There are two very important and interesting conclusions that have emerged from the study:
• FDI in retail will not lead to any loss of jobs. On the contrary, an independent retail sector will create an additional 9 million jobs by 2021. Simultaneously, FDI in retail will also help corporatized retail to create in excess of 2.5 million jobs, through direct employment alone, by 2021. E-tailing, by itself, has the potential to create 1 million jobs. These additions will increase the total employment in the retail sector from the current 23 million to 35 million by 2021.
• FDI in retail will increase tax revenues (in form of VAT etc.) nearly fivefold, from the current annual USD 3.4 billion to USD 16.2 billion, by 2021. This incremental revenue will directly accrue to the coffers of state governments, proportionate to of their share of total merchandise sales in India. [Read More…]