Our Bureau

Chennai , July 14

REPRESENTATIVES of all major traders associations and trade unions in Tamil Nadu have decided to oppose foreign direct investment (FDI) in retail, particularly the entry of Wal-Mart into the country.

Mr Wade Rathke, Chief Organiser, Association of Community Organisation for Reform Now (ACORN), and two of his colleagues were in the city to form an alliance of trade unions, local communities, anti-globalisation and consumer groups to campaign against Wal-Mart entering the country.

Mr Rathke said the alliance's mandate is to create an awareness of the impact of Wal-Mart's business model on local communities and small businesses.

A press note said FDI in retail would entail job losses on a massive scale. It would hurt the country's small businesses and create monopolies, and lead to large-scale unemployment, the release said.

Mr Jason Judd, Director, AFL-CIO (American Federation of Labour and Congress of Industrial Organisation), said the entry of Wal-Mart would hit Indian suppliers as cheap goods from China would flow into the market.

In a meeting organised by CARE Trust, a non-governmental organisation, it was decided that there would be a conference on October 2 to create an awareness of the impact of huge retail chains on the local community and the need to oppose FDI in retail, said Mr T. Vellaiyan, Vice-President, All India Traders Association and President of the Tamil Nadu Traders' Association Federation.

Mr S.M. Prithiviraj, Executive Director, CARE Trust, said a poster campaign would be launched to mobilise public opinion against the entry of large-format stores such as Wal-Mart.

He said there were also plans to undertake a research project on the impact of large formats on the social, economic and environment fronts, with emphasis on the jewellery, garment and retail sectors.

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