SOIL Report 2008 - ACCESS Development Services

Possibilities: Livelihood Opportunities and PotentialWith so much discussion around the effect of organised retail on livelihoods of the poor, it is importantto put things in perspective. Even as India has the largest number of retail outlets in the world, currentlyorganised retail accounts for only 4 per cent of the total retail market in India. Estimates suggest thatthis share will increase to 25 per cent by 2018. A T Kearney’s annual Global Retail Development Index (GRDI)cites India as the most attractive market for retail investment. 4 The Commerce Ministry, of GoI, terms retail asa ‘sunrise sector’ 5 , and assesses that the organised retail sector will generate 10 to 15 million jobs overthe next five years, and that the value of the organised retail sector in India by 2010 would be aroundRs 2,00,000 crore or US$45 billion. 6Within organised retail the types of jobs that are being created include stocking and grading, storekeepingservices, quality checking, billing services, cleaning, maintenance, sales, customer service. Theselivelihoods are relevant for big urban centres. These kinds of jobs require young and energetic persons,and one of the most basic prerequisites include grooming, communication and presentation skills forthose who interface with customers. This is one of the reasons that English-speaking personnel are somuch in demand. For the back-office work, such as storekeeping and inventory management, somebasic trainings are required.Repair of personal and household goods is formally a part of the retail sector. However, this does notface a threat from organised retail, similar to those of livelihoods based on retail of food, paan, etc.There are around 3.1 million livelihoods dependent on this sector, which absorbs around 11 per cent ofthe employment in the retail trade sector.The CommerceMinistry,of GoI,terms retailas a ‘sunrisesector’ , andassesses thatthe organisedretail sector willgenerate 10to 15 millionjobs over thenext five years,and that thevalue of theorganised retailsector in Indiaby 2010 wouldbe around Rs2,00,000 croreor US$45billion.These skills are easy to impart, and there are several ITIs delivering courses for repair of electronics andelectricals. Currently 74 per cent of the persons in this sector are self-employed and 18 per cent haveregular jobs. Given this, such trades can be encouraged largely for self-employment though capital willhave to be provided for these trades.Description of Sub-SectorTable 4.8: Employment in ‘Repair’% Share in Employment52601 Repair of footwear and leather goods 6%52602 Repair of household electrical appliances 12%52603 Repair of TV,VCR, radio, tape recorder, refrigerator and othersimilar items52604 Repair of watches and clocks 3%52605 Repair of bicycles, cycle rickshaws and other non-mechanisedvehicles19%24%52609 Repair of personal and household goods n.e.c. 36%6. Construction is the only fast growing sector with a low differentialbetween the GDP and employment growth ratesWith around 6 per cent of the workforce engaged in construction, it becomes a sector to reckon with,particularly considering that this is one of the only single-digit sectors in the NIC system, in which thedegree of homogeneity is very high. In most other sectors, distinct and often disconnected sub-sectorsare subsumed within the single-digit sector such as trade and hotels, or transport and communication.4http://info.shine.com/Industryspecific.aspx?cid=976ec02d-3697-4df7-811d-a719d5ab5bb0&industryname=Retail, accessed on 26th June 20085http://commerce.nic.in/pressrelease/pressrelease_detail.asp?id=1895, accessed on 26th June 20086http://commerce.nic.in/pressrelease/pressrelease_detail.asp?id=1895, accessed on 26th June 200889