ASHISH BHALLA’S TAKE ON THE RETAIL SECTOR OF INDIA

Ashish Bhalla agrees to the fact that India is growing because various industrial sectors in India are developing at a fast pace. Retail sector in the country contributes a lot to the economy of India, and it is also counted in the top retail industries of the entire world. The country has out-beaten China, and some of the factors that led its way to the upfront include high consumption rates, rapidly developing economy, increase in the number of middle class people, and increasing number of urban population. Ashish Bhalla analyses the statistics and states that by the end of the year 2018, the retail market of India will grow to touch the mark of US $950 billion, and it will eventually increase the compound annual growth rate at 13% which was just 7.5% in the year 2000.

Ashish Bhalla says there are various components of the Indian retail industry, and among all, food and grocery plays a vital and biggest role contributing to the major part in the revenue. This sector reflects 16% of the gross domestic product, and it is predicted by the experts that it is going to make 66% of the retails revenue by the end of 2020. This is how it is considered as rapid paced and dynamic player in the Indian retail sector.

How is Indian retail market categorized?

As per his research, Ashish Bhalla comes down to a conclusion that the retail industry is categorized into organized and unorganized markets, wherein 9% is held by the former and rest 91% is the latter’s share. The organized sector that includes super markets, department stores, e-tailers, gourmet stores, and discount stores is turning out to be stronger by improving at a rate of 20 to 25% CAGR every year. On the other hand, the unorganized sector is covered by street markets, kirana and general stores, and convenience stores.

Ashish Bhalla explains in brief about the modern sectors of the Indian retail market as follows.

• Modern retail: As per RAI’s reports, the current size of this sector is 871 billion, however it is estimated that the figure will reach to 1718 billion in the coming three years. The factors that led to the growth of modern retail include mobile wallets, plastic money, and digital platform as they are the need of today’s modern life, as mentioned by Ashish Bhalla. It has also been predicted that the number of retail stores will touch a mark of 100,000 by the end of the year 2020.
• Imported food: Ashish Bhalla says this sector contributes around 15 to 20% in the organized sector of Indian retail market. Lots of nuts, fruits, and vegetables are imported to various parts of the world every year and so the industry is developing at a fast speed. Some of the major factors that led to the growth of this sector are increase in foreign travel, improvement in urbanization, improvement in health awareness, and rise in the form of organized retails.
• E retail or online retail: In the past five years, there has been an immense development in the field of online retail sector. Delhi, Mumbai, and Kolkata are the cities that contribute a lot. With features such as on time delivery and affordable price, along with discounts and offers, Ashish Bhalla says that the population is shifting towards this sector.

In addition to this, Ashish Bhalla also mentions the two aspects that serve to be the pillar for Indian retail sector of the country, they are Goods and Service tax and FDI policy. He also says that very soon, there are more and more modern elements to be implemented in retail sector which are going to benefit the entire nation.

ASHISH BHALLA’S VIEW OF THE UPCOMING NATIONAL HEALTH PROTECTION SCHEME

The low health insurance penetration of India has resulted in only 27% of its citizens’ availing health cover. This was one of the biggest reasons behind the announcement of National Health Pension Scheme (NHPS) by the government in the 2018 Union budget which shall hit the market either on 15th August or 2nd October. This scheme proposing to bring 40% of the Indian population under its the health coverage by generating substantial growth in insurance premium comes allows co-payment by beneficiaries. Today, Ashish Bhalla shall take you through the NHPS scheme and the expectation we can keep from the same. We will end the article by discussing about the pre-existing health insurance schemes available in the market which can also be utilised to your benefit.

•Coverage

With a projected cost of 12000 crore INR, the total expenses under NHPS scheme shall be borne by both central and state government in the ratio of 60:40. The insured shall be provided with cashless hospitalization facility under the health insurance scheme so that they do not have to worry further about the treatment expenses. Ashish Bhalla speaks about certain selected private hospitals and state hospitals where the treatment can be availed by the insured. Expenses incurred during the initial hospitalization, secondary medical care (involving treatment from dermatologists, urologists, cardiologists etc. during a short stay at the hospital) as well as tertiary medical care (involving burn treatment, plastic surgery and cardiac surgery done on inpatients) are covered under NHPS.

•Targeted Section Of The Society

50 crore beneficiaries and 10 crore vulnerable families falling below the poverty line shall be benefitted by the flagship health insurance scheme. Each such family shall receive an annual health cover of 5 lakh INR for catering to their medical treatment. Ashish Bhalla expects that this health coverage initiative aimed at increasing the spread of health care facilities in smaller villages and towns shall replace the RSBY.

•Taking A Look At The Existing Health Schemes

Employees’ State Insurance Scheme (ESIC)

Under this scheme, employees as well as their dependants are provided complete medical cover from the very first day of employment. Ashish Bhalla adds that dependents of the insured person are also entitled to monthly pension on the event of death or injury of the insured. Specialist consultation and domiciliary treatment expenses are also covered under this scheme. Specialised medical care is also provided to permanently disabled and retired insured persons and their spouses.

Rashtriya Swasthya Bima Yojana (RSBY)

This health insurance scheme run by the government caters to the impoverished section of our society. Since its launch in 2008, the RSBY has been providing coverage to households below poverty line against the towering financial expenses which can arise out of hospitalization. Annual health coverage up to 30000 INR can be availed by the beneficiaries who will also enjoy the benefit of cashless hospitalization in a large array of empanelled hospitals. Ashish Bhalla further adds that people can get themselves registered to this scheme by paying just 30 INR as registration fee while the central and state government takes care of the premium portion.

Central Government Health Scheme (CGHS)

Launched under the Ministry of Health and Family Welfare in 1954, the CGHS aims to encompass pensioners as well as current employees of the central government enrolled under this scheme with comprehensive medical care. Homoeopathic, Allopathic and AYUSH systems of medicine are accredited to the beneficiaries under this scheme as revealed by Ashish Bhalla.

Universal Health Insurance Scheme (UHIS)

This scheme serves both the impoverished and affluent sections of our society in the form of accidental death coverage worth 25000 INR paid after the demise of the family’s sole bread earner, reimbursement of medical expenses up to 30000 INR available on hospitalization of the entire family and compensation on loss of earning member for 15 days at 50 INR per day.

Aam Aadmi Bima Yojana (AABY)

Launched in the year 2007, this social security scheme applies to below poverty line or marginally above the poverty line families having a sole bread earner. Both central and state government share the responsibility of premium payment equally and a sum assured of 30000 INR gets paid upon natural death of the insured. Ashish Bhalla further reveals that 75000 INR becomes payable on accidental death or disability of the insured within the term of insurance.

If the National Health Protection Scheme gets implemented effectively, it will ensure equitable and accessible health care to the vulnerable and marginalized sections of our society. However, proper regulation has to be implemented for ensuring that medical malpractices and overcharging in certain sectors do not render the cover ineffective as pointed out by Ashish Bhalla.