3
In
an earlier blog I had recalled how when the NDA Government was in
office the then Chief Whip of the Congress Party Shri Priya Ranjan
Dasmunshi had cited the Planning Commission’s recommendation in favour
of FDI in retail, and on that basis condemned the Vajpayee Government
for contemplating this ‘anti-national’ move.
Arun
Shourie as Minister of Commerce promptly stood up in Parliament to
affirm that Government was not in favour of any such proposal.
At
the Suraj Kund conclave of the BJP’s National Council, speaking on the
Economic Resolution, my colleague Shri Venkaiah Naidu read out from a
letter written by Dr. Manmohan Singh, at that point of time Leader of
the Opposition in the Rajya Sabha, to confirm this fact. Federation of
Maharashtra Traders had conveyed their concern to him about this matter.
In his letter dated December 21, 2002 Dr. Manmohan Singh said that the
matter had been raised in the Rajya Sabha two days earlier. “The Finance
Minister gave an assurance,” Dr. Manmohan Singh said approvingly, “that
Government had no proposal to invite Foreign Direct Investment in
Retail Trade.”
The
letter from Federation of Associations of Maharashtra has attributed to
Dr. Manmohan Singh an even more forthright criticism of FDI in retail.
The letter written by Shri C.T. Shanghvi, Chairman, Foreign Trade
Committee of the Federation, has said:
“Your
honour would recall that during the year 2002-03 I had occasion to lead
a delegation of the Federation of Associations of Maharashtra to meet
your goodself as the Leader of the Opposition in the Rajya Sabha, in
connection with the important subject of FDI in retail trade of the
country.
Even
before we made our detailed submissions, you had categorically stated
that ‘we should not permit Foreign Direct Investment in Retail Trade’.
You had further mentioned that “India does not require this kind of reform which would, rather than creating employment, destroy employment”.
Shanghvi adds in the same letter :
We
had briefed you, Sir, about the unfair trade practices such as
(predatory pricing) adopted by the multinational retail chain stores
organization to kill the competition by small retailers. Our delegation
also drew your kind attention to the highly undesirable impact that has
been felt by some of the Far Eastern Countries – Thailand, Malaysia,
Indonesia - who had erroneously permitted FDI in retail trade during the
late 1990s.
Later,
our delegation met you on a couple of occasions and submitted the
details of our various representations to the concerned authorities on
this subject. In view of the seriousness of this issue from the overall
National angle, you had raised the subject in the Rajya Sabha on 18th/19th
December 2002 and had obtained an assurance from the then Finance
Minister that there was no proposal before the Government for permitting
FDI in retail trade. Your letter addressed to the Federation in this
regard is enclosed for ease of reference.
***
Many
interesting comments have been made on the Prime Minister’s address to
the nation in which defending his decision on FDI in Retail, he made the
trite remark “money does not grow on trees.”
My colleague Jaswant Singh who is an ex-Army Officer has written an article for The Hindu
(September 28, 2012) which recounts his conversation with his own
tank-driver. I found Jaswant Singh’s article enlightening. The paragraph
quoting the interaction with his driver may be very appropriate as tail
piece for today’s blog. This is what Jaswant Singh says about the PM’s
“rather admonitory” remark :
TAILPIECE
Just
a day after this astonishing, also so unneeded, reprimand, I received a
telephone call from a retired soldier colleague, who had served with me
as my tank driver, sharing with me for many years my tank lean-to
shelter at night. I save his name lest he be nagged by the otherwise
inefficient Intelligence Bureau. “Sahib”,
he said in his thick Shekhawati dialect and accent, “please educate the
PM that money does actually grow on trees and plants; we get all our
fruits, vegetables and animal feed and also firewood from a ‘tree’. So
tell him to think of the farmers, not of the ‘foreigners’, who over two
centuries back came as a company and took away our land. Not
one ‘biswa’ (a measure of land) was left to us”. I promised him I would
do so, but advised him not to disturb his retired life over such
depressing thoughts, for just as our ‘dhabas’ defeated a rather cocky
Colonel from Kentucky, US of A, India will defeat this, too. And not one word of this anecdote is made up.
L.K. Advani
New Delhi
http://blog.lkadvani.in/blog-in-english/fdi-in-retail-will-destroy-employment-said-dr-manmohan-singh-in-2002