RailEnquiry

TRICHY: Retailers in Trichy under the banner of Tamil Nadu Vanigar Sangankalin Peramaippu (Forum of Tamil Nadu Traders Association) hoisted black flags atop shops on Tuesday to protest the Centre's proposal to allow foreign direct investment (FDI) in retail. The protest is set to continue on Wednesday with traders threatening to block trains.The trader's association claims to represent over 21,000 small retail traders in the city, more than a lakh labourers and allied business people, who believe that their survival is at stake if FDI is allowed in multi-brand retail. "Survival of those involved in retail business is at stake if FDI in retail becomes a reality in India Likewise, the small retailers would be unable to compete with multi-national retail firm and forced to wind up their business," Ve Govindarajulu, state secretary of the forum, told TOI.Trichy is a retail hub for central Tamil Nadu and the city with a 10 lakh population is a large market in itself. Many traders fear that Trichy offers an attractive proposition for retail giants like Wall Mart.Murugavel Ravishankar, managing director of a major super market in Trichy, summed up the predicament of the local retailers. "The cost price of the products in our shops would be the selling price of things for foreign retail companies. It is possible for them as they manufacture many products and procure other products directly from the manufacturers indirectly forcing the carry and forward (C&F) dealers, distributors, wholesalers to leave the business. So, the customers would turn their focus on the foreign companies. Over a period of time, the local retailers would shutdown their business. Then, only, the foreign retails uncover their original face by increasing the prices many times and become monopoly in the market," said Ravishankar.