At Mumbai : June 9, 2008

The UPA Government recently completed four years in office and now entered the election year. For the past four years it has been mismanaging both the internal and the external affairs leading to a state of chaos on the domestic front and isolation of India on the foreign affairs front.

UPA gives ‘crude shock’ and high inflation

Under the UPA rule the spiralling prices of essential commodities have taken its toll on almost each and every section of the society. The rate of inflation touching 8.24 percent last week is a clear indication that the mismanagement of the economy has reached a new high.

Economic scenario in the country looks grim at this point of time. Recently the UPA Government hiked the prices of petroleum products for the record ninth time, a decision which would push the country towards an era of double digit inflation.

The UPA Government has never been able to formulate long term policies to meet the challenges facing the economy. India is one of the largest petroleum products importing nations in the world. We should have taken the issue of national energy security seriously. But even after the completion of four years the Government is yet to declare its new petroleum policy.

Ever since the NDA Government demitted office the prices of petrol and diesel have risen by 60 percent and 52 percent respectively. The Government could have saved the consumers from this massive hike if it had any contingency plan to face the gloomy situation of increasing crude oil prices in international markets.

In the year 2007-08 total revenue receipt on petroleum products was Rs 164000 crores and the Centre gets more than 50 percent of it. In addition to it the Centre generates nearly Rs 7500 crores through cess on OMCs (Oil Marketing Companies).Even then it resorted to burden the people with another hike in the prices of petroleum products.

The UPA Government has asked the State Governments to cut their meager share of revenues which they generate by imposing tax on sale of petrol. The Centre gets a big chunk of revenues through selling oil but it has not done enough to reduce the duties.

The Centre’s directive to States to cut taxes on sale of petroleum has the potential to severely affect many State exchequers. Therefore the existing duty structure on petroleum products should be rationalized by the Centre and the States should be adequately compensated for their loss of revenue. I demand the Centre to convene a meeting of all chief ministers in the country to formulate an acceptable policy on rationalising the duties and taxes on petrol products.

People of this country want to ask the Congress party a question that why it has become synonymous with a regime of high rate of inflation and spiralling prices.

I am surprised at the way economic pundits like Shri P Chidambaram and Dr. Montek Singh Ahluwalia have been justifying inflation with high growth rate. Dr Ahluwalia even went to the extent of saying, “High growth rate and low inflation can not exist at the same time.”

India has been witness to the economic acumen of Shri Atal Bihari Vajpayee who not only unleashed a period of growth in the country but also successfully contained inflation. If the NDA Government could do it then why this performance had not been repeated by the UPA Government?

It seems the Finance Minister Shri P Chidambaram is deeply impacted by the new age marketing which gives more importance to promotion and packaging than the quality of the product. The Annual Budget prepared by Shri Chidmbaram this year was more about attractive packaging and aggressive promotion. But as we all know any product compromising with quality is destined to doom, the policies and programmes of this year’s annual Budget have also failed to create an impact.

The UPA Government has reversed all the economic gains registered by the NDA Government in India's account and now we have reached a point where there is a fear of an economic slow down.

Complacent UPA helping China’s strategic expansion

During the past four years India has lost the diplomatic edge achieved by the NDA Government on foreign affairs front. The manner in which UPA Government is busy placating our neighbouring countries like China, it has put our strategic interests in jeopardy.

Recent claim by China on Sikkim’s ‘Finger Point’ area is yet another example of its impudent behaviour while dealing with India. China had accepted Sikkim as an integral part of India when the NDA Government was in power. China’s continuous claims over Indian Territories have exposed the chinks in UPA’s diplomatic skills. By hiding the details of these claims the Government is trying to keep the people in the dark.

BJP demands the Government to explain the details of these claims made by China on Finger Point in Sikkim. The meek response from incumbent Government on the continuing incursions of Chinese troops into Indian territory in Ladakh and the Northeast has made India a vulnerable target.

Emboldened by UPA Government complacency, China on the one hand is snubbing India on several key diplomatic issues and on the other hand it is busy expanding its strategic strength in the region.

China has recently established a nuclear submarine base hardly 1200 nautical miles away from the Straits of Malacca and deployed its Jin class underground nuclear submarine at Sanya on the Hainan Island in South China Sea. It has further strengthened Chinese presence in the region. Construction of a sea port at Gwadar in Pakistan, installation of Radar at Coco Islands in Myanmar and construction of another air port at Humban Tota in Srilanka have helped China in encircling India from all direction.

The UPA Government should not turn a blind eye to China’s aggressive policies and its strategic expansion. By ignoring Chinese expansion we would not be able to safeguard our own strategic interests.

Growing menace of terrorism

Nearly two years ago on July 11, 2006 Mumbai was rocked by serial blasts in local trains. Since then the country has been witness to many serial blasts in different parts of the country but the UPA’s response to terrorism has remained casual and complacent. The recent blasts in Jaipur has made it clear that the terrorists are thriving in India under the UPA rule and with every passing day getting bolder to strike at will, anywhere in the country.

The incumbent Government has been shying away from identifying the root cause of growing terrorism. After Jaipur serial blasts Prime Minister Dr Manmohan Singh said that the blasts were not against the people of Jaipur but it was aimed at damaging Indo-Pak bilateral relations. It was a statement similar to what the Prime Minister gave in Havana, few days after the Mumbai blasts that Pakistan was also a victim of terrorism like India.

Prime Minister’s statements have been seen by the country as an attempt to divert people’s attention from real issues and it also shows UPA Government lack of focus and will to deal with the growing menace of terrorism.

India has been hit the hardest in the world by terrorist activities. The recent US State Department Report on Global terrorism in 2007 has clearly said, “India continued to rank among the world’s most terror-afflicted countries. It took more than 2,300 lives this year.” This figure is nearly 10 percent of the total 22,685 people killed by terrorists in the world in 2007.

The report further observed, “The Indian government's counterterrorism efforts remained hampered by outdated and overburdened law enforcement and legal systems. The Indian court system was slow, laborious, and prone to corruption; terrorism trials can take years to complete.” But the UPA Government is adamant not to bring a tough anti- terror law in the country. The Chief Justice of India had also underlined the need for strong anti-terror laws.

BJP is concerned over the worsening internal security scenario and increasing terrorist attacks in the country. I demand the Government to chalk out an elaborate integrated plan to curb terrorism. BJP promises the country to lend its whole hearted support to the Government on this issue.