Dec 25 2006
Reliance Effect
Looks like Reliance has started making first effect on our neighborhood kirana-walla as per ANI
Local vegetable vendors are loosing out to Reliance retail in the fight to sell there vegetables , which was expected as they didn’t had the required economy of scale to bring the prices down neither they had billion dollars behind them to support there cart.
WalMart is severely opposed for same reasons in USA , which is captured in this documentary.
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Last 7 posts by Veresh
Private participation is good for the farmers as they dont have to beg the govt for getting atleast the minimum support price. They also have better infrastructure in terms of cold storage and market reach. It is estimated that we lose atleast 30%-40% of our produce because of the lack of proper infrastructure. The middlemen exploit this and grab the produce at throwaway prices.
I hope that this will break the strangle hold of the middle men.
Rate Comment :Ravi you are correct in limited context and I am not totally against private retailers , but look at total view , minimum support price is required for limited crops and in limited areas like cotton in vidharba region which not sure how much reliance will help.
Rate Comment :Proper facility will help *some* farmers but in larger context local retailer will loose like one mentioned here and this is more of global phenomena , walmart do the same thing in USA.