Traders, worried Walmart-Flipkart deal will kill business of small retailers, say they are not just donors but also voters, and it’s time to remind Modi govt of that.
New Delhi: As a traders’ body supported by RSS affiliates calls for a nationwide bandh on September 28 to protest against the Walmart-Flipkart deal, the ruling BJP is watching the developments with concern.
Coming ahead of the year-end assembly elections in four states and the general elections next year, fresh agitations by traders, the BJP’s core vote bank, could muddy waters for the party.
Led by the Confederation of All India Traders (CAIT) and supported by the RSS-affiliated Swadeshi Jagran Manch (SJM), the traders say they want to shake the political leadership out of its comfort zone and take note of their demands.
The BJP has chosen to keep quiet on these developments. BJP spokesperson on economic affairs Zafar Islam said the party has no view on the deal as it’s for the government to look at its ramifications.
‘Don’t forget, we are voters’
The traders have decided to drive home the point that they are voters, not just ‘small businessmen’ or donors to the party fund. This is significant in light of the assembly elections in BJP-ruled states at the end of this year, and the Lok Sabha polls next year.
“Seven crore voters across the country will shut their business on 28 September, observing Bharat Trade Bandh, a call given by CAIT,” the CAIT said in a statement.
Also read: RSS affiliate Swadeshi Jagran Manch wants PM Modi to stop Walmart-Flipkart deal
CAIT secretary general Praveen Khandelwal, who had contested the Delhi assembly elections on a BJP ticket in 2008, said: “It is important for us to make them (government) realise that we are voters as well. They should not forget this fact in an election year.
“This protest is not just for the BJP to sit back and take note of our strength. There are many regional parties who too should watch the change closely.”
Khandelwal, who believes that Walmart will kill retailers in India, warned: “In an election year, harming us by giving our space to Walmart will have severe repercussions.”
He also clarified that protesting against the BJP government did not mean the traders would go into the Congress camp.
“We won’t side with Congress as their leader Abhishek Manu Singhvi represented Walmart. The Congress chief Rahul Gandhi can speak of small traders, but he should have taken note of Singhvi who wants to kill their businesses,” he said.
Why SJM is supporting the bandh
On 28 May, the department of industrial policy and promotion — which falls under the ministry of commerce and industry — had forwarded a representation from the SJM to the Enforcement Directorate and the Reserve Bank of India.
The RSS affiliate had alleged irregularities in FDI policy norms, competition and taxation issues in the Walmart-Flipkart deal.
“We had mentioned that Flipkart is illegally carrying out multi-brand retail trading through e-commerce by flouting e-commerce norms. Government departments, especially the Enforcement Directorate, has chosen to shut its eyes and ears in this case,” said Ashwani Mahajan, national co-convenor of the SJM.
Also read: Shiv Sena puts up posters against rising fuel prices, then stays away from Bharat bandh
“CAIT has asked our teams to help them in the Bharat Bandh and we will support them,” said Mahajan.
He said the message must reach the political leadership that rules are being flouted in deals, and that the leaders are being misled by the bureaucracy.
“There should be an inquiry into the ED’s role in the (Walmart-Flipkart) deal,” he said.
Asked if they had met government representatives on the issue, both Khandelwal and Mahajan said they had.
“We had meetings and were told that our complaints will be looked in to. However, whatever communication is being sent to the ED and RBI on the deal is not being dealt with seriously,” said Mahajan.
There is nothing that the government has said on the issue officially till now, claimed Khandelwal.
The Walmart-Flipkart deal
US-based Walmart Inc., the world’s largest company by revenue, bought majority shares in Flipkart for $16 billion, to become a direct rival of Amazon.
Traders allege that FDI for multi-brand retail has certain restrictions, which have been flouted in the deal. They believe that Walmart has secured a “backdoor entry” into India.
The traders believe that through e-commerce, Walmart will infiltrate into retail trade in India, which will affect the trading community.
“Walmart will be indulging in malpractices, as we have seen — like predatory pricing and deep discounting — which will put local traders at a disadvantage,” said Khandelwal.
Traders say the deal is in “open violation” of the FDI policy and will adversely affect small businesses whereas the FDI in retail will prove to be disastrous for the small and medium enterprises.
What a good riddance it will be if modi gets defeated in 2019 by his own supporters. This could well be a fanciful idea but you never know what future can spring up surprises for us. All I know is that BJP won only 5 seats out of 24 LS by-elections held since 2014.