CPI(M)'s retail blueprint gets poor response

The CPI(M)'s blueprint for a national policy on the opening of mega-scale retail stores by big Indian companies that could threaten the livelihood of lakhs of traditional traders has evoked literally no response from the political parties in the country with the Tamil Nadu-based regional outfit, the Pattali Makkal Katchi (PMK), being the only exception.

Prakash Karat, general secretary, CPI(M), told Business Standard that the PMK had sent a positive note on his party's suggestions for regulating the entry of big business in the retail sector.

"PMK has fully agreed with our suggestions and has even promised support to any such initiative on these lines,'' Karat said.

The CPI(M)'s blueprint, released on May 30, was sent to all political parties along with the UPA government to help create a national consensus on opening up of the retail sector. It had proposed a strict regulatory mechanism for the entry of global players into the business.

The blueprint says that local bodies could be vested with powers to issue and even revoke licences for this business keeping in mind the interests of the smaller traders.

However, Karat says that the blueprint was actually aimed at mobilising a thought process among the political parties on this crucial sector of the economy and not merely getting a response from them.

The CPI(M) chief denied the reports suggesting the Kerala government had declared a virtual ban on allowing retail chains to come up in the Left-ruled state.

"At some time in future, Kerala could be the first state in India to have in place, a regulatory mechanism for retail chains,'' Karat said.

He clarified that the Kerala government had merely echoed its intention of not allowing big retail chains harm the livelihood of traders.

He said that CPI(M) would press for a national policy as at present anybody with money and might could open a big retail chain at the place of his convenience. "Nobody can put a ban on this, however, we need to have mechanisms for regulating it at the national level,'' Karat said.