Retail Revolution in India
Left Front Partners in West Bengal are at loggerheads over opening up of the retail sector to big players. Forward Block, the junior partner of Left Front government in West Bengal objected the renewal of the licence of Metro Cash and Carry,the multinational wholesaler to operate in Calcutta but Chief Minister Buddhadeb Bhattacharya renewed their licence despite stiff opposition from the party.It is alleged that Germany based the Metro group has been selling the farm products even below the distributor’s price.Metro Cash and Carry has a membership of over a lakh.Their customers are mainly hoteliers,small and midium sized traders and retailers in bangalore.They started their India operation in 2003.It has two bangalore distribution centre and an outlet in Hyderabad.They adopt the same method use by other big player.The procure farm products from farmers directly and go for contact farming,ignoring traditional chain like clearing and forwarding agent,the distributor,the wholesaler before reaching the retailer. The first distribution centre opened in Bangalore offers a selling space of 6,500 square metres . The goods assortment comprises some 17,500 articles. About 90 percent of the goods offered procure from local producers and suppliers. Metro Cash and Carry is not involved in retail bussiness but targets bulk buyers.Each buyer should hold a metro card to enter the Metro outlets.In Bangalore they are not allowed to trade in agriculture produce like fruits and vegetables from outside the APMC(Agricultural Produce marketing Committee).It can not procure farm products directly from the farmer.