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Retail trade: Gearing up for future challenge
Our Bureau, Mumbai | Thursday, October 9, 2003, 08:00 Hrs  [IST]

If unity is strength, the retail trade in Maharashtra serves as an example to this lofty principle. The 35,000-odd retail pharma-cists in the state and a few wholesalers come under Maharashtra State Chemists and Druggists Association (MSCDA). The trade body is an affiliate to All India Organisation of Chemists and Druggists (AIOCD)-the umbrella organisation that represents nearly 5.5 lakh chemists all over the country including the Union Territories.

MSCDA came into being in the year of 1975 as a result of continuous endeavour of Vinubhai U Shah of Maharashtra, Atul Datta of West Bengal and Anubhai Patel of Gujarat, the trio which the organisation considers as its founders. Spreading through all the 36 districts, the trade body functions as a three-tier system. All the micro villages are administered by the Tehsils and these Tehsils are connected to districts level bodies. And MSCDA governs the district functionaries.

MSCDA comes fourth in the country in terms of member strength after UP (65,000), West Bengal (55,000) and Bihar (45,000) and is responsible for 20 per cent of country's retail business to the tune of around 4000 crore. The state trade is estimated to grow at the rate of approximate 10 per cent per year.

The Maharashtra model is regarded as one of the disciplined organizations of trade. MSCDA serves as the one and only voice that represents the entire state trade and there has been no parallel activity reported so far, claims J S Shinde, President MSCDA and Hon. General Secretary AIOCD. ``MSCDA is the oldest and most disciplined trade body in India. It's also one of the influential organizations. Many other states, including Karnataka, Kerala, MP and Gujarat are now trying to replicate our model,'' he says.

When it comes to relationship with the industry, MSCDA is often proactive in approach. Recently AIOCD joined hands with representative organizations from the pharma industry and allied sector IDMA, OPPI and PAMDAL to form strategies to tackle the spurious drugs menace. The association works hand in hand with the industry. There is an active exchange of information. And more than 12 memorandums of understanding (MoUs) have been signed since 1975 with the industry on various issues pertaining to the trade, says Shinde .

Contrary to the popular belief, the retailers in the state are not engaged in dealing with fake or counterfeit drugs, according to him. MSCDA will take strong action with severe punishments if it finds any of the members indulge in trade malpractices. ``I have come across no such case till today. I can guarantee that none of our outlets will sell fake medicines. No patients should be afraid of purchasing medicines from Maharashtra. And whatever fakes circulated here are through quacks. These bogus practitioners directly inject them to poor patients,'' he quips.

MSCDA has initiated a number of programmes aimed at the welfare of its members and it always goes beyond its brief in doing social services. It organizes camps to create awareness and educate masses on various diseases and medicines. It donated Rs 16.32 lakhs, to the quack-affected in Gujarat, apart from constructing 2 schools for the children of victims.

Anticipating the post-2005 scenario, the state body of chemists and retailers have already placed itself into the reform gear. In the coming years the trade will face major problems in terms of quality and standard of pharmacy practice. Programmes are on to modernize the trade with today's tools. Similarly, steps are afoot to impart lessons of community pharmacy into the pharmacists so that they can play a bigger and better role in the medical practice as per WTO/GATT requirements. More than thousand retail outlets in the state have been computerized. Training programmes for pharmacists have started in association with educational institutions and the industry.

It has also started formulating counter strategies to deal with the possible competition from multinational retail chains which can pose a tough challenge in the organized retail sector as the market opens up fully to the global trade. ``We plan to make the trade body into a private limited company in the next few months. And if possible a public limited enterprise in the near future, '' Shinde says.

Retailers should not be afraid of competiton. Rather, they should see it as an opportunity to change and equip themselves to face all the challenge, he avers.

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