The Government of India has recently announced a significant change in its bureaucratic structure. The Department of Industrial Policy & Promotion (DIPP), operating under the Ministry of Commerce and Industry, will now be known as the Department for Promotion of Industry and Internal Trade (DPIIT). This rebranding is not just a name change, but also involves the addition of four new areas of responsibility to the department.
Expanded Responsibilities of DPIIT
In its new avatar, the DPIIT will oversee not just promotional activities related to industry and trade, but also focus on the promotion of internal trade, including retail trade. The department will be responsible for the welfare of traders and their employees, and will additionally handle matters relating to facilitating Ease of Doing Business. It will also undertake responsibilities pertaining to start-ups, a domain that was formerly a part of the Ministry of Consumer Affairs.
Continuation of Legacy Responsibilities
Despite the added responsibilities, the DPIIT will continue to carry out its traditional roles as well. These include handling general industrial policy, administration of the Industries, industrial management, productivity in industry, and matters related to e-commerce. These tasks were originally the responsibility of the erstwhile DIPP and will remain so under the banner of DPIIT.
The Response from CAIT
The Confederation of All India Traders (CAIT) has reacted positively to this shift, opining that this move will integrate retail trade into the mainstream economy. Retail Trade is a significant segment of the non-corporate sector in India, conducted by more than 5 crore business enterprises.
| Fact | Figure |
|---|---|
| Number of enterprises involved in Retail Trade | 5 Crore |
| Number of people employed in Retail Trade | 46 Crore |
| Contribution of Retail Trade to national GDP | 45% |
CAIT’s Recommendations for the Future
Furthermore, CAIT has been urging for the creation of an independent Internal Trade Policy. It seeks a dedicated Ministry of Internal Trade at both Centre and State Government levels in order to formulate policies specifically for self-organized traders. Such targeted support would bolster the myriad small enterprises that form the backbone of India’s trade and commerce network.
About Confederation of All India Traders (CAIT)
CAIT represents the non-governmental apex body of the trading community of India at the National Level. The organization’s headquarters are located in Vyapar Bhawan, New Delhi. Its primary role is to represent and safeguard the interests of the trading community across the nation.
