Party Congress to signal shift in CPI(M) stance on FDI

CPI(M) PREPARING FOR THE FUTURE

As the CPI(M) gears up for its 19th Party Congress to be held in Coimbatore from March 29, it is looking to review and tweak its world view ahead of the crucial bi-annual event that is meant to provide thrust and direction to the party.

The most important document at a Party Congress is the Political Organisational Report. In the report prepared for discussion at the 19th Party Congress (still a closed document for limited circulation), violence in West Bengal's Nandigram, which claimed at least 16 lives, is just a one-line sentence.

The report describes the episode, triggered by a proposal to set up a chemical hub and acquire land from protesting farmers for that purpose, as a "political and administrative mistake".

But barring the Nandigram aberration, the CPI(M) led by General Secretary Prakash Karat has made it clear that there is no alternative to private and foreign investment.

The CPI(M), which faced strong ideological resentment even from its allies like the Communist party of India (CPI), the Revolutionary Socialist Party (RSP) and Forward Bloc on this issue, will use this opportunity to send a positive message to investors.

However, some cautions have been sounded. The communists will only woo investments which have a potential for substantial employment generation.

"In our analysis, the role of capital has changed. Globally, we see that capital is no more a tool for creation of wealth but increasingly it is used in speculative activities for short-term gains," said a Central Committee member of the party.

On the basis of this new-found theory, the CPI(M) wants to encourage investment that will result in a visible boost to employment generation.

While the party will reiterate its strong opposition to foreign direct investment in areas like retail, it will roll out the red carpet for those who want to invest in core areas like manufacturing.

The party is showcasing another controversial project in Bengal to drive home this point "" the Tata project at Singur. "A factory in Singur will not only contribute jobs to the skilled workforce in the country, but also boost the local economy. Thousands of indirect jobs will be created," a senior politburo member said.

The CPI(M)'s document also says that globalisation has changed the Centre-state relationship and its impact on investment coming to the states. The state's rights in making policy have been curbed, even as its share in taxes has reduced. In this situation, the CPI(M) believes there is no way but to depend on private investment.

The document is also a warning for the allies. Summing up the mood of the party in favour of private capital, a CC member said, "They (Left allies) may still dream of building a socialist world, but let us be practical. The world order has changed a lot in last few decades. We have to work in a capitalist structure and make ourselves adept at it. There is no scope of nourishing age-old theories."

But there can be no industrialisation, private or public, without land. The document discusses the ideological question of availability of land and how to use it. While it needs investment to show to the country that its government can produce better results, it also needs land to support its dreams.

In the Party Congress, the CPI(M) will again vouch for a better deal from the UPA government on the issues of land "" currently a political hot potato in the Left-ruled states of Kerala and West Bengal.