Trade Body Claims ₹54,000 Cr FDI Misused for Market Dominance
Key Points:
- CAIT sends appeal to Commerce Minister highlighting FDI policy breaches
- Quick commerce firms accused of threatening 3 crore kirana shops
- National business seminar planned in Delhi on January 6-7
JAMSHEDPUR – The Confederation of All India Traders has sought Commerce Minister Piyush Goyal’s intervention against alleged rule violations by quick commerce platforms.
CAIT has distributed a comprehensive white paper to chief ministers nationwide. The document details concerns about the retail sector’s disruption.
FDI Violations Alleged
CAIT National General Secretary Praveen Khandelwal has highlighted serious concerns about market practices. “These platforms are systematically eliminating small retailers through unfair means,” he stated.
Moreover, the trade body claims quick commerce firms have attracted over ₹54,000 crores in foreign investments. However, these funds allegedly support market dominance rather than infrastructure development.
Dark Store Operations
The association has raised concerns about ‘dark stores’ operated by these platforms. “These warehouses violate FDI regulations that prohibit direct retail operations,” explained Suresh Sonthalia, National Joint General Secretary.
Furthermore, CAIT member Brijmohan Aggarwal pointed out Competition Act violations. He cited exclusive vendor agreements and price manipulation as major issues.
Planned Actions
CAIT will host a crucial business seminar in Delhi next month. Additionally, the confederation plans to meet Minister Goyal with a trader delegation.
