CAIT to host multiple protests against Walmart-Flipkart deal
The Walmart recently announced that it has completed the US $ 16 billion transaction giving it the majority stake in India’s leading e-commerce firm Flipkart.
Soon after the acquisition was completed, the Confederation of All India Traders (CAIT) decided to call for ‘Bharat Bandh’ on 28th September to oppose the deal. CAIT claims that the deal violates the Government’s Press Note
No. 3 of 2016. It is important to add here that, Press Note No. 3 of 2016 of Government marks out the guidelines for the Foreign Direct Investment (FDI) on e-commerce, which states that no ownership directly or indirectly over the products sold on the marketplace is allowed for the owner. Praveen Khandelwal, Secretary-General, CAIT was quoted as saying, “The deal between Walmart and Flipkart is trying to control and dominate the retail sector through the passage of e-commerce.” The SecretaryGeneral further said that this deal will create an uneven play-field and eliminate their competitors by providing predatory pricing, offering huge discounts and loss of funding. CAIT is also going to host a pan-India Rath Yatra on 15th September opposing the acquisition. Notably, the trader’s body came to this decision after its yearly meeting which was held in Nagpur on 19th August. More than 200 trade leaders from the country participated in the meeting and agreed on the decision to oppose Walmart taking a 77 per cent stake in Flipkart. Furthermore, the Indian trader’s body has also announced that it will hold a mega rally on December 16 to oppose the discriminatory treatment against traders.