Backing FDI in multi-brand retail, Ficci President R V Kanoria on Saturday said about Rs 64,000 crore is required to build a strong backend infrastructure like cold storages to reduce wastage in agriculture items.
Kanoria was speaking at an interactive meeting here on the issue of concerns of retail stakeholders like small kirana stores, farmers and consumers.
Lack of adequate storage facilities causes heavy losses to farmers in terms of wastages in quality and quantity of produce in general and of fruits and vegetables in particular, Kanoria said, adding it also leads to high rate of inflation.
"Huge investment of almost Rs 64,000 crore is required to build a strong backend infrastructure in India. Thus, FDI in retail would help in addressing this issue with compulsory investment of 50 per cent in backend," he said in a statement.
He also said investments in the retail sector will see gainful employment opportunities in processing, sorting, marketing and logistic management due to the decision.