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In pursuance of the aforestated decision of the Cabinet on 7.12.2011, discussions have been held with State Governments, representatives of consumer associations/organizations, micro & small industry associations, farmers’ associations and representatives of food processing industry and industry associations. The Chief Ministers of Delhi, Assam, Maharashtra, Andhra Pradesh, Rajasthan, Uttarakhand, Haryana and Governments of the State of Manipur and the Union Territory of Daman & Diu and Dadra and Nagar Haveli, have expressed support for the policy in writing. The Chief Minister of Jammu & Kashmir, through his press statements, has publicly endorsed the policy and asked for its implementation. The State Governments of Bihar, Karnataka, Kerala, Madhya Pradesh, Tripura and Odisha have expressed reservations.
During the consultations with the stakeholders, views for and against FDI in multi-brand retail trading were expressed. On balance, however, the discussions generally indicated support for the policy, subject to the introduction of adequate safeguards.
Accordingly, the following proposals have been approved:
(i) Retail sales outlets may be set up in those States which have agreed or agree in future to allow FDI in MBRT under this policy. The establishment of the retail sales outlets will be in compliance of applicable State laws/ regulations, such as the Shops and Establishments Act etc.
(ii) Retail sales outlets may be set up only in cities with a population of more than 10 lakh as per 2011 Census and may also cover an area of 10 kms around the municipal/urban agglomeration limits of such cities; retail locations will be restricted to conforming areas as per the Master/Zonal Plans of the concerned cities and provision will be made for requisite facilities such as transport connectivity and parking; In States/ Union Territories not having cities with population of more than 10 lakh as per 2011 Census, retail sales outlets may be set up in the cities of their choice, preferably the largest city and may also cover an area of 10 kms around the municipal/urban agglomeration limits of such cities. The locations of such outlets will be restricted to conforming areas, as per the Master/Zonal Plans of the concerned cities and provision will be made for requisite facilities such as transport connectivity and parking.
(iii) At least 50% of total FDI brought in shall be invested in ‘backend infrastructure’ within three years of the induction of FDI, where ‘back-end infrastructure’ will include capital expenditure on all activities, excluding that on front-end units; for instance, back-end infrastructure will include investment made towards processing, manufacturing, distribution, design improvement, quality control, packaging, logistics, storage, ware-house, agriculture market produce infrastructure etc. Expenditure on land cost and rentals, if any, will not be counted for purposes of backend infrastructure.
(iv) A high-level group under the Minister of Consumer Affairs may be constituted to examine various issues concerning internal trade and make recommendations for internal trade reforms.
Other conditions/safeguards, approved by the Cabinet on 24.11.2012, would remain unchanged. The suspension of Government’s decision taken in the Cabinet meeting on 24.11.2011 to permit FDI up to 51% in MBRT, therefore, stands removed.
The respective State Governments administer the Shops & Establishment Act within their territorial jurisdiction. “Trade & Commerce within the State” is a subject allocated to the State Governments, under the Constitution of India. State Governments are also responsible for aspects ancillary to MBRT, such as zoning regulations, warehousing requirements, access, traffic, parking and other logistics. As such, the policy provides that it would be the prerogative of the State Governments to decide whether and where a multi-brand retailer, with FDI, is permitted to establish its sales outlets within the State. Therefore, implementation of the policy is not a mandatory requirement for all States.
Retail sales outlets may be set up only in cities with a population of more than 10 lakh as per 2011 Census (including an area of 10 kms around the municipal/urban agglomeration limits of such cities). On the other hand, States/ Union Terrritories, which do not have any city with a population exceeding 10 lakhs, but are desirous of implementing the policy, would have the flexibility to do so.
Thus, the revised condition gives primacy to the decision of the States in this regard, recognizing that the FDI policy constitutes, at best, an enabling framework for the purpose.
Adequate safeguards have been built into the policy, some of which have been further strengthened.
A three year timeframe has been fixed for setting up the back-end infrastructure, which includes capital expenditure on all activities, excluding that on front-end units; for instance, back-end infrastructure will include investment made towards processing, manufacturing, distribution, design improvement, quality control, packaging, logistics, storage, ware-house, agriculture market produce infrastructure etc. Expenditure on land cost and rentals, if any, will not be counted for purposes of backend infrastructure. This condition will bind the foreign investors to invest in critical back-end infrastructure, which is a felt need across the country. It would also make the foreign investors accountable for proper implementation of the condition.
The decision would benefit stakeholders across the entire span of the supply chain. Farmers stand to benefit from the significant reduction in post-harvest losses, expected to result from the strengthening of the backend infrastructure and enable the farmers to obtain a remunerative price for their produce. Small manufacturers will benefit from the conditionality requiring at least 30% procurement from Indian small industries, as this would enable them to get integrated with global retail chains. This, in turn, will enhance their capacity to export products from India. As far as small retailers are concerned, it is evident that organized retail already co-exists with small traders and the unorganized retail sector. Studies indicate that there has been a strong competitive response from the traditional retailers to these organized retailers, through improved business practices and technological upgradation. Global experience also indicates that organized and unorganized retail co-exist and grow. The young people joining the workforce will benefit from the creation of employment opportunities. Consumers stand to gain the most, firstly, from the lowering of prices that would result from supply chain efficiencies and secondly, through improvement in product quality, which would come about as a combined result of technological upgradation; efficient grading, sorting and packaging; testing and quality control and product standardization.
Implementation of the policy will facilitate greater FDI inflows, additional and quality employment, global best practices and benefit consumers and farmers in the long run, in terms of quality, price, greater supply chain efficiencies in the agricultural sector and development of critical backend infrastructure.
The high-level group, to be constituted under the Minister of Consumer Affairs, is expected to look into various aspects relating to internal trade, to make recommendations on internal trade reforms to the Government, whenever required. This is in response to a demand articulated by traders’ associations during the course of consultations. Reforms in internal trade will ensure distributional efficiencies and also that the benefits from trade are available to all sections of society.
(i) The foreign investor should be the owner of the brand.
(ii) In respect of proposals involving FDI beyond 51%, 30% sourcing would mandatorily have to be done from SMEs/ village and cottage industries artisans and craftsmen. ‘Small industries’ would be defined as industries which have a total investment in plant & machinery not exceeding US $ 1.00 million. This valuation refers to the value at the time of installation, without providing for depreciation. Further, if at any point in time, this valuation is exceeded, the industry shall not qualify as a ‘small industry’ for this purpose. The compliance of this condition will be ensured through self-certification by the company, which could be subsequently checked, by statutory auditors, from the duly certified accounts, which the investors will be required to maintain.
The CCEA has approved modification of the above mentioned conditions, for the activity of single brand product retail trading, as under:
(i) Only one non-resident entity, whether owner of the brand or otherwise, shall be permitted to undertake single brand product retail trading in the country, for the specific brand, through a legally tenable agreement, with the brand owner for undertaking single brand product retail trading in respect of the specific brand for which approval is being sought. The onus for ensuring compliance with this condition shall rest with the Indian entity carrying out single-brand product retail trading in India. The investing entity shall provide evidence to this effect at the time of seeking approval, including a copy of the licensing/ franchise/sub-licence agreement, specifically indicating compliance with the above condition.
(ii) In respect of proposals involving FDI beyond 51%, sourcing of 30%, of the value of goods purchased, will be done from India, preferably from MSMEs, village and cottage industries, artisans and craftsmen, in all sectors, where it is feasible. The quantum of domestic sourcing will be self-certified by the company, to be subsequently checked, by statutory auditors, from the duly certified accounts which the company will be required to maintain. For the purpose of ascertaining the sourcing requirement, the relevant entity would be the company, incorporated in India, which is the recipient of FDI for the purpose of carrying out single-brand product retail trading.
Amendment in the condition relating to brand-ownership has been felt necessary, in view of the fact that, globally, single brand retailers often adopt a variety of business models, wherein the brand owning entity and investor entities are kept separate, even though in some cases, they may be having the same parent. Some single brand retailers adopt models where there is no link between the investing arm and the brand owning arm. In such cases, the brand owner entity could issue an exclusive licence/franchise to the investor entity, to use the brand for the purpose of retail trading, either globally or for a specific region, through appropriate agreement/(s). Such business models were not found to be in consonance with the condition that the foreign investor should be the brand owner. In view of the fact that the global business models do not strictly conform to this condition, a number of investors, who would otherwise have looked at investments in India, may not be able to do so. Therefore, keeping in view the constraints being faced by genuine foreign investors with different business models, as mentioned above, it would facilitate investment if this condition is liberalised. However, in order to address the concern that more than one franchisee/licensee may apply for undertaking SBRT for the same brand, which could lead to difficulties in monitoring compliance and fixing responsibility for non-compliance of the specified conditions, it has been mandated that, only one non-resident entity, whether owner of the brand or otherwise, shall be permitted to undertake single brand product retail trading in the country, for the specific brand, through a legally tenable agreement, with the brand owner in respect of the specific brand for which approval is being sought. The onus for ensuring compliance with this condition shall rest with the Indian entity carrying out single-brand retail trading in India. The investing entity shall provide evidence to this effect at the time of seeking approval from Government, including a copy of the licensing/ franchise/sub-license agreement, specifically indicating compliance with the above condition.
Regarding the condition that 30% sourcing be mandatorily done from Indian small industry, investors have pointed out that it would be difficult to comply with this condition in the case of very specialized/high technology items. Global single brand retailers are often engaged in the business of retailing specialty/high-tech products. Such products are niche products, wherein it may not be viable for the foreign investors to build capacities wherever they engage in retailing, owing to the specialized requirements of quality and precision which the local small industry may not be able to provide. Investors are, therefore, of the view that the condition of 30% mandatory sourcing from Indian small industries/ village and cottage industries, artisans and craftsmen, is acting as a deterrent to the desired foreign investment in this activity.
The other category of products relate to the entire range from household appliances, utensils, furniture, crockery to furnishings, etc. These products are far more amenable to sourcing from MSMEs, village and cottage industries, artisans and craftsmen. Therefore, the proposed modification of the condition is envisaged to take into account the circumstances of both the specialized/high technology niche products, as well as the general category, covering a wide range of items. The fact that 30% domestic sourcing is being mandated would imply that the single brand retailers would have to build production capacities in the country, either in existing units, or set up new ones, catering specifically to their sourcing requirements. Hence, even the 30% domestic sourcing is expected to develop production capacities in the country, with the attendant global best practices, relating to design, production and quality. Since single brand retailers are global players, Indian suppliers and vendors to these retailers would have an opportunity of becoming a part of their global supply chains. Thus, Indian products could find their way in the stores of these single brand retailers located in other countries, thereby augmenting exports from India as well.
Thus, the amended condition relating to sourcing of 30%, of the value of goods purchased, being done from India, preferably from MSMEs, village and cottage industries, artisans and craftsmen, in all sectors, where feasible, is expected to benefit Indian producers, including the Indian handicrafts sector, which provides livelihood to millions and is important from the point of low capital investment, high value-addition and high potential for export, as also to meet the critical need to integrate Indian producers with the domestic and global markets. Skill integration with craftsmen abroad is likely to help develop synergies with international brands and generate more employment. The consequential benefits, arising from the integration of global best practices in management, along with global standards in quality, design, packaging and production, would help build capacities of local producers, by making it worthwhile for them to scale-up their production, thereby creating a multiplier effect on employment and income generation. This would also lead to up-gradation of technology, which, in turn, would have a further multiplier effect on the economy.
February 22nd, 2012
Tens of thousands of small retailers protested against FDI in Retail and FTA under the banner of Bhartiya Udyog Vyapar Mandal. More than 10,000 traders from Kerala belonging to the Kerala Vyapari Vyavasayi Ekopana Samithi led from the front. Protestors were arrested by the Parliament Street Police Station.
For Photo click:
http://dkfordignity.blogspot.in/2012/02/parliament-march-against-fdi-in-retail.html
http://dkfordignity.blogspot.in/2012/02/parliament-march-against-fdi-in-retail_22.html
For Press Release Click:
http://dkfordignity.blogspot.in/2012/02/p-r-ess-release-2-2-februa-r-y-2012-t.html
For News Click:
http://timesofindia.indiatimes.com/city/kochi/Kerala-traders-protest-over-FDI-in-retail/articleshow/11984989.cms
http://economictimes.indiatimes.com/news/politics/nation/kerala-traders-shut-down-to-protest-fdi/articleshow/11990151.cms
Senior leaders of different political parties and retail stakeholders joined hands together at Save Retail Democracy Rally organised on 7th of March at historical Ram Leela maidan of Delhi. All major wholesale and retail markets of Delhi remained closed on the day.
Tens of thousands of retailers, farmers, hawkers, transporters, labourers, consumers, cooperatives, small scale industries and civil society organizations participated in the rally. An anthem “Jago Apne Watan Ko Bachao-Retail FDI Ko Bhagao” (wake up to save country and chase away Retail FDI) composed by noted bollywood music director Salim Suleman and conceptualised by leading Ad Company R.K.Swami BBDO was the star attraction of the rally.
Senior Leaders of different political parties including BJP President Mr. Rajnath Singh, Leader of Opposition in Lok Sabha Smt. Sushma Swaraj, Leader of Opposition in Rajya Sabha Mr. Arun Jaitley, Chairman of Public Accounts Committ ee of Parliament Dr. Murli Manohar Joshi, NDA Convener & Janta Dal (U) President Shri Sharad Yadav, Senior CPI Leader Comrade A. B. Bardhan, Leader of CPM in Loksabha Comrade Basudev Acharya, Comrade Amarjeet Kaur and Shri Pawan Kumar of central trade unions addressed the rally.
Carissima comunità,
lo scorso sabato 2 marzo 2013 s’è tenuta la Prima Assemblea Nazionale di ACORN Italy, nel nostro quartier generale di Piazza dell’Ateneo Salesiano, 77 a Roma.
nella riunione, aperta anche ad esterni, è stato sottoposto a voto e confermato all’unanimità il “vertice” (un po’ una parolaccia, noi al contrario preferiamo chiamarci tutti base) di ACORN Italy, in particolare David Tozzo (www.davidtozzo.it) è stato confermato Presidente nazionale, Riccardo Corbucci (www.corbucci.it) è stato confermato VicePresidente, Francesco Nisi è stato confermato Segretario-Tesoriere ed è stata definitivamente ‘ufficializzata’ la carica di Capo Legale per una nostra risorsa inestimabile, Luca Brienza, che ha anche fatto un bell’affresco delle nostre attività sin qui e altresì proposto nuove idee per il futuro.
(da sinistra: Francesco Nisi, David Tozzo, Luca Brienza all’Assemblea)
Nella stessa riunione è stato presentato il bilancio, nel dettaglio di ogni voce di entrata e soprattutto di spesa, e il tutto è stato democraticamente votato e approvato (sempre all’unanimità).
il Presidente ha poi, rilanciando i nostri cavalli di battaglia delle campagne Affitti in Nero – Padroni in Bianco (http://goo.gl/k6nn7) ed EQUALITY (http://goo.gl/Fouvw), esposto la sua visione per il futuro della nostra associazione, proponendo quanto segue:
dopo aver portato avanti – e naturalmente continuando a farlo, come fulcro di tutto – campagne nazionali come le due appena citate, il Presidente vuole provare a proporre un “ritorno alle origini” dell’organizzazione così come nacque negli Stati Uniti molti anni fa in seguito agli insegnamenti di Saul Alinsky di cui il Presidente Tozzo ha parlato nel suo ultimo libro Saul Alinsky – Rivoluzionario Democratico (http://goo.gl/sGo0W) prima di essere da noi portata in Italia nel 2011, una “organizzazione di comunità”, ovvero un’associazione che organizzi non solo nel nazionale, ma anche nel locale, affrontando questioni e problemi anche solo di singole città, singoli municipi, singoli quartieri, strade, palazzine. Persino di singoli nuclei familiari o persone, all’occorrenza. Problemi di disagio o ingiustizia sociale che se ci si trova ad affrontare assieme a una propria comunità (organizzata), invece che soli, si ha più speranze di superare con successo.
L’organizzazione di comunità è, crediamo, una delle forma di democrazia attiva e partecipativa che può trovare il proprio posto e recitare la sua parte nell’Italia a rischio e in fermento del XXI secolo, dove vediamo movimenti nati dal nulla (e da noi non certo necessariamente appoggiati, anzi) raggiungere, grazie alla Rete, quasi un terzo del consenso di un intero Paese. Ripetiamo da tempo su questi canali che il futuro – anzi il presente – del “potere” è nell’aggregazione popolare e partirà sempre più dal basso, dai tanti, dalle persone. Noi questo potere vogliamo provare ad organizzarlo, offrendo a ciascun membro di ACORN di fare la sua parte attiva in questo offrendo un contributo ad esempio anche solo (paradossalmente, ma non è poi troppo paradossale) proponendo un proprio problema, un problema della propria “comunità” locale alla propria comunità ACORN.
Per questi motivi, con questa newsletter, ACORN Italy vi invita a rispondere incoraggiandovi a esporre i vostri problemi di disagio e ingiustizia patite come cittadini e come persone nel vostro piccolo, nella vostra area, nelle vostre realtà di vita e cittadinanza. Può trattarsi di qualsiasi cosa, dalle cose a noi già familiari come problemi con il padrone di casa, il condominio, la palazzina, a questioni di amministrazione della propria strada o del proprio quartiere, come raccolta rifiuti, illuminazione, criticità e pericolosità varie, cose di cui si dovrebbe occupare chi si occupa della cosa pubblica ma per le quali può esser positivo un tipo di impegno di cittadinanza attiva, diretto. Vi facciamo notare come parte di questa cosa che vogliamo realizzare assieme abbia potenzialità anche nell’impegno amministrativo pubblico diretto che Presidente e VicePresidente hanno lanciato nel più popoloso degli ormai 15 Municipi di Roma in vista delle elezioni amministrative di fine maggio e primarie del 7 aprile (http://goo.gl/593lp), altre battaglie che se vinte potran presentare un grande potenziale di cambiamento e commistione tra l’attivismo civile e l’amministrazione pubblica, rendendoci ancora più forti, sempre tutti assieme.
Ma stiamo correndo troppo, per ora vi chiediamo di scriverci da tutta Italia e parlarci delle questioni che vorreste affrontate. Saremmo molto felici se fosse per molti di voi la prima occasione di esprimere la volontà di agire attivamente per il cambiamento, per il progresso vostro e della vostra comunità, perchè in fondo il successo di attivisti come noi è quando riescono ad attivare. E saremmo felicissimi, beh, di lottare su livelli sempre più numerosi al vostro fianco, per darvi misura sempre maggiore della bontà della vostra scelta quando avete scelto di unirvi ad ACORN, ed esser parte di qualcosa di ben più grande della somma delle nostre stesse parti. Scriveteci, non esitate, e l’impegno anche se siete centinaia e centinaia è quello di rispondere a ciascuno di voi. Di Noi.
nell’attesa delle vostre e-mail, una prima campagna “locale” che ha a che fare con i Diritti Civili come sempre, e in particolare col diritto alla salute che è una delle basi dell’individuo, verrà lanciata con un’altra newsletter, ma nel frattempo non rinunciate a rendervi cittadinanza sempre più attiva e a scriverci, v’aspettiamo davvero
p.s. se questa newsletter v’arriva l’8 marzo, non aspettatevi un augurio particolare per la giornata internazionale della donna: l’8 marzo è tutto l’anno, e il rispetto per lei dev’essere sempre p.s. andiamo verso i 500 fan su facebook, se non l’hai ancora fatto clicca Mi piace!: www.facebook.com/acornitaly
come sempre, Avanti !
— ACORN Italy
www.acornitaly.org www.facebook.com/acornitaly Skype: acornitaly
Piazza dell’Ateneo Salesiano, 77 00139 – Roma
Please see attached report.
Buenos Aires, 03 de marzo 2013
ACORN-Argentina
Organizador: Yadira Micolta Victoria
Informe: Mes de febrero
En el mes de febrero, al igual que enero, el trabajo fui muy poco, debido a las vacaciones de verano. En marzo ya podremos comenzar con el trabajo realmente.
En febrero iniciamos con la realización del mural, luego nos encontramos con algunos de los miembros de la ONG, (que habían estado de vacaciones en sus respectivos países), pudimos organizar para llevar la siguiente carta a la municipalidad:
Isidro Casanova 27 de Febrero 2013
Solicitar Audiencia
Honorable Consejo
Deliberante
S. Magario
S/D…
Nos dirigimos a ustedes a través
De la presente, a los fines de solicitante una audiencia, motivo la presente la necesidad de tratar la urbanización del Barrio Madre Teresa de Calcuta.
Que ocupamos unas ochentas, familias hace más de lo Diez años, con el fin de obtener la posesión legal de los terrenos comparados y así poder contar con los servicios de luz agua gas, recolección de residuos etc.
Esperando su respuesta favorable a nuestra solicitud los más a bajos firmantes los aludamos atentamente.
Esta carta iría firmada por los miembros de la Organización y por vecinos del barrio, intentamos llevarla la semana pasada pero no fue posible, debido a que faltaron algunas firmas. Junto con la carta tienen que acompañarnos 10 miembros de la organización.
En cuanto a la campaña de remesas, estamos pensando en enviarle a una lista de periodista la información para que sea divulgada.
Seguimos con el envió de cartas, porque tenemos miedo que en algún momento puedan sacar a los miembros de la organización de sus casas, debido a que estos terrenos no les pertenecen, entonces la única estrategia es seguir llenando a la Municipalidad de la matanzas de peticiones, si en algún momento ellos llegan a tomar alguna acción contra nosotros, mostraremos las cartas como garantía de que estuvimos insistiendo constantemente en la adjudicación de los terrenos a los vecinos del Barrio Madre teresa de Calcuta.
Aquí pronto se acercan las elecciones, ya algunos candidatos han comenzado a lanzar sus propuesta, por ese lado quisiéramos saber cuáles son las propuestas qué tienen referente al desarrollo de la Matanza, vamos a estar investigando e informándoles para así poder reclamar nuestro derecho.
Please click to read about our hawkers conference held yesterday in Delhi. More than one thousand street vendors gathered in the conference of Hawkers Joint Action Committee. The committee is initiated and facilitated by us. The central Minister announced for an act to issue vending licences to 2.5% of urban population.
