New Delhi, Dec 2 (IANS) As the government again Friday ruled out a roll-back of its decision allowing foreign investment in retail, the Bharatiya Janata Party (BJP) attacked it asking how it could take a decision on an issue pending before a parliamentary standing committee.
Talking to reporters outside parliament, union Law Minister Salman Khurshid said the decision on allowing 51 percent foreign equity in multi-brand retail was well thought out but could not be taken back because the opposition was ‘shouting’. He also said that a lot of work on the issue was done during the BJP-led National Democratic Alliance government.
‘We had given thoughtful reflection on FDI before we announced it, lot of work has been done right from the time the NDA was in government. NDA wanted 100 percent FDI, we have not gone for 100 percent FDI, we have only gone for 51 percent,’ Khurshid said Friday.
‘So just because someone screams and shouts, we should rethink (on FDI decision), is not fair. So people are now trying to do their best to communicate on both sides and I am sure some solution will emerge,’ he said.
The main opposition BJP, meanwhile, pointed a finger at the government for taking decision on an issue which was still pending before a parliamentary standing committee. BJP leader and former chief minister Shanta Kumar said the committee on commerce headed by him had earlier decided against FDI in retail.
‘It is being said that two of our states have supported the government stand. That is wrong. In 2009, the standing committee on commerce (headed by party leader Murli Manohar Joshi) gave a report on foreign and domestic investment in retail sector. It was unanimous that foreign investment should not be allowed in retail at all,’ Kumar told reporters here.
‘Last year, when the committee was re-instituted, I was made the chairman,’ he said, adding: ‘We are still considering the action taken report and it is not complete.’
He went on to add that even Indian corporates should not be allowed in retail.
‘Even domestic corporates should be completely banned in some areas,’ he said.
With parliament stalled for five days in a row on the issue of FDI in retail, Parliamentary Affairs Minister Pawan Kumar Bansal slammed the opposition for wasting parliament’s time.
‘Many days have been wasted and now we hope that something will be done. Two weeks have passed; first price rise was the issue, we accepted that, then that issue was dropped and black-money was taken up; we accepted that, but they dropped it as well and now have taken up FDI,’ Bansal said.
‘It is like as if the issues in front of parliament are not important at all, a lot of time has been wasted,’ he said.
The union cabinet last week decided to allow 51 percent FDI in multi-brand retail and 100 percent in single-brand retail.
The committee headed by Joshi recommended that blanket ban should be imposed on domestic and foreign corporate retailers from entering into retail trade in grocery and food items, and restrictions should be imposed on sale of other consumer products. It also said that licences should not be issued for ‘cash and carry’ retail. Reservation policy should be adopted for small and medium retailers, and financial assistance should be provided for their modernization.
