FRAI Urges Government to Support Kirana Stores with Technology to Stay Competitive

FRAI Calls for Technology Support to Empower Kirana Stores

New Delhi: The Federation of Retailer Associations of India (FRAI), representing 80 lakh small retailers, organized an event in New Delhi to demand government support for Kirana stores through a technology platform to help them compete with quick commerce giants like Swiggy Instamart, Blinkit, and Zepto.

FRAI proposed creating an "Uber-like" platform to connect local stores with customers, enabling efficient order management and fair competition. Retailers emphasized that big e-commerce players should be excluded from such a platform to prevent them from dominating the space.

Highlighting challenges, FRAI criticized quick commerce platforms for using predatory pricing and dark stores—warehouses in densely populated areas offering rapid delivery—to capture market share. These practices, FRAI warned, are driving Kirana stores to the brink of closure.

Praveen Khandelwal, BJP MP, voiced support, stating, “Our government is committed to addressing the challenges faced by small retailers. We must provide them with digital tools to modernize and compete effectively.”

FRAI urged the government to build on innovations like ONDC and UPI to empower Kirana stores, ensuring they remain competitive in a rapidly digitizing market. The association also warned that India’s unique community-based entrepreneurial culture is under threat due to the growing dominance of corporate quick commerce models.

Retailers called for immediate intervention, stating that protecting Kirana stores is essential to preserving jobs, livelihoods, and India's traditional retail ecosystem.

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