New Delhi, Nov 26 (KNN) In a communication sent to the Prime Minister Narendra Modi, the Confederation of All India Traders (CAIT) has demanded complete overhauling of retail trade of India.

In its communication, the CAIT has listed some of the core and critical issues including need of an immediate e-commerce policy, incentives and encouragement to digital payments, accidental insurance of traders, national trade policy for retail trade and a ministry of internal trade beside other issues.

In his communication, Secretary General of CAIT, Praveen Khandelwal said that the current e commerce business in the Country is greatly vitiated by online companies.

He added that this is done by indulging into predatory pricing, deep discounting and loss funding thereby creating an uneven level playing field and influencing the pricing which is against FDI Policy 2016 Press Note No. 3 of the Government.

There are no rules & regulations for e commerce companies, he said.

Therefore, there is an urgent need of an E Commerce Policy by the Government and formation of a Regulatory Authority to monitor and regulate e commerce business in the Country and to create a level playing field, Khandelwal mentioned.

He also suggested that in association with Trade Associations, the Government should launch an e commerce portal where traders are encouraged to do their business.

Such portal will be transparent and traders will certainly like to be associated with such portal, he said.

In line of the initiative of Prime Minister for adoption of digital payments, serious efforts are needed for faster adoption and acceptance of digital payments across the Country.

Therefore, the charges levied by the banks in digital transactions being one of the major deterrents in its adoption, the bank charges should not be levied either on traders or consumers and it should be directly subsidised by the Government to Banks.

On the same side relaxation in taxes should also be given to those traders who will do their business maximum with digital transactions.

He has also suggested that National Payment Council of India (NPCI) should be made the owner of RUPAY card and should be asked to ensure greater penetration of Rupay all over the Country.

On the other hand an independent Regulator should be formed to regulate digital transactions.

A Digital Payments Promotion Board may also be set up with all stakeholders to ensure that more and more people should use digital payments in order to make India, a less cash nation.

Khandelwal further urged that the traders registered with GST should be given an Accidental Insurance of Rs. 10 lakh by the Government.

A special policy should also be formulated to provide compensation to traders affected by any natural calamity.

It is also suggested that some percentage of the tax deposited by the traders should be kept reserved for giving pension to traders after attaining the age of 60 years.

He has said that the tag line of MUDRA yojna was “Funding for Non Funded" though real beneficiaries are facing several problems in obtaining Mudra loan.

The CAIT has suggested that as per declaration of the Prime Minister, the NBFCs, MFIs etc. should be made the last channel to offer lending to actual borrower and Banks should be asked to lend money to these Institutions.

Arguing strongly for a policy for retail trade, the CAIT has said that Retail trade is one of the most important sectors of Indian economy.

It is the only sector of economy which does not have either a Policy or a separate Ministry. 

It is suggested that a National Trade Policy for Retail Trade should be formulated and a separate Ministry of Internal Trade be formed to act as one window to look after the interests of Retail Trade in the Country. 

With the rapid changes at global level in conducting business and also with greater usage of modern technology, it is all the more essential that existing Indian retail trade should be upgraded and modernized to meet the domestic and global challenges

The CAIT has also urged the Prime Minister for redefining of credit norms for small businesses, Better Infrastructure facilities in commercial markets, augmentation of safety & security of traders and commercial markets.