(Online Course) Contemporary Issues for IAS Mains 2012: Economic Issues - FDI in Retail

Economic Issues

FDI in Retail

Ques. What are the benefits?
Ans:

  • Increasing FDI investment in India.
  • Modern technologies will be incorporated in post-harvest management.
  • New management practices will be introduced.
  • Farmer will get good price for their products.
  • Fruits and vegetable damages can be reduced.
  • Easy availability of commodities all places at minimum prize.


Ques. What are the problems/challenges?
Ans:

  • Affects millions of small and middle man’s job.
  • May create monopoly of market.
  • Prices for commodities are subject to be negotiations.
  • May exploit poor, illiterate farmers or manipulate them.

Ques. What is the solution?
Ans:

  • Government should help farmers to create an organization to help farmers to get fair price.
  • Investment in front and back end infrastructure has to be determined.
  • Give more attention post harvest technologies and techniques.
  • Minimum quantity produced should be borrowed from middle man

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