New Delhi:
As expected, the BJP has reacted sharply to Commerce Minister Anand Sharma's claim that two BJP-ruled states, Gujarat and Himachal Pradesh, had told a parliamentary panel recently that they wanted Foreign Direct Investment in retail.
The main opposition party, which is adamant that it will settle for nothing but a rollback of the decision to allow 51% foreign direct investment (FDI) in multi-brand retail, fielded senior Himachal leader Shanta Kumar to counter what Mr Sharma said to NDTV in an exclusive interview. Mr Shanta Kumar heads a parliamentary panel that is looking into the issue. Mr Sharma claimed that it was in feedback given to the Shanta Kumar panel that the Chief Ministers of Gujarat and Himachal Pradesh had said they would allow global players in retail in their states.
Not true, said Mr Kumar. "I spoke to Narendra Modi (the Gujarat CM) and Prem Kumar Dhumal (the Himachal CM). Both said they were against it and would fight against FDI in retail."
(Read: BJP reacts to Anand Sharma's comments)Mr Kumar said a previous committee, headed by another BJP leader, Murli Manohar Joshi, had said "that not only foreign, but even domestic corporates in certain sectors should be banned completely." The new committee, headed by him, had not completed its deliberations, he said. "We want to know. When a parliamentary committee is deliberating FDI in retail, then why such a rush? We want the government to discuss this issue under the rule we demand,' Mr Shanta Kumar, who is also a former CM of Himachal Pradesh said.
The Anand Sharma words that have the BJP riled were, "When it comes to a position being taken that the BJP-ruled states shall never have it, good luck to them, but in the Parliamentary Standing Committee, some of the BJP states - and it's a matter of record, Parliamentary records don't lie, and nor are they manufactured by the government of the day - they have asked for it. I can name two states specifically, that's Gujarat and Himachal. The state, second, where I come from. Even BJP-ruled Karnataka was non-committal, they never opposed it. And you can access the report," he said.
(Watch: Anand Sharma to NDTV on FDI in retail) A rebuttal was quick to come in the morning from Himachal Chief Minister Prem Kumar Dhumal, who said "We are denying that...this is not on record...let him say this...we oppose FDI in retail as this will affect small shopkeepers and hit employment opportunities. The UPA government is not taking consensus, they are forcing it on states."
The BJP is leading the Opposition charge against the government's decision. Along with the Left, it has stalled Parliament over the issue all this week, insisting that the government give in to the demand for an adjournment motion ending in a vote. Today, like other days, Parliament was adjourned without any work being done and both Houses will now reconvene only on Wednesday. The BJP has also rejected the government's offer for a one-line adjournment motion, saying the content of the motion is "non-negotiable." The BJP's motion says the decision must be rolled back.
The government is adamant too that a roll back will not happen. Speaking at a public function in Delhi today, Finance Minister Pranab Mukherjee blamed the opposition and "narrow politics" for the stand-off.
"You can exercise your authority within your territorial limit, but don't stand in the way of the others who want to implement it. Therefore, let there be an enabling provision and this is an enabling provision," Mr Mukherjee said while speaking at a Leadership Summit.
(Read what Pranab Mukerjee said)
It hasn't helped the government's cause that allies like the DMK and Trinamool Congress have been vocal in their protest against FDI in retail. The government has been stalling over agreeing to an adjournment motion and vote as it negotiates with allies on how they will vote in Parliament on the issue if it comes to that. The DMK, with its 18 MPs in the Lok Sabha has reportedly assured the government that it will vote on its side despite its reservations on the issue.
The Trinamool Congress, which too has 18 MPs, is, however, still holding out. Officially the party has said it will only decide which way it will vote if at all there is a vote in House. But, sources say the party is likely to abstain as it does not want to dilute its stand on FDI in retail. Equally, it cannot be seen as voting on the side of arch rivals and Opposition, the Left.
(Watch: PM firm on FDI - Is the gamble worth taking?)The UPA government has even had to face doubting Congressmen on the issue, but has the Prime Minister has prevailed, with his party backing him to the hilt. As the UPA does the math, it is aware that losing an FDI vote in parlaimenmt will not mean the fall of the government. But it will be embarassing and the government will be seen to have lost moral authority.