The Indian government is expected to introduce a national retail trade policy and an accident insurance scheme in order to support GST-registered domestic traders, according to an official. The proposed policy is aimed at providing better infrastructure and more credit to traders, and may include provisions related to ensuring easy and quick access to affordable credit, facilitating modernisation and digitisation of retail trade, and promoting skill development and improving labour productivity.
India is currently the world’s fifth-largest global destination in the retail space. The commerce and industry ministry, along with the department of financial services, is also working on framing an insurance scheme for all GST-registered retail traders.
The proposed policy is expected to introduce ease of doing business, providing better infrastructural facilities, providing more credit, and all sorts of benefits to traders. Under the proposed policy, a single window clearance mechanism for traders may be developed, besides a centralised and computerised inspection management system.
The Confederation of All India Traders (CAIT) has welcomed the move, stating that the retail trade policy will certainly help the sector widen its business as it will have definite parameters and fundamentals within which the retail trade would be conducted. CAIT secretary-general Praveen Khandelwal said that retail trade is the only vertical of the economy which does not have a policy so far. “Likewise, awarding an insurance scheme to traders will recognise their magnificent contribution to the national exchequer,” he said.
This move is expected to have a positive impact on the retail sector in India, which has been grappling with a number of challenges. The policy is expected to create a more favourable environment for retail trade in India and may attract more domestic and foreign investments in the sector. This could lead to increased competition, better infrastructure, and more jobs in the retail sector. The proposed insurance scheme is also likely to provide a safety net for traders, which may encourage more people to enter the retail trade.