This Article is From Dec 01, 2011

FDI battle: Traders across country on strike today, BJP backs their bandh call

New Delhi: For the past eight days, both Houses of Parliament have been in a state of paralysis with the Bharatiya Janata Party-led Opposition fighting the government's decision to allow 51% Foreign Direct Investment or FDI in the retail sector.

Now, the government is set to come under further pressure with lakhs of traders across the nation going on a day-long strike today to protest against the decision. The agitation is backed by the Bharatiya Janata Party, Communist Party of India (Marxist), Communist Party of India, Janata Dal (United) and Samajwadi Party. Reports suggest that BJP leader Arun Jaitley and JDU leader Sharad Yadav will sit on a dharna with the traders at Jantar Mantar.

In Mumbai, more than one lakh retailers will be joining the stir, reportedly. Provision stores, clothing and grocery shops will remain close in the city on Thursday. Both wholesalers and retailers are to join the stir.

Protesters in Nagpur went around with begging bowls and shouted slogans. They protested against the decision not being discussed in Parliament.

Leaders of various traders' association have claimed that more than 10,000 trade unions will take part in the bandh. The unions want a rollback of the government's decision. They say that it is against the interest of the common man.

The BJP says FDI in retail will adversely impact lakhs of small traders and farmers. The party has also challenged the benefits listed by the government of its reforms in retail. "Is there no inflation in places where Wal-Mart exists?" Murli Manohar Joshi asked, reacting to statements from ministers about how FDI will check inflation. "The government's statement that these reforms will help employ lakhs of people is absolutely baseless," he added.

The party has also refused to accept the truce offered by the government over the crisis caused by the FDI decision. After a series of meetings yesterday between the senior-most members of the Congress, Finance Minister Pranab Mukherjee called LK Advani with an offer. He said that a one-line adjournment motion would be moved by the government - this would initiate a debate and would result in a vote.

Mr Advani, however, said it's the BJP's text for an adjournment motion that should be debated and voted upon. The BJP's strongly-worded motion asks for a "rollback" and Mr Advani said this draft is "non-negotiable." That's not acceptable to the Congress. In fact, Mr Mukherjee told Mr Advani that the Prime Minister is not in favour or reversing his decision.

The Congress has backed the Prime Minister and said there is no question of changing its stand to allow FDI in the retail sector."The PM has made it clear that it is a well thought-out decision and the party supports it," said Congress spokesperson Manish Tewari. Commerce Minister Anand Sharma told NDTV, "There is no question of a rollback."

The confidence can be attributed to the fact that its two indispensable political partners - the DMK and Mamata Banerjee's TMC - seem open to persuasion. Both parties have 18 Lok Sabha MPs each. Both had earlier asked that the government to withdraw its decision on allowing FDI in retail.

But the PM has been reaching out to allies with phone calls, and the results are positive. Yesterday, the DMK conveyed that it will not vote against the government in Parliament. "The Congress is now working on winning a similar commitment from Ms Banerjee, who is the Chief Minister of West Bengal."I have spoken to Mamata and addressed her concerns," Anand Sharma said.

The half-way mark in the Lok Sabha is 272. With the TMC and the DMK, the government manages 282 votes. Without either of those parties, it drops to 264 votes - which means it loses the confidence of the House on the issue of FDI in retail. The government would then have to withdraw its reforms in FDI; the loss of moral authority would be hugely damaging.
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