MSMEs in retail sector: Retailers’ body Retailers Association of India (RAI) on Tuesday announced a Memorandum of Understanding (MoU) with FaMeTN (Erstwhile MSME Trade and Investment Promotion Bureau), the trade and export promotion body under the Government of Tamil Nadu to help in forming a Retail Policy in the state and support the retailers and MSMEs.
RAI said it helps in facilitating discussions between FaMeTN and the member retailers to help them understand their needs regarding capital, skill development, branding, compliance and marketing. RAI will also help in communicating the initiatives of the state government to the retailers.
Kumar Rajagopalan, CEO, of the Retailers Association of India (RAI), said, “With the collaborative agreement between FaMeTN and RAI paving the way, the state’s MSME landscape is set to flourish. In this dynamic ecosystem, it’s crucial to remember that a staggering 90 per cent of retailers are MSMEs that drive the industry forward. Let’s not forget, the larger retailers’ support for MSME suppliers completes this symbiotic cycle of retail success.”
According to the MoU, FaMeTN will provide support for government initiatives, coordinate staff participation, nominate senior officers and hold discussions with key local stakeholders. The government body will also help find key markets abroad for exports, help attain government clearances and offer solutions to issues related to management, financial and technological issues faced by the MSMEs and retailers.
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“FaMeTN is committed to empowering MSMEs in Tamil Nadu, as they form the backbone of our economy. This MoU with RAI is a substantial step towards streamlining the process of understanding and addressing the varied needs of our MSMEs,” said Grace Lalrindiki Pachuau, IAS, Additional Commissioner, ICDIC and Executive Director, FaMeTN.
Retailers Association of India is a not-for-profit organization that works with all the stakeholders of the retail industry to address the challenges of the industry.
According to its July 2023 survey of retail business, retail sales in India showed moderate growth of 7 per cent as compared to the sales levels during the same period in June 2022. In categories, Food & Grocery and Footwear reported a growth of 15% each followed by jewellery with 14 per cent growth and Sports Goods with 13 per cent growth as compared to sales levels in June 2022.