Why not encourage small local brands with some tax concessions?Everyone knows that Pepsi, does not sell Coke in South India. One does not know about North India but they are positively into a big range of processes food products.
Possibly, this is one reason that smaller brands are all over the markett. In Tamil Nadu, in every district, there is a registered soft drink brand that keeps selling variants of the Cola and other soft drinks like orange flavours, the lime flavours and so on. The smaller packs in disposable bottles retail at just Rs.10 apiece and these sell like hot cakes, particularly in summer.
One understands that GST is applicable and some State taxes are also applicable. However, since the volumes are huge, the unit prices are not increased at all. Mostly, it is just the same Rs10 as of now.
A question that naturally arises is whether more of entrepreneurs can be engaged in the same business through tax and other concessions. After all, it is also the lower middle class that is very much active as consumers. Why should not the manufacturers be given some State support?
It is not the unorganised sector. It is the local formal sector. Ofcourse, the local unorganized sector comes in the form of smaller packs of Rasna or buttermilk and so on. One can be very sure that similar products will be there in every State. When the great Adani and Ambani can become so rich through State support, why not the small entrepreneurs?