A Reliance Retail executive said that the company has terminated the services of 400 people and another 300 may be given the pink slip soon.
The development in West Bengal follows a series of protests by traders and political parties in Orissa and Uttar Pradesh which has forced the company to put its plans in Uttar Pradesh on hold. It is also rethinking
its strategy in Orissa.
Reliance Retail had hired about 800 people in West Bengal to staff Reliance Fresh outlets that were planned in and around Kolkata.
The company felt that the strong opposition by some political parties had made it impossible to open stores here. Recently, Bharatiya Janata Party activists ransacked a store in the Burrabazar area.
The state government had considered providing police protection for the stores, but the executive said it would not have been possible to operate the stores under continuous vigil by police.
The company had planned to invest Rs 2,000 crore (Rs 20 billion) to develop the agri-retail network in West Bengal.