The small time traders and retailers reeling under the impact of Covid induced recession fear the state government’s pact with Flipkart will further affect trade prospects.

The JMM government has signed an MoU in March with the online shopping site and FICCI for infrastructure and industrial development.

Rajesh Gupta, Patron of Federation of Dhanbad Zila Chamber of Commerce and Industry, said: “At a time when the trade is already declining due to the impact of Covid such a step would pose a strict competition to the small time traders, although the MOU is avowedly meant for infrastructure development.”

“The small traders having lesser capital and resources can’t survive amidst the onslaught of these marketing giants having huge capitals as in order to attract the customers they purchase the article from us then supply the same at lesser price,” said Gupta.

“The trade towns like Dhanbad still depend on the muhalla shops and thus the government should concentrate on strengthening these shops instead of posing competition to them through big online marketing giants,” he said.

Echoing Gupta’s sentiments, Prabhat Surolia, president of Bank More Chamber of Commerce and Industry said, “Though the MoU can prove good for industries in procuring raw materials and supply of finished products but it may prove fatal for the small traders and retailers.”

Surolia suggested a change in the marketing strategy for the small traders in view of bigger challenges posed by marketing giants and said that the small shopkeepers should also ensure usage of internet technology to take orders etc and ensure home delivery of products.

“We are also planning to develop a mobile app for our shop in order to take orders from the customers and ensure home delivery of products etc,” said Surolia.