Obama's statement: India prohibited foreign investment in too many sectors

Mr. Obama's statement that India prohibited foreign investment in too many sectors such as retail is clearly an attempt to powerfully lobbying for allowing FDI in multi-brand retail trade in India . As a result of the saturation of their home markets, the multinational retail giants are waiting in the wings to enter India and other emerging markets. Of course, there is very powerful lobbying by these multinational retail giants to open up the Indian retail market. More so, the governments of their home countries also seem to exert pressure directly and indirectly to allow foreign direct investment (FDI) in retail trade. Succumbing to such a pressure, and subjecting to organised and well-designed lobbying, the Indian government recently took the decision to allow 51 % FDI in multi-brand retail trade and 100% percent in single-brand retail trade. Of course, heeding to unprecedented protest from traders, political parties and the public, the government has announced the suspension to allow FDI in multi-brand retail trade. If FDI is allowed in the retail sector, it will wipe out many of the smaller Indian retailer chains and the small retailers like the small provision shops and the push cart vendors, who thrive largely in the residential areas around upper-middle class and richer sections of the society. These tiny entrepreneurs will not only lose their source of income and livelihood, but also their honour and prestige, once they lose their retail trading occupation due to the competition from multinational retail giants. The whole family of the retail trader will be in poverty and destitution
Dr.C.Murukadas, The Times of India,  15 July, 2012