Farmer Associations Support FDI in Retail

Farmers have reiterated their support for Cabinet’s decision to allow FDI in Multi-Brand Retail. In a meeting with the Minister of Commerce, Industry and Textiles Shri Anand Sharma here today, Secretary General of Consortium of Indian Farmers Associations (CIFA), Shri P. Chengal Reddy conveyed the desire of various farmers’ body to implement the decision as soon as possible. “FDI in retail will free farmers from the middleman and will get the remunerative price for the produce to the farmer” said Shri Reddy after the meeting.

Shri Anand Sharma said that government is undertaking widespread consultation and already consultations with SMEs and food processing industry have taken place after the announcement in the Parliament. The Minister explained that the policy has a distinct Indian imprint that safeguards local farmers and SMEs. “As supply chain efficiencies are built up, post-harvest losses will be considerably reduced, thereby enabling remunerative prices to farmers” said Shri Sharma. The safeguards pertaining to a minimum of 30% procurement from Indian small industries would provide the necessary scales for these entities to expand capacities in manufacturing thereby creating more employment and also strengthening the manufacturing base of the country.

[Source: Ministry of Commerce & Industry, PIB Press Release dated 22^nd December 2011]