But the concrete manifestation of such a re-grouping will be known only after the election, he says.
CPI (M) General Secretary also feels the appointment of Modi as BJP's poll campaign chief has led to the isolation of the party and thwarted its plans to build alliances to come to power.
"We are trying to work with some of the non-Congress and non-BJP parties. Our party has already worked out a line to fight both BJP and Congress", Karat, who is currently visiting China to hold talks with the Chinese leadership, told PTI in an interview here.
He also played down speculation that the Left and the UPA could forge an alliance once again as was the case in UPA-I.
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"Both UPA and NDA have shrunk. UPA have lost parties and NDA is also shrinking. This is going to bring about re-alignment. It will be clear only after elections", he said.
With Modi's rise, the BJP is left with parties like Shiv Sena and Akali Dal who have a narrow sectarian approach, he said.
"So it is not going to help the BJP", Karat said.
He also dismissed West Bengal Chief Minister Mamata Banerjee's allegations that the CPI(M) is conspiring to kill her.
"She is making these allegations in last two years to divert problems", he said.
The CPI(M) is on the comeback trail in West Bengal, he asserted, saying that the Left is regaining its lost ground.