definitely it will create unemployment for semi-skilled personnel.

As global retail chains will prefer to hire trained and skilled personnel. If Govt, inspite of many drawbacks, still want FDI in retail, it should have to create rules and regulations to keep control and maintain the growth level in India. Govt need to consider all the facts regarding FDI positive as well as negative before taking any step. FDI may benefit in short term by providing employment and increasing the competition to bring out the best in all the respective areas but in the long term it will benefit the global chains only.

They will use our India for its own development. Instead of allowing FDI we should develop our Indian retailers to compete with global retailers by providing different growth opportunities.

Rate this:   +85   -8

Little.Spark said: (Mon, Feb 3, 2014 06:51:26 PM)    
Hello friends,

I considered your pros of FDI in retail and made some arguments as below:

Do let me know if I am wrong.

1) Some say it provide employment:

Why India is eager to do jobs when we can start business, as Income has contribution margin associated with it, while businesses run by Indian people can attract jobs and profit stays within Indians (so overall India is improving because 100% of profit is with India).

2) Elimination of middlemen between farmers and retailers:

It Can be done by Indian govt and Indian retail start ups if they want,

But I think govt want a huge capital so that they can start new schemes from that amount and eat up that money as always.

3) Prices will decrease:

I agree but only at the start, to eliminate the local retailers. You would say anyways I am getting cheap products, so what is the problem. Problems is in the long run i.e. after 15 years they will decrease prices when there is competition, suppose they somehow manage to eliminate opposition so you know they will raise prices to increase their profit and weak and corrupt Indian govt as usual can't keep them under check. I mean they would bribe the govt as earlier to get things done their way.

So to conclude:

In all FDI can be beneficial when govt monitors pricing, employment and contracts of foreign retailers,

For that we need stringent rules (law) , but the system of order in India is dull, corrupt.

So first before implementing FDI in retail we need our system to be clean, so that India can really benefit from it.

Rate this:   +52   -11

Pratikash said: (Sun, Feb 2, 2014 12:07:34 AM)    
Hi All,

There is much hue and cry over allowing FDI in retail sector in India.

Let me put down some points.

On a overall note, I think FDI should be allowed in retails with proper stringent policies in order to prevent manipulation of markets and economy and opportunities to an extreme extent.

1) Given the demographics of Indian economy, FDI wouldn't impact the entire market. It's just that people will ow have an abundance of options.

2) Going by the history of Indian economy, FDI would definitely contribute to Indian GDP.

3) India's Forex reserves would see an upswing.

4) It will definitely drive competition among the local markets both to sustain as well as excel. The government can chip in to make norms easier for entrepreneurs to start business.

5) A lot of both industrial and civic infrastructure growth would take place. The government should make the policies for allowing FDI in retail to make sure of this.

6) Tax revenues will enhance significantly, which can help the government in turn to allow it for subsidies for Indian entrepreneurs.

7) Policies while allowing FDI should make it mandatory to employ local people with inflation adjusted remuneration at all times.

8) There should be strict clauses indicating termination of business in-case of any foul play by these retail giants.

9) Better technology will lead to efficiency in process, and less wastage, efficient utilization of resources say for e.g we still lack proper cold storage infrastructure which leads to huge wastage.

10) Overall inflation will be in check.

So it all boils down to the manner in which government negotiates and sets the norms for allowing retails giants to set shops, so that it does not lead to complete monopoly, corruption, redtapism and exploitation of Indian people and resources.

Rate this:   +33   -1

Bikash Sethy said: (Sat, Feb 1, 2014 09:39:33 PM)    

I think FDI is very necessary in our country, because there is huge profit & taxes comes to our county. The main profitable thing is many freshers are engaged in those company. Secondly our country is not well developed like China, America, Australia etc. If we want to developed our country from grass-root level, then FDI is very necessary.

Rate this:   +5   -10

Eklavya said: (Sat, Feb 1, 2014 02:25:19 PM)    
The answer to "is FDI good for retail sector in India " is no. As India is a developing country the fdi would be a good option but we have to look basic market structure. In India the inclusion of fdi in retail sector will centralizes the marketing to a few big malls or marts and this will create a havoc among local shopkeepers they will be forced to go for jobs which are already a major issue So my solution for this is government should focus on strengthening present retail sector and bring more transparency rather than bringing FDI to India.

Rate this:   +38   -4

Renjith said: (Thu, Jan 30, 2014 07:05:25 PM)    
Hey guys.

In my opinion FDI doesn't bring much of a change. In the long run there may be increase in the revenue & a slight increase in the GDP but what about the Indian retailers. Bringing FDI may have given jobs, but the retailers & others who depend on them will be troubled by it the most.

Rate this:   +11   -7

Guri Sandhu said: (Thu, Jan 30, 2014 01:17:45 PM)    
Hello friend.

In my opinion FDI has both advantages and disadvantages, but as we India is a developing country and our economy is also not very strong, so there is a need of foreign investments but that also some conditions:.

1. They must employ the 90% Indian labourers and 10% skilled labour they will bring.

2. 70% of raw material should be taken from our country.

3. The incoming tax should be released.


1. Increase the GDP of India.

2. Improvement iv infrastructure.

3. Competition in market will lead to decrease in inflation and increase in quality.

4. Utility of our own raw material.

5. Learning from the skilled labourers.

6. Recognition at the world market.

When these MNCs are well settled, the local companies will also increase the infrastructure, qualities, low prices. AS soon as we become more capable these foreign companies can be uprooted.

By releasing them from the incoming taxes it will attract them but in turn we will earn more profit when they will export their products.

Rate this:   +27   -7

Aman Kumar Sharma said: (Wed, Jan 29, 2014 09:22:27 PM)    
Hello everyone.

According to me FDI should be there in our country because of following advantage:-

- Inflow of equipment and technology.

- Competitive advantages and innovation.

- Finance resource for expansive.

- Employment generation.

- Contribution to export growth.

- Improved consumer welfare through reduced cost, wider choice & improved quality.

- Provide access to global markets for Indian producer.

Rate this:   +8   -6

Dhaniya Laxman said: (Wed, Jan 29, 2014 07:06:28 PM)    
According to my point of view, FDI sector is good for India.

1. FDI will raise the level of competition for local retailers and due to this competition local retailers will make cheaper, effective and good quality product.

2. Consumers can choose products that suit them better.

3. FDI will increase the GDP of our country.

4. Yes, it is true that FDI can kick local retailers out of the market but the fear of getting out of the market will force local retailers to improve the quality, reduce the price and make effective products.

Rate this:   +18   -6

Subs said: (Wed, Jan 29, 2014 05:14:23 PM)    
I see a lot of Pro FDI people here. I have a view point.

If we let big HUGE companies like WAL-MART in, they will no doubt benefit the people by providing.

1. More Jobs.
2. Better quality products.
3. Middle Men get kicked out.

But these are the EXACT reasons that I am against FDI.

By allowing these companies to come in, we would be giving too much power to them. Imagine in next 20 years, these companies would have their roots deep inside our economy and would have too much power. They will slowly start influencing decision making of our country in their favor and by then we would not be able to keep them under check. Only Because these companies are too damn huge.

Initially farmers would be happy because of no middle men. But later on, just because there is no competition from the Indian side, these huge companies from abroad could demand to raise their prices at will and the Indian farmers would have no say in it.

All I am saying is this, think 15 - 20 years down the line. Of course our economy would be better than today. By that time these companies would be so huge that they could blackmail us into bowing down to them to every one of their demands or they would just exit and our economy would come crashing down.

FDI, to me, seems to be easier alternative to bringing up the economy as against promoting our own companies like say Airtel, which would promote healthy local competition and hence keep prices under check.

Rate this:   +19   -4

Rohit said: (Wed, Jan 29, 2014 12:24:32 PM)    
In my opinion introducing FDI is already present in retails also in our country. There are a number of products and brands dealing in retails we can look for example in the clothes industries, there are a number of brands.

Infact it was the FDI which saved our country while Globalisation and Liberalisation was introduced in our country. As in FDI an investor invests in a country in the country's currency only and therefore it helps in increasing both GDP and economy of a country. And where India stands today, if we compare it back with the India prior to 1991 is a really huge difference. So the gates should remain open for the foreign investors to invest in our company. That would certainly modernize our society and also make our economy grow at a faster rate. In addition to that it also produces a large number of employments for the people. If our people are not doing so much fir the growth of our country, if Indians don't have such a big vision or dream, let the government take appropriate measures to make our country reach at a good level. US is very much open to any kind of FDI in it and you can see the rate of development there.

Considering the millions of retailers in our country, they are still there and would always be there. Its just if they produce a product good enough with reasonable rates that people don't mind in buying than how is it possible we as a common man would buy the same thing from a foreign brand (except for the few cases of brand conscious people).

Rate this:   +40   -7

D Sridhar Rao said: (Wed, Jan 29, 2014 12:19:06 PM)    
Hello Friends,

In my opinion bringing FDI will definitely increase our GDP, by creating more jobs and increasing purchasing power etc. But at the same time we should see that exports of our products to other countries also should be increased. When we are importing their products then why not our products exports are not at par. If you see the history of any developed country, their GDP is high only because of exports not because of imports.

So, we should increase our products quality levels in-order to match with foreign brands and should be export to other countries. We should see that our exports is always greater than imports. This is the thumb rule to increase the GDP. It is not so easy task. We have to compete with world business leaders. Our political system should be very strong. We have to create our brand image in the World.

Rate this:   +18   -3

Risha said: (Wed, Jan 29, 2014 11:45:17 AM)    

I don't think that FDI would really affect the small retailers because the shoppers of small retail store are very loyal to them, they even don't go for shopping at the supermarkets and hypermarkets. It is true that FDI will bring employment, variety of products, great infrastructure but when there are organisations such as future group, reliance, etc then the Indian Government should encourage Indian retailers in association with the farmers to serve the country with quality and fresh products.

Rate this:   +8   -6

Ujwala said: (Wed, Jan 29, 2014 11:06:37 AM)    
Hii all,

FOREIGN DIRECT INVESTMENT will be a disadvantage. I'll explain it with example, suppose a pen costs rs 10/- local retailers are buying some 100 pens selling each pen at 11/- to earn a profit of 1/- on each pen, whereas FDI will buy a bulk of 1000 pens and when they are buying more quantity then local retailers, the producers will show interest by selling them to FDI people. When they come into the market, at starting they will sell it at 9/- people would prefer buying from the malls then the local retailers, this slowly makes local retailers to loss, then slowly vanish from the market, Then the pen which costs 9/- will be increased to 12/-, people who don't have an alternate choice will be buy this pen at 12/-They are attracting the consumers and also earning the profits,

This is a disadvantage to the local retailers, and further also to the people, who are purchasing.

As India is a developing country, it entertains FDI Only 100% on one sector which is tourism sector which is less disadvantageous, when compared to other sectors.

Rate this:   +12   -5

Ajay Agarwal said: (Tue, Jan 28, 2014 08:43:22 PM)    
Good evening everyone,

According to my point of view FDI in retail should not be allowed in India because of the following reasons:

1. FDI would mean demotivating the Indian entrepreneurs, who are capable enough to start up their own industry but due to constraints of fund there fail to fulfil it.

2. Government should rather try to provide opportunities to Indians so that they can grow there own business well and create employment.

3. The fact is that allowing FDI is not the only way to improve the CAD, because we are very strong on the export front be in fields of iron, cotton or agriculture products, so we should focus on this. Government should try to ease the export norms.

4. Government should make a serious effort to remove the service of middlemen who are eating away lot of margins so that the business can prosper well.

5. FDI would strongly destroy the local Indian market.

6. I don't think FDI infusion can provide employment to every Indian situated in backward places.

7. So far as infrastructure is concerned Indian government has enough source to provide better service but due to its own slow policy structure and corruption it fails to do so.

So instead of focusing on FDI' India should try to improve its own policy structure and norms.

Rate this:   +13   -3

Ankita said: (Sun, Jan 26, 2014 08:16:56 PM)    
Hello everyone. In my opinion FDI in retail sector would not help to combat current economic situation due to these reasons:.

1. It would not serve any good to those who are involved in UNORGANISED retail. Our organised retail sector is still at a nascent stage.

2. Retail sector is the largest source of employment in our country after agriculture and has a deep penetration into India's rural segment. So, rural people are going to get jobs easily in malls and air conditioned branded showrooms due to lack of proper communication skill.

3. Due to lack of transparency and proper regulation norms in the country, it would act as another source of increasing corruption and red tape in the country.

4. Small scale industries and MSME enterprises would slowly disintegrate and move out of the market.

5. Even if foreign companies employ Indians, how much are they going to pay? A mere salary of Rs. 5000/ month isn't enough for a youngster to fulfill his/her dreams or to fulfill family needs!

Instead of introducing FDI, our government should rather support the industries and retailers in the country itself with better policies and financial aids. Even if there is no other option than FDI, then also it should be not implemented like this at a war footing. At first, it should be implied on a small segment of retailers while taking care of the consequences properly analysed. Yes, China did prove to be a great success in implementing FDI but we should not forget that India has LAW but China has both LAW and ORDER.

Rate this:   +27   -3

Sudhakar Anand said: (Sun, Jan 26, 2014 11:50:53 AM)    
Hello friends.

In my point of view FDI is good for India because in India corruption is more. Foreign investment was introduced in 1991 under Foreign Exchange Management Act (FEMA). Current Population of India in 2014 is estimated to be 1.27 billion.


This will bring modern technologies to the country.
Improve the infrastructure.
Consumers will get commodities of daily at cheap cost.
Reduce the wastage of agricultural products.
Improve the gross domestic product.

Which are the sectors where FDI is not allowed in India?

I). Atomic Energy.
II). Lottery Business.
III). Gambling and Betting.
IV). Business of Chit Fund.
V). Nidhi Company.
VI). Manufacture of cigars, cheroots, cigarillos and cigarettes, of tobacco or of tobacco substitutes.

Rate this:   +20   -6

Ashish said: (Sun, Jan 26, 2014 01:13:27 AM)    
Hi good morning to all, as per FDI is concern, it will obviously bring the benefits for india, that may be seen to improve economic growth or it will also be helpful to remove the unemployment in India. See by means of FDI the company will also be benefited and on the other hand it will also create somewhat opportunity among the indians.

Rate this:   +4   -10

P.Dineshkumar said: (Sat, Jan 25, 2014 09:36:10 PM)    
Everyone says that if FDI is allowed to India it will give number of job opportunities for Indian people.

But my question is why can our Indian not people start the company? because ashok leyland, TATA EICHER, maruti mahindra etc these are the some of Indian companies they are giving job for people. If number of companies are started by Indian we can fulfill our job satisfaction ourselves. It will improve economic growth.

Technology is being grown in India so that we no need to work with other companies. I say reason why FDI should not be allowed to India. It will affect small manufacturer's growth it will lead to reduction of taxi to government we think that we can get job. We can get more salary by FDI. But the foreign companies will get more income this will help to their countries growth only not for India. So that the Indian government should encourage and give offer to Indian people to start company.

THANK you.

Rate this:   +30   -8

Moin Khan said: (Sat, Jan 25, 2014 09:08:55 PM)    
Hello friends,

As a coin has two sides, everything has its positives and negatives. I think due to FDI many retail sellers are being destroyed. These foreign companies are acquiring the whole market and attracting all the retail customers. Many lives are on stake due to these companies.

Though these are giving benefit to the govt and Indian economy they are ruining the lives of common people who depend on trade. I think FDI should be allowed in India but the govt must take decisions in interest of people not against the people. I think govt must keep some limitations to FDI investing in our country.

Rate this:   +10   -1

Raja said: (Sat, Jan 25, 2014 06:05:45 PM)    
Hello everyone, fdi in retail sector is a good idea for the point that it creates employment and development but on the flip side it has disadvantage too. Since many of the families who depends on farming and small size retail, it would be surely affected because majority of the country include villages and towns.

Rate this:   +2   -4

Rohit Sharma said: (Sat, Jan 25, 2014 11:01:36 AM)    
I think that If FDI comes in India then the situation in India will again become as it was before 250 years ago. The History will repeat itself. India will again become a slave of english country. As East India Company had taken control over India this time Wal-Mart will do the same thing.

Rate this:   +9   -21

Vineet said: (Fri, Jan 24, 2014 11:49:19 PM)    
I think FDI is good for India. It will not only help in improving our GDP and economy but also it will increase job opportunities for Indian's, Because I don't think foreign companies are going to bring their workers or all of their product's to India with them, but absolutely they will heir worker's from our country and buy good's from Indian Industries and Farmers directly which will also help our farmers and industries to get appropriate price for their products.

Rate this:   +23   -8

Rishu said: (Fri, Jan 24, 2014 11:41:59 PM)    
Hi All,

I think FDI in retail is definitely good for India due to numerous reasons. FDI will.

1. Boost Indian GDP by bringing in money. So development can be done in country.

2. It will create numerous jobs in India where unemployment is large.

3. It will help in curbing inflation by removing middlemen and taking care of consumers directly.

4. It will benefit farmers as it will help them in getting more price for their crops as no middle men is involved.

5. By removing Middlemen it will help in decreasing black marketing (hoarding) of certain food items as we see in case of Onion prices.

FDI in retail has helped in communist country China and we all know that where China is today in terms of GDP.

Some people will definitely say that it will impact small retailers. But I think keeping in view that these stores will not be present everywhere and people will prefer nearby stores this problem will also be solved.

6. FDI will help Government getting more money in form of taxes from these stores too.

7. Steps such as minimum sales of 30% has to come from small traders will help small traders.

8. FDI will help getting better quality and different variety products to the consumer.

So in short FDI in retail is really good for developing country like India.

Rate this:   +46   -5

Nitin said: (Fri, Jan 24, 2014 10:02:07 AM)    
Now days in every corner we see people are discussing the pros and cons of FDI in retail. In my opinion first we should understand the proposal of the cabinet. In the initial stage only 53 cities will be covered having population not less than 10 lakhs. So I do not think it will impact a large portion of our population and it will suddenly create job loss to the middlemen. Already we have reliance and bharti, which are Indian companies in multi brand retail but that does not mean all the local shops has been vanished from the localities.

The biggest advantage of FDI in multi-brand retail will reach to the farmers and consumers. Farmers will get the right price by selling their crops to these companies directly and as the margin of middlemen is not their so it will definitely control the price of final product.

Rate this:   +29   -4

Mausumi Mohanty said: (Mon, Jan 20, 2014 11:01:30 PM)    
Hi everyone. I am Mausumi,

I think FDI should be allowed in India because it has a lot of positive impacts. But it won't be correct to take a step forward every time towards FDI thereby ignoring its negative side too. It won't raise the living standard of every Aam Admi.

India should only welcome FDI if it has successfully restructured its economic and financial infrastructure, marketing networks, transport and communication systems etc such that the benefits of FDI can reach each and every rational animal. Only then can the fruits of FDI can be enjoyed in India.

Rate this:   +19   -13

Harbeer said: (Mon, Jan 20, 2014 07:53:54 PM)    
Good morning every body, I am totally against foreign direct investment. I want to discuss it's disadvantage through some following points read carefully.

1. If FDI comes in India then increase the no.of unemployment in India.

2. It is like a poison for India because due to FDI the abroad companies stable in every field even in rural area.

3. If the USA company Walmart and other companies is fruitful then its stable in India. Its will be stable in own country.

4. According to Indian government FDI don't invoked in production companies.

5. If we are gives Indian companies preference to foreign companies and we (Indian) used only used domestic products. Then India become almost richest country again.

6. If FDI invoked in our country then the foreigner companies sell only own country things then the Indian companies are automatic closed because Indian companies can't sell Indian things in India. India become again servitude of foreign countries.

Rate this:   +19   -41

Rishabh Devgan said: (Mon, Jan 20, 2014 03:57:30 PM)    
In my opinion FDI in retail sector is good for India because of many reasons it will help India in improving its economy through increase in GDP growth rate, farmers will be benefited through this and its will also raise employment in our country.

Rate this:   +12   -11

Ishu said: (Sun, Jan 19, 2014 03:20:21 PM)    
FDI in retail has become a hot topic of debate now a days in our country. I am completely against the FDI investment in India. Though FDI is a great tool to increase our GDP rate but the common man of India is not getting a single benefit of it as a large number of Indians belong to poor and middle class.

This leads to large number of local uneducated people unemployed and has created a big difference in the lifestyle of rich and the poor people. The poor are not getting even the basic facilities. So, I think the government should focus on first providing the basic amenities to these poor people and then should allow these companies to invest in our country.

There is no less brain power in our country. IITs and IIMs are producing the world class professionals. The need of the hour is to utilize their brain power to maximum level and reduce the problem of brain drain. Government must try to enhance the entrepreneurship skills so that we ourselves can produce better and cheap products affordable by a common man.

I completely agree with Arvind Kejriwal's decision for withdrawing the permission for FDI investment in Delhi. We need a change like this.

Rate this:   +92   -13

Prashant Gade said: (Sat, Jan 18, 2014 09:18:44 PM)    
I think it is not good to our country to accept FDI System because it is not beneficial to our country, it is totally profit gain by foreign companies not to our India. Our shopkeepers provides a good facility to us, they can agree with the bargaining as well as give us warranty of product.

Rate this:   +6   -5

Rasu said: (Sat, Jan 18, 2014 02:36:46 PM)    
According to me, FDI is not good for our country growth. Why our country depend on some foreign country firm. If foreign country set up firm in India then there will be loss for small business. People are willing to buy more foreign country product and this will effect our India business.

Rate this:   +7   -6

Nishant Patil said: (Thu, Jan 16, 2014 11:38:43 AM)    
I think FDI is good for India. Because population of Indian country is high. Therefore new investment of new companies is must require. They create job. For most young country in world. And there is no more Indian companies In India. Most of companies are foreigner. Therefor can't stop FDI.

Rate this:   +4   -13

Mangesh Khade said: (Tue, Jan 14, 2014 05:45:47 PM)    
As per my point of view, yes FDI has two sides. In case of positive side FDI introduces new technology that are implemented in other country, also gives good quality of product in attractive price and increases the economy of country.

In case of Negative side impact of FDI falls on small retailer.

Thank you.

Rate this:   +7   -2

Anuj Gupta said: (Sun, Jan 12, 2014 03:48:06 PM)    
Hi Friends,

I am not the against of FDI. But the thing is that we should ask to our self that "DO WE REALLY NEED FDI" in India? I want to take your attention to the our political situation and corruption in our country. All of us are well aware of it. If Indian governments really want to improve the economical condition or want to increase GDP. Then why not they are stopping corruption and taking back the BLACK money from Swiss bank and not even passing the "STRONG LOKPAL" bill. So it is as simple as that, they are looking for their benefits their profit not ours (citizens of India) or for country.

So if they really want to improve the country's GDP or they want to improve the living standard of Indians. Then there are so many things to do.

1. Pass the Strong lokpal bill.
2. Support the domestic companies.

And so many thing is there to do.


Rate this:   +34   -3

Akash said: (Sat, Jan 11, 2014 09:08:17 AM)    
I am in favour of this topic of debate whether FDI is good for India or not.

As we know that there is problem of economic slowdown in our country, many foreign investors are now pulling out their money from India because of which India is facing serious economic issues. So FDI is a good option for India via which our economy can improve.

FDI will provide the following benefits to India:

1) High GDP growth.

2) Growth in Infrastructure.

3) Low Inflation Rate.

4) Farmers will be gainers as money will flow directly from customers to producers.

5) All products will be available under a single roof.

6) Customers will get products at cheap price.

7) Exports will be more, bringing in more Forex reserves to India.

8) CAD % will decrease to normal.

9) More employment opportunities.

Etc and lot more benefits.

I think after getting so many benefits, it's wrong for BJP opposing FDI in India just to protect its domestic manufacturers.

Domestic manufacturers should compete with FDI by formulating various strategies to survive in the market. Competition between the two will take India's economic growth to the next level.

Rate this:   +103   -53

Shridhar said: (Fri, Jan 10, 2014 10:46:16 PM)    
In my pt of view, the FDI is the one which can improve our economy but upto a certain limit because firstly they will provide the products with cheaper rates then energy consumption will increase in INDIA itself. But the local products would not be money friendly with the customers so that they will remain as it is, it may leads the local unemployment. So FDI may be or may not be power of economy.

Rate this:   +20   -18

Arindam Jaiswal said: (Thu, Jan 9, 2014 07:12:27 PM)    
I can give pros and cons but I think taking a side and convincing others on it, proves how good I am at convincing.

I am against of FDI in retail.

I think Indian government should correct its system, ease the procedure for starting a business for an entrepreneur and help in financing those entrepreneur. It also should increase the investment in research and development in each sector whether it is food or in technology. If we have a better products and technology we our self will be capable of making a good quality products at cheap prices. We will also be able to sell our technology in foreign country and do business over there.

We should not be very proud that foreign co's are coming to India. We should be proud when our products are available in all the countries (like KFC, pizza hut or McDonald).

Foreign co's are very much aware of the corruption level in India, they will try to take advantage of this situation and buy those middle men and get their work done. They will make India more corrupt. We all must have heard how WALL-MART has paid for lobbying in India. It was reveal by the US itself.

It is said that FDI will create jobs. I agree. But I want to ask one thing why India is so eager to do jobs? when they have the ability and opportunity of doing business. Why America has so many co's ? because their has promoted entrepreneurship not jobs. All big food chains of America sell a very simple foods but what made them to earn billions of dollars its r&d and help from government.

Rate this:   +266   -21

Dinesh K Baragaon said: (Wed, Jan 8, 2014 09:01:58 PM)    

Dear friends, we have discussed a lot on profits & losses by FDI. But as I think FDI will boost our Indian economy, Because our purchasing power will not going to reduce If they will give us little cheaper we will buy more, else we will be with our Indian Shop keepers Or If they kept their promise, they will need Human Resources because It is not coming from their countries as they already facing this problem that's why they are Outsourcing in India (As BPO's are very developing business in India because of Foreign companies).

Or If we talk about Indian cultural products, then we already started neglecting these as we are moving towards Western culture day by day, we are following or competing foreign countries in technological development. Or If we are more attached with our Indian taste only then It may not be a big deal for them, they are coming to sell us in retail, they will surely sell us what we want. Like McDonald (A foreign food chain) has not launched any food item made with Beef, Only because we never wanted that. So same can be in Retail (FDI) also.

I am sure we will earn with FDI as much as we are earning by self, even little more.

Rate this:   +22   -22

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