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Kochi snubs retail giants

Kochi corporation has decided against granting licence to national or multi-national retail monopolies in Kerala’s commercial hub.

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City corporation to deny licence to monopolies

THIRUVANANTHAPURAM: Kochi corporation has decided against granting licence to national or multi-national retail monopolies in Kerala’s commercial hub.

The Left Democratic Front-ruled civic body proposed the curb during the budget presentation for the next financial year on Wednesday. The body also decided to impose development surcharge on supermarkets.

“There has been tremendous development in commerce and industry. But there was no corresponding growth in resource mobilisation. We have to renew licence fee for that. We will consult all sections of society and reach a consensus,” Kochi mayor Mercy Williams said after the Rs3.76-crore surplus budget presentation in Kochi.

The licence fee for supermarkets and malls has been hiked to a minimum of Rs1 lakh. The fee will go up depending on the area of the mall. The civic body will also impose Rs30,000 as development surcharge on supermarkets. Additional permits would be required to sell fish and meat.

The corporation honchos say that the move is to protect the hundreds of people employed in the retail sector in the city. The ruling CPI(M) has pledged support to the merchants’ protest against the entry of retail giants like Reliance and Wal-Mart. Though the government has mooted an act to shift the licensing power from local bodies to the state government, merchants associations have been seeking a blanket ban on retail giants.

The state has already seen a hartal against the opening-up of retail and small-time merchants laying siege to chain outlets like Reliance Fresh. Reliance Fresh has three retail outlets in Kochi. Kerala State Civil Supplies Corporation (SupplyCo) plans to open hypermarkets in Thiruvananthapuram, Kochi and Kottayam at a cost of Rs140 crore in a bid to counter the corporate competition.

s_don@dnaindia.net

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