The ICRIER survey on the question of 'entry of organised sector into retail' has found that producers and consumers also gain considerably. It further noted that all income groups saved on costs through organised retail purchases, but lower income groups saved much more.
And profit realisation for farmers selling directly to organised retailers is about 60 per cent higher than that received after selling their produce at mandis.
The gains in efficiency from big retail are so great that resisting its entry may look as foolhardy a decade later as resistance to computerisation seems now.
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Is there a need for more debate?
Muralidhar Rao
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Great potential
A modern supply chain can greatly benefit the nation.In a time of rising food prices, this will hold down the price. Also, as a large percentage of food is wasted in the current primitive supply chain, a lot more food can be consumed. Clearly there are benefits to the consumer.
Better organized food transport which only big retailers can bring will also shield from rising cost of fuel.
If they pay farmers better, they are contributing to greater rural development-more than loan waivers, "free" power and so on.
Unlike previous attempts at modernization that touched only the top 20%, this can change the lives of over a billion Indians.