Government today made it clear that it would ensure that no existing retailers are displaced by opening up of the sector to foreign investment."We are looking at a model for opening up of retail sector for FDI which does not risk, displace or replace existing retailers," Kamal Nath, commerce minister said adding government was looking at incremental employment by opening up the sector."I have said it very clearly that we will only have FDI in retail when we have a model which takes care of incrementality in retail and creates jobs," he said.Today retail sector is growing at 20% and government is examining models that takes care of this incrementality and provide employment, Nath said in BBC World's 'Hardtalk India' programme hosted by Karan Thapar.Government will not accept any model which would create unemployment, he said adding, "I want to see that our retail sector is modern, creates a cold chain for country's fruits and vegetables and has trickle down effect on agri sector".On labour reforms, Nath said it was for state governments to adopt flexible laws for special economic zones and for export oriented units.The centre would not stand in their way of state governments in relaxing labour laws including hire and fire system for generation of more employment.Nath made it clear that the centre was not relaxing labour laws but enabling the states to decide which of the laws they would like to have.
