1. some of the data on the retail sector in India makes for interesting reading. For instance the CII-AT Kearney retail study shows that retailing is the largest contributing sector to the country's GDP. Besides, the retail sector contributes about 10 percent to the GDP compared to 8 percent in China, 6 percent in Brazil and a matching 10 percent in the US.
2. Data clearly shows that the retail sector is not only extremely large but provides a huge amount of jobs in this country. The entry of the organised large retail chains may not have an immediate impact on the trading community. But in the long run, it is clear that small traders and retailers will be affected and the government cannot ignore the issue.
3. wastage estimated in the Indian food chain is around 40 percent, valued at over Rs.500 billion ($10 billion) annually. A study by the Indian Council for Research on International Economic Relations (ICRIER) has also shown that only about 2 percent of fruits and vegetables are processed in this country. In this backdrop, it is felt that there is no option but to allow big retail chains to make huge investments needed to create an efficient and modern agro processing industry.
Link : India's retail explosion: boon or bane?