I am writing on some market based reforms keeping aside the Lokpal debates or Narendra Modi for Prime Minister. The recent initiatives by the UPA-2 are just another stepping stone towards the Manmohanomics initiated some two decades back. It is the recent policy changes that throw some more light towards the India Shinning Campaign that was turning dark curbed by inflationary pressures and civil societies uprising. This present FDI polices would help the farmer attain the maximum gains. They could fetch a better price with no influence of middlemen. Waste in transit will minimized, and the buyer gets the benefit of fresher produce, longer shelf/fridge life and of course cheaper goods. Secondly, if the local ration shops were to be affected it could have happened much before during the Kishor Biyani’s revolution(BigBazar). The only possible people to suffer are the middlemen who control the major junk of agricultural yields. It strictly kills the speculation in the food market which has been dangerous for the society. A Rs.2 per kg onion costs Rs.15 due to these middle men. Where does it stand different? These policies would enhance the quality of market accessibility and a better bargaining power for the Indian Consumer. It sustains for a stable market dynamics with a controlled price index and nothing less but the food issues that finally finds a solution. There are several issues where the present bill stands quite different and advanced from the earlier neo-liberal policies. -In consent of Census 2011, retail stores could only come up in cities whose population is more than 1 million. -The minimum investment for the foreign players should be $100 million in which half proportion of investment should be in the back end infrastructures. e.g- Cold Storage. – A compulsion for 30% of the finished and processed goods which should come from the small scale producing units Considering the different sectors the policies depict different but similar gains.

FMCG Goods: The pumping of wealth in the sector would boost a better supply-side management for the future years to process. It reduces the stock wastage with a better infrastructure in place and further the reach of products in the domestic markets. Secondly, the market for processed foods or Can-Food would develop creating more choices for the consumers.

Real estate: Certainly, no bigger beneficiary could exist that this one. Shopping malls and other infrastructures are a necessary source for any FDI policy to process smoothly. It sets in picture some good quality malls with an incentive of some heavy investment in this sector. The big fishes in the pond like DLF, Unitech have already announced their proposals of Rs.3000 crore and 2200 crore respectively.

Pharmacy: It has been the stock performances that depict the prosperity. The Indian Pharmaceuticals industry has registered a substantial growth in the past with the small and medium scale industries expanding in African continent. The present policies would help in attaining a substantial innovative technology helpful in producing drugs etc. Further, it would help several hospital chains in covering more geography and provide a better managed hospital. Hospitals are somewhat being badly managed in the country for now. The treatments of patients needs due care and a hygienic environment.


Posted on March 20, 2012, in Random and tagged , , . Bookmark the permalink. Leave a comment.

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