FDI in retail in India opened to multi-nationals. India's been sold!

Replies

• 

  durga ch

  the Queen came first then FDI.
• 

  Kaustubh Katdare

  We're constantly being told that we need more 'investment' (foreign money) to keep our economy going. I wonder whether we use INR or USD in this country. The only way to improve economy is to grow our manufacturing and services base and then improve our exports several times over our imports. Isn't it plain, stupid common sense?
  
  I've nothing against Walmart, IKEA except that those companies aren't coming here for charity and to 'help' India. They've profits to make and given the history everyone knows how profit minded are these companies.
  
  We're being told that it's the 'supply-chain' related issue that these companies will solve. Give me a break! It's the government's job to fix it and it's a PURELY administrative issue that government needs to admit first. Why can't the government implement and execute stronger policies to make sure that the farmers get what they deserve?
  
  I also question why the government does not want to nurture and grow Indian entrepreneurs into setting up their own retail businesses? Compete among ourselves; that's what the big corporates from the west have done.
  
  I repeat: India's being sold.
• 

  Jeffrey Arulraj

  the need for foreign aid is increasing due to INDIAN AID being in the wrong hands and landing in some crappy lockers in other countries
  
  hope we manage to reimburse them
  
  that is the only solution to FDI lowering
• 

  Anil Jain

  Let me start with the fact that I AM NOT AT ALL in support of FDI.
  
  However, something of this sort was very necessary when Rs was getting weeker and weeker and was almost touching 60Rs a $.
  
  Had Government not allowed FDI, I am sure rs was moving towards 70-80 mark by the end of the year. We as an Indian do not want to leak out money to FDI, but at the same time we do not want that currency will go down so much, that we have to carry a bag full of rupees to buy something.
  
  Someone have any better idea for holding the Rs going further down (except FDI)?
  
  -CB
• 

  Jeffrey Arulraj

  crazyboy

  Let me start with the fact that I AM NOT AT ALL in support of FDI.
  
  However, something of this sort was very necessary when Rs was getting weeker and weeker and was almost touching 60Rs a $.
  
  Had Government not allowed FDI, I am sure rs was moving towards 70-80 mark by the end of the year. We as an Indian do not want to leak out money to FDI, but at the same time we do not want that currency will go down so much, that we have to carry a bag full of rupees to buy something.
  
  Someone have any better idea for holding the Rs going further down (except FDI)?
  
  -CB

  bring BLACK MONEY back into INDIA
• 

  Anil Jain

  jeffrey samuel

  bring BLACK MONEY back into INDIA

  I should correct my statement...
  Someone have any better, practical idea for holding the Rs going further down (except FDI)? 😁
  
  -CB
• 

  sauravgoswami

  Interesting views, but India economy reached nadir during license raj.Inflation is creeping day-by-day,poor farmers are dying,many small businesses suffering, all due to over-dependance on goverment,a farmer thinks of waiver in electricity bill,why ? when he is using electricity for producing crops coupled with weak political will and extreme lack of awareness among lower-middle class and poor.FDI will certainly generate revenues lessning the burden over tax-payers.
  As for Indian businesses they will continue to thrive , will become better with increased competetion,companies like M&M, TATA's have gone global after opening of Indian Economy.If every country stops FDI exports will be hit , even indian companies will be effected
• 

  Kaustubh Katdare

  Just wondering how many of the people would love to have the TV, fridge, AC, music system, sofa, phone, doors, curtains to be owned by the neighbors?
• 

  Kaustubh Katdare

  sauravgoswami

  Interesting views, but India economy reached nadir during license raj.Inflation is creeping day-by-day,poor farmers are dying,many small businesses suffering, all due to over-dependance on goverment,a farmer thinks of waiver in electricity bill,why ? when he is using electricity for producing crops coupled with weak political will and extreme lack of awareness among lower-middle class and poor.FDI will certainly generate revenues lessning the burden over tax-payers.
  As for Indian businesses they will continue to thrive , will become better with increased competetion,companies like M&M, TATA's have gone global after opening of Indian Economy.If every country stops FDI exports will be hit , even indian companies will be effected

  What about Indian companies selling the goods to Indians under supervision of good governance? Exports are welcome, and it's always desirous to have exports much more than the imports. Why can't Indian companies compete among themselves?
• 

  durga ch

  just posted this comment on IndiaNerve website.. reporting it here
  
  I am really not comfortable when we end up relying on a someone else to boast economy of this country. The push which was needed - should have been from within the country , rather than bringing foreign companies to give a boast to completion here. It would be no surprise, when multinational companies start competing against each other and finally dry out local business here. This is already happening. Just take a very simple example of food outlets. Given a location with Mac D, KFC and a local food place - people would always choose to eat in MacD or KFC and reasons might be many such as food quality, ambiance, neatness. You cannot say - introduction of these two would improve the third local shop.
  But the point being - if stringent hotel/food rules were introduced by gov over local food places, having a clear fines for neatness , freshness and set a specific standard which needs to be met, then the third shop would be able to appeal the masses - irrespective of whether we have MACD or KFC. Do you think every country which is now developed have implemented FDI??
  The production line needs to be streamlined and tightened at every knot possible. Simple thought - when the veggies are grown in INDIA, why do we need Walmart to sell them in INDIA? can't the existing supply chain be improved to deliver the same to existing markets with minimum loss to farmers?
  The current change only depicts the governments incapability of handling issues within the country and rather rely on such schemes. I feel amused to think that when a gov could not pass Janlokpal bill, it could take such a step as passing the FDI bill?
  thinking a little bit beyond - what would be the situation of a host country which invested in FDI in another country? incase the economy of this country goes down - it would either stop investing in the another country - thus causing a ripple in another country's economy, otherwise - it would suck up resources from this country? I don't see from what angle it is benefiting the country in anyways - except that we will see a boast in foriegn investments for a while and then we end up depending on them through out.
  I think - we should now welcome 1847 and not 2012 as we are repeating the same mistakes over and over.
• 

  Kaustubh Katdare

  Plus, it's a completely FALSE assumption that the products these companies sell in other parts of the world are 'high quality'. I wonder how better are the 'Corn Flakes' or 'Pepsi' or 'Coke' or 'Fair & Lovely' or 'Biscuits' or 'Washing Powders' or 'toothpastes' or ?
  
  I wonder what 'infrastructure' are these companies going to build here that Indians themselves can't build.
  
  The government has given up to the oppressive powers of the big, profit-minded corporations. The solution we're being offered is this -
  
  1. Your retail sector will be owned by the foreign companies.
  2. Your aviation sector will be owned by the foreign companies.
  3. Your infrastructure will be owned by the foreign companies.
  4. The medical (pharma) sector is already owned by the foreign companies.
  5. The entertainment sector is already owned by the foreign companies.
  6. The defence sector, the most important one, is already controlled by the foreign companies.
  7. The mining sector - is already completely under control of the foreign firms : Guess what? They take away billions of dollars of worth of natural resources out of India every single month.
  
  ...and in the name of 'reforms' and 'globalization'. All fancy words. So, I want to ask; what are Indians going to own in future?
• 

  sauravgoswami

  Well,all these sectors are having Indian partners with them,under full control of Government.Indian Conmpanies still lack world-class technology,look at Indian Defence Companies struggling even to develop indegenois military hardware,apart from all this laid-back attitude of local governance makes manufacturing difficult.
  I do agree we can create a conductive environment for local businesses to flourish,and states like Gujarat have done so.Unfortunately, its a distant dream.Hope our next generation enjoys these priviledges
  
  
  
  
  

  The_Big_K

  Plus, it's a completely FALSE assumption that the products these companies sell in other parts of the world are 'high quality'. I wonder how better are the 'Corn Flakes' or 'Pepsi' or 'Coke' or 'Fair & Lovely' or 'Biscuits' or 'Washing Powders' or 'toothpastes' or ?
  
  I wonder what 'infrastructure' are these companies going to build here that Indians themselves can't build.
  
  The government has given up to the oppressive powers of the big, profit-minded corporations. The solution we're being offered is this -
  
  1. Your retail sector will be owned by the foreign companies.
  2. Your aviation sector will be owned by the foreign companies.
  3. Your infrastructure will be owned by the foreign companies.
  4. The medical (pharma) sector is already owned by the foreign companies.
  5. The entertainment sector is already owned by the foreign companies.
  6. The defence sector, the most important one, is already controlled by the foreign companies.
  7. The mining sector - is already completely under control of the foreign firms : Guess what? They take away billions of dollars of worth of natural resources out of India every single month.
  
  ...and in the name of 'reforms' and 'globalization'. All fancy words. So, I want to ask; what are Indians going to own in future?

• 

  Kaustubh Katdare

  It doesn't take more than a span of 2-3 years to transform 'everything'. FDI isn't the solution. Good governance is.
• 

  sauravgoswami

  For good governance, we have to give away democracy
• 

  vikaskumar11233

  I think our economy wants foreign investment,our growth chart is hurting a lot and if we won't allow the investment,we will be more suppressed under the billion dollars debt.To generate money,we need money and FDI is answer of it.
• 

  Kaustubh Katdare

  sauravgoswami

  For good governance, we have to give away democracy

  Good governance can be provided by democracy.
  
  

  vikaskumar11233

  I think our economy wants foreign investment,our growth chart is hurting a lot and if we won't allow the investment,we will be more suppressed under the billion dollars debt.To generate money,we need money and FDI is answer of it.

  Could you explain, what exactly is the 'growth chart' and how is it an indicator of the economic growth?
  
  You didn't answer my earlier question - why does India rely on US dollars for its internal operations? Do we use USD or INR for the businesses done in India?
  
  So, you're proposing that foreigners investing money in India is the 'way to improve' economy? Do you understand that these companies aren't 'donating' money to India. They're going to take out 2x-5x profits for every dollar invested in this country.
  
  I repeat, the companies aren't coming to India for charity.
• 

  sauravgoswami

  In India,good governance is not possible with democracy since people in India are not ready for democracy
• 

  Jeffrey Arulraj

  You didn't answer my earlier question - why does India rely on US dollars for its internal operations? Do we use USD or INR for the businesses done in India?

  Just the prime driving factor is the value which the USD has in the world market over INR
• 

  durga ch

  for all those who think walmart would bail out Indian Farmers
  You ought to watch this vedio
  #-Link-Snipped-#
• 

  sauravgoswami

  These analyst like to talk,never walk...Till now there was no FDI neither walmart,what you sow is what you reap
  
  

  durga

  for all those who think walmart would bail out Indian Farmers
  You ought to watch this vedio
  #-Link-Snipped-#

• 

  grsalvi

  Yes FDI reforms and all scams from government,GOD knows what we have in future.
  There is scam news every week.Latest being irrigation scam(Rs.70000 crore).
  Life appears to be suffering due to such people.One section of society is struggling to survive,the poor ones.
  Another section of society,the youth of the country is struggling to acquire knowledge and skills such to have a bright future.
  And these government netas and bureaucrats are busy creating scams and filling swiss accounts with money.
  Please for GOD's sake become still and think "What you will do with so much money". Why the Humans have forgotten that they had a beginning and they surely have an END.
  (A little diversion from topic but my views)
• 

  Kaustubh Katdare

  Wait for the 'mother of all scams' - the Uranium exports scam which will hopefully be revealed just before the public elections in the next few months. It's worth Rs. 48 lakh crore (48,00,000 crores).
  
  PS: I wonder why India's considered a 'poor' country.
• 

  durga ch

  Why are we so fascinated to buy from these stores??
  @ saurav, i think you lost the context of the video, analysts are analysts - they need to analyse and talk, its gov which needs to walk to talk.
  
  They are clearly speaking of the implications of FDI . Also, Wlamrt has a history of buying out its 50% local partner when ever regulations have changed in any of the country is has entered in.
  
  On top of all this - Walmart deos make profit -remember its a business model. They might vary the model as per local needs , but in the end profit making is their main aim. If they need to sell something at a cheaper price than local markets here , then obvious they need to buy it at much lesser prices - and we all know from where such - less price goods are sold or bought from , this again will kill local market.
  
  Why till walmart, do you prefer buying local handloom stuff or cheaper machine made stuff???handloom stuff is expensive - so no oens buys it, hence the weavers are dying mostly of starvation and poor economic condition.
  
  The gov is only acting like a closed eyes cat, which thinks no one is watching it.
  
  For more info on wlamart business models so far- please read #-Link-Snipped-#
• 

  vikaskumar11233

  jeffrey samuel

  Just the prime driving factor is the value which the USD has in the world market over INR

  See Big-K,this world runs on the principle of L.P.G. (liberalization,privatization and globalization).The development which we have seen in India in the last ten years like the barren land of Haryana became Gurgaon today,Banglore is now famous as silicon valley its all happen because we open our doors for foreign companies.The youth which is working in MNC and living a luxury life ,it all because of this LPG concept.We can't deny this truth that the more we open our economy for other nations and company,we will become more develop.
  When Atal Bihari Vajpayee in the 1999 government gives the world a chance to do business on Indian land then India shined in his five year regime.
  Just tell me out of total companies which goes for campus recruitment in engineering and MBA colleges,are Indian,almosr every company belongs to other nation.
  The gadgets which you buy are foreign made,so don't buy them.You people want to go in McDonalds and Pizzahut,want to drink coffee in Barista but want to oppose FDI.
• 

  Kaustubh Katdare

  FYI, I don't eat at McD, PizzaHut and Drink Coffee at Barista (which by the way was Indian venture taken over by Lavazza in 2007).
  
  I'm not sure where you got the LPG idea. Bangalore is what it is because of the 'projects executed by Indian companies' for the foreigners. It's different from a foreign company setting up shop in India. Plus Indian IT is more or less the back-end office of the world's leading companies - nothing to be immensely proud of.
  
  Luxury life? When 85 - 90 crore of India's population is below poverty line; you're looking at just a few rich people and talking of 'development'?
  
  

  vikaskumar11233

  Just tell me out of total companies which goes for campus recruitment in engineering and MBA colleges,are Indian,almosr every company belongs to other nation.

  ...and is that something you're advocating? Should Indians be proud of it or be ashamed of it?
  
  
  You seem to be of the opinion that the development can *ONLY* be brought by the foreign companies doing business in India.
  
  Do you propose that all the businesses in India should be sold to foreign multinationals so that India will become a 'developed' Nation in due course of time?
  
  Or do you want to see Indian companies growing big and doing business in other countries?
• 

  Anoop Kumar

  Just found on random post . Explains itself.
  
• 

  durga ch

  turns out , walmart is looking to have 51% stake .
• 

  Kaustubh Katdare

  durga

  turns out , walmart is looking to have 51% stake .

  Yep, and that's called the 'controlling stake'. They'll call the shots and their partner, Bharti will obey.
• 

  Anoop Kumar

  Does India needs FDI in retail sector👀
  I think FDI can be experimented but should be slowly and with less percentage.
• 

  grsalvi

  Friends FDI reforms did this ??????
  
  (from news papers 28 sep2012)
  
  1] Sensex 150 points high (A high after 15 months ).
  2] Rupee value increases compared to US$(An increase after 5 months ).
• 

  Kaustubh Katdare

  Question: Why's India's still not doing well after 1991 'reforms'? Why is it that dollar trades for 55+ rupees?
• 

  Jeffrey Arulraj

  FDI is going to weaken Rupee in the longer run as more INR proliferates the World market its value will drop rapidly in the longer run
• 

  grsalvi

  Chain Has walmart ???? But it is a communist country right ??
• 

  vikaskumar11233

  Hey Big_K,if we just think that we can help ourselves without any foreign help,then might be you are right.But I just want to ask you one thing that just ask the young generation of Delhi,Mumbai and any metropolitan cities that do they have guts to feed the mouth of millions of hungry people of India,do they have time to do something for their nation.The answer is a big no.We,the people of India knows how to fill our pocket,improve our own way of life but nobody has time to do some social work.We can spend hundred of bucks on our luxuries but can't donate a single penny for our own country's poor people and if you are suspecting my character so i just want to tell you one thing that I spend two days of my week in a N.G.O even my parents are against it.
  The problme is We don't want to change ourselves and not letting the government to do their job.If a country which thinks that it is the youngest nation of the world and have proud on this thing then just say these people to do something for their nation.We know how to criticize the government policies but never tried to inspect the depth of these policies.
  My question is very simple if you don't want FDI then give another option of it.
  
  
  
  
  I