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LATEST NEWS UPDATES | FDI in retail BJP's baby, we are trying to nurse it: Pranab

FDI in retail BJP's baby, we are trying to nurse it: Pranab

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published Published on Dec 9, 2011   modified Modified on Dec 9, 2011
-The Times of India
 
Taking a swipe at the BJP for not backing FDI in retail, finance minister Pranab Mukherjee on Thursday said the government was only trying to nurse the main opposition party's "baby" when it took the decision to allow FDI in retail. 

Replying to a debate in the Rajya Sabha on price rise, Mukherjee read from a 2004 interview of leader of opposition Arun Jaitley in which the senior BJP leader had said that organized retail trade on the international pattern would be promoted as a new engine of growth and that sourcing of Indian products by foreign retail chains would be encouraged. 

"Yes, I know that you said in 2009 that it was not necessary but I am giving importance to the 2004 statement because you were in government then and you knew where the shoe pinched," Mukherjee said. 

"We adopted many of the measures which you initiated like PFRDA (Pension Fund Regulatory and Development Authority Bill). My only request is that the baby you gave birth to, don't leave it with the bathwater. Allow me to nurse it and let it mature. Reform is a continuing process," he added. 

Mukherjee said while FDI in retail may not solve all problems, it would definitely create infrastructure. "And if we cannot give it, if we do not have adequate resources, let some people come and make investment," he said. Mukherjee, however, was quick to describe it as the "story of yesterday" and urged the House to look forward. 

Mukherjee also said the global economic downturn was having an impact on India's exports and FDI inflows and insisted that it was wrong to blame the UPA government for rising prices. Instead, he blamed the international situation. An angry opposition led by BJP, however, walked out saying the government had enough time to launch structural reforms and yet it was expressing helplessness. 

Mukherjee said prices of many essential commodities had become cheaper or rose only marginally in the last two years. Retail prices of 30 essential commodities including that of rice, wheat and pulses had either fallen or registered only a marginal increase during the last two years, he said. 

Mukherjee pointed out that food inflation had come down from 11.8% in the week ending October 29 to 6.6% in the week ending November 26. "Every week, it is coming down," he said. 

"Over the years, inflation in food items is more or less steady - 15% -- but non-food primary articles, primary articles and food articles, the prices are declining," he added.


The Times of India, 9 December, 2011, http://timesofindia.indiatimes.com/india/FDI-in-retail-BJPs-baby-we-are-trying-to-nurse-it-Pranab/articleshow/11039578.cms


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