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CAIT condemns the MoU between Gujarat handloom and Flipkart, says it contradicts Centre's stand

CAIT Secretary General Praveen Khandelwal said the MoU between Gujarat handloom and Flipkart not only contradicts and conflicts with the Centre's stand but it also hurts the sentiments of seven crore people in the state.

CAIT condemns the MoU between Gujarat handloom and Flipkart, says it contradicts Centre's stand

Wednesday January 29, 2020 , 2 min Read

Confederation of All India Traders (CAIT) on Tuesday "strongly condemned" the decision of the Gujarat government for a pact between Gujarat State Handloom and Handicrafts Development Cooperation Ltd (GSHHDC) and ecommerce giant Flipkart.


The report comes right after a day when Flipkart announced its partnership with Gujarat handloom and handicrafts organisation to empower artisans and craftsmen.


CAIT Secretary General Praveen Khandelwal said,


It is extremely unfortunate and regrettable that on one hand Commerce and Industry Minister Piyush Goyal has publicly expressed his concerns for the unethical and unlawful business practices being carried out on Flipkart, and on the other hand Gujarat Chief Minister Vijay Rupani has joined hands with Flipkart".
Handloom



He said this decision not only contradicts and conflicts with the Centre's stand but it also hurts the sentiments of seven crore people in the state. This action by the chief minister also shows his "insensitivity and indifference" to the small retailers of Gujarat who are involved in a nationwide agitation against Flipkart's business model.


Ecommerce major Flipkart on Monday said it has signed a MoU with GSHHDC for promotion of local handicrafts. The agreement is part of Flipkart's Samarth initiative under which the Walmart-backed company is helping artisans, weavers and craftsmen set up their business on the Flipkart Marketplace.


As part of this MoU, GSHHDC and Flipkart will work together to enhance business and trade inclusion opportunities for artisans, weavers, and craftsmen in Gujarat.


Eligible sellers will receive training and incubation support from Flipkart in the form of onboarding, business insights, dedicated seller support, and warehousing. The GSHHDC Managing Director Mahesh Singh said in an earlier report,


"The MoU with Flipkart is the start of a new era for Garvi Gurjari. Handloom and handicraft artisans living in remote areas of Gujarat will now be able to use Flipkart's platform to expand their market reach."


Along with marketing their products, the artisans would gain valuable knowledge about developments in designs, colour patterns, and selling techniques from the platform, he added.



(Edited by: Palak Agarwal)