Govt to audit retail chains

JAKARTA (JP): The government plans to audit foreign retail chains to ensure they are following existing regulations.

Minister of Industry and Trade Yusuf Kalla said here on Wednesday his ministry wanted to ensure the foreign retailers had local partners for their operations in the country.

"All foreign retailers are allowed to operate in the country as long as they cooperate with small-scale retailers," he said after the opening of the annual congress of Indonesian retailers.

The presence of major retail giants such as the French supermarket chains Carrefour and Continent has been seen by some as a threat to local retailers. The foreign chains, known for their large discounts, are becoming increasingly popular among local buyers.

The Indonesian Retail and Merchants Association has called on the government to protect local retailers by imposing restrictions against foreign retail chains. (hen)