Haryana hails move to operationalise FDI in multi-brand retail

 Haryana government today hailed the Centre's decision to operationalise Foreign Direct Investment (FDI) in multi-brand retail, saying that the state's farmers would greatly benefit from direct procurement by retail chains.

While congratulating Prime Minister Manmohan Singh for his bold initiative, Haryana Chief Minister Bhupinder Singh Hooda said this will benefit all stakeholders, especially the farmers and the consumers.

He said the move will attract investment in his state, which accounts for 44 per cent of the NCR area.

Hooda said farmers would be greatly benefitted from direct purchase of their produce by retail chains at better prices.

The state government has already introduced enabling provision in the Punjab Agricultural Produce Markets Act to facilitate introduction of supply chain.

It has also introduced plans to develop network of agri-produce collection centres close to farms where necessary infrastructure can now be developed in PPP mode enabling the private sector to directly purchase from these centres.

Hooda said adequate safeguards have been kept in the FDI policy to safeguard the interest of small retailers.

He said the move would benefit consumers and purchasers against seasonal fluctuations and price aberrations of agricultural products, especially vegetables and fruits with the development of supply chain infrastructure.

The investment in the back-end infrastructure would not only give remunerative prices to the farmers but would benefit the rural economy as a whole, and generate large employment for the rural population.

The Chief Minister said the investment in organised retail trade by foreign investors would also bring in the latest technology in establishment of cold chains, preventing wastage of food due to lack of post-harvest infrastructure.