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FDI will force small traders out of business: Dhumal
Tribune News Service

Shimla, September 15
Himachal Pradesh Chief Minister PK Dhumal today said the decision of the Centre to allow Foreign Direct Investment (FDI) will not be permitted in the hill state. Dhumal said the decision to allow FDI would negatively impact the economy and many small traders will be put out of business.

“FDI will not be allowed in Himachal under any circumstances as the small traders are in no position to compete with the multinational companies (MNCs),” he remarked.

Dhumal came down heavily on the Centre for taking a decision which would prove disastrous for the country. He said with limited employment avenues in Himachal, the move could aggravate the problem as many could lose their business with the coming of MNCs and retail outlets.

Even as there is widespread criticism of the move to allow FDI in certain sectors, there are some who feel Himachal could gain tremendously from the move. “With Himachal being one of the major producer of fruits and off-season vegetables, it could find a bigger market in the form of retail outlets,” say some of the growers of Solan and Shimla.

With none of the cities in the hill state having a population of more than 10 lakh, the state is unlikely to be impacted adversely. The state’s economy would benefit by being a supplier of various commodities without its trades being directly hit.

Himachal, with its existing cold storage facilities, could also gain in terms of infrastructure development by the MNCs. With supply of produce from the state, cold storage and transportation facilities are bound to be created. Notwithstanding the political implications of the decisions in a BJP-ruled state, a large section of the people feel Himachal could gain by allowing FDI.