People's Democracy

Roll Back FDI; No Sellout of PSUs: CITU

On September 15, 2012, the secretariat of the Centre of Indian Trade Unions (CITU) condemned the Manmohan Singh government’s policy announcement of September 14, 2012, regarding retail trade and public sector undertakings (PSUs).

According to the announcements made on the day, the government would allow foreign direct investment (FDI) to the extent of 51 per cent in multi-brand retail, 49 per cent in civil aviation and 49 per cent in two power exchanges. It has also raised the FDI limit from 49 per cent to 100 per cent in single brand retail and from 49 per cent to 74 per cent in broadcasting sector.

The government has also publicised its intention about disinvestment of four PSUs --- Metals and Minerals Trading Corporation (MMTC), Hindustan Copper, National Aluminium Company (NALCO) and Oil India – to mop up Rs 15,000 crore.    

The CITU has demanded immediate rollback of these policy announcements on FDI and disinvestment. It also asked all its units and affiliates to immediately launch countrywide protest actions including demonstrations and rallies, and initiate a massive drive for public campaign.

The CITU also appealed to all other trade union centres, other mass organisations and the people at large to oppose these anti-people decisions of the government that are also against the interest of the country.

The CITU statement also pointed out that these decisions of the government would affect jobs of crores of employees and small retailers, including those engaged in transportation and loading. It would also lead to monopolisation of retail trade and its control by multinationals, and to privatisation of PSUs. The country is increasingly becoming policy hostage of giant foreign corporates in association with their domestic partners, the CITU opined.    

The CITU statement categorically said the Manmohan Sigh government has acted under severe pressure from multinational giants and imperialist states for opening up India’s domestic market, and has launch a massive, systematic and misleading campaign to mislead the mass of the people. Raising FDI limit to 74 per cent in broadcasting would have a serious impact and lead to further foreign control on media.

Immediately following the diesel price rise and limitation of LPG cylinders limitation for a family to six a year, these policy announcements, the CITU said, would seriously impact the lives and livelihood of the people of our country.