Millennium Post

Ruling BJP arm SJM to protest against Govt's new FDI policy

The protest, scheduled to be held at all district headquarters of the country on the August 9 will seek the rollback of FDI in various sectors including defence, pharma and retail sectors.

"Swadeshi Jagaran Manch expresses its deep anguish and protest on recent decision of the government to relax FDI norms in various sectors of the economy including retail trade, agriculture and animal husbandry, brown field pharma, security agencies, defence and others," Ashwani Mahajan, National Co-convenor of the Manch said on Sunday.

He said the Manch will on Quit India Day organise programmes in all district headquarters and send a memorandum to the Prime Minister, through district magistrates from all over the country, urging him to withdraw the new FDI policy. The Manch added that the decision to allow foreigners to engage in food processing and marketing of agricultural produce is against the promises of the ruling party and will spell a "death knell" for the small shopkeepers, vegetable and fruit vendors and small units engaged in processing of agricultural produce.

"Opening up of FDI in security agencies is likely to endanger the security of the nation. "It is well known that India is a key player in pharmaceutical produce globally and more than 200 countries rely on affordable medicines for their public health from India's generic drugs produce by Indian pharmaceutical companies.

"By allowing 100 per cent FDI in brown field pharma, government has opened flood gates for acquisition of Indian pharmaceutical companies by multinational giants, endangering the supply of affordable medicine to the poor masses, not only in India but world over," Mahajan said. The RSS body also noted with concern 100 per cent FDI in defence (74 per cent under automatic route and subsequent by approval route). "Dropping of the clause of state of the art technology is also beyond comprehension. Though Swadeshi Jagaran Manch feels that FDI in defence may be allowed only in extreme cases of transfer of modern and state of art technology from case to case basis, limitless FDI in defence without transfer of technology cannot be legitimized in any case," the SJM national co-convenor said. 

Mahajan said the Manch does not agree with the Government that FDI is required for additional resources to finance development of the country. "We firmly believe that FDI actually drains Indian resources rather than supplements them. "Huge outward flow of foreign exchange by foreigners in the name of royalty, interest, dividend and salaries has already started surpassing the inflow of foreign exchange from FDI.

"In addition to this, high import intensity of the multinational corporations, also causes huge drain of foreign exchange from the country," he said justifying the protest plan. Mahajn said by dropping the 30 per cent procurement from within the country by single brand foreign retailers, the Government has allowed free outward flow of foreign exchange by multinational corporations.

"Thousands of pending transfer pricing cases pending against multinational corporations speak volumes about the malpractices of MNCs pertaining to illegal transfer of resources of country and evasion of tax by these multinational corporations," the Manch official said urging the PM to withdraw the FDI policy. 

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