No crony capitalism: Sitaram Yechury

MANDATE 2004

What will be your priority? Can you sum it up in a single line?

People's welfare and not crony capitalism will be the priority of the reform process. People's welfare will occupy centrestage as far as the reform process is concerned. The government policies will not favour corporate profits.

The NDA had economic policies which were designed to promote interests of big business and foreign capital leading to erosion of economic sovereignty. The people's mandate is clear. The anti-poor policies of the NDA government have obviously been detrimental to the majority in this country.

Corporate profit and people's welfare are not necessarily antagonistic to each other. But, during the past five years, the government did not balance the two imperative. The NDA has been very brazen with its anti-poor policies.

What according to you needs urgent attention?

The main thrust area will be the public distribution system (PDS) in the country. India is facing a severe agrarian crisis.

After the targeted PDS was introduced, there were price differentials for families in the above the poverty line (APL) category, vis-a-vis, those families who fell below the poverty line (BPL).

APL families have been left to their own devices. This should be addressed. Food security should be the highest priority of the new government. We will like to reintroduce a universal system of PDS, which will require strengthening and expansion of the system.

How will you address the issues of unemployment and simultaneously take reforms forward?

We will strive for higher public investment to create more jobs. Increased public investment in the infrastructure sectors will mean more jobs.

It is also important to protect the domestic industry from indiscriminate lowering of import duties and takeover of existing Indian companies by foreign companies.

What about disinvestment? The CPI (M) does not seem to be in favour of privatisation.

The Vajpayee government tried to categorically dismantle the public sector. Profit-making public sector undertakings will no longer be sold for a song.

The 'navratnas' should not be sold off to private players. The second rung, medium PSUs, should be debureaucratised, made fit to face and survive competition.

An attempt to revive loss-making PSUs, should first be made, with possible private capital induction in a public-private joint venture, failing which it should be disposed after discussions with the management, the workers and the government.

Will you block FDI across sectors?

It will not be possible to block FDI which is also important for growth. We will, however, support higher FDI only if the foreign capital augmented the existing production capacity of a sector, without taking over domestic entities.

If FDI results in employment generation and technology infusion, the party is willing to go the distance.

What compromise are you willing to make in supporting the Congress-led alliance with big ticket economic reforms?

Reforms should lead to the betterment of the poor in this country. We will not hesitate to reverse the reforms process, even if they are termed regressive by others.

How do you view the current controversy over reducing fees at the IIMs?

We will take a fresh look at the politisation of education and appointments at senior levels in various ministries.