Odisha Resolution 3 (E)

Stop Inviting Foreign Companies

This Rashtriya Sabha of Swadeshi Jagran Manch expresses deep concern over government’s open invitation to foreign companies in different sectors. Swadeshi Jagran Manch firmly believes that the policy of globalization in the last more than two decades had a disastrous impact on the economy. Today debt on the country is nearly 70 percent of GDP, which makes the country one of the most indebted countries of the world. According to the latest report of the government 52 percent of rural households are reeling under debt.

Swadeshi Jagran Manch reiterates its earlier resolve of Thiruavanantpuram’s National Convention of December, 2103, that before embarking upon any further invitations to foreigners for different sectors of the economy, the government should come out with a ‘White Paper’ on the ‘gains and losses’ of the foreign investment policy of more than two decades. This Rashtriya Sabha of SJM also endorses the declaration of the congregation of more than 280 organizations ‘Swadeshi Sangam’ held at Jaipur in October, 2014, that call of ‘Make in India’ of the government amounts to open invitation to foreign companies. Swadeshi Jagran Manch firmly believes that India which can make PSLV, satellites , nuclear warheads, missiles and much more, and its people have proved their worth globally in terms of their excellent intellect, skills, hard work and commitment, need not look at foreign countries for nation building.

Government’s decision to enhance the FDI Cap in Insurance from present 26 percent to 49 percent is against earlier resolve of NDA-I, thanks to SJM’s struggle, whereby the then government had committed, not to exceed FDI in Insurance beyond 26 percent. Swadeshi Jagran Manch believes that advent of foreign companies in India in insurance sector has not been good for the nation. Lapse and for forfeiture ratio of more than 50 percent in companies with foreign partnership, rising premium in general and health insurance, declining claim ratios are issues of major concern today. This is an open secret that world’s largest insurance company AIG could be saved from bankruptcy only after a bailout package of more than 170 billion dollar. How such hollow companies can do good to insurance sector of India is beyond imagination. However, encouragement to insurance and pension funds would cause the dominance of foreigners over our valuable savings.

Foreign companies have already made inroads in agricultural sector in the name of contract farming, due to the policy of promoting foreign investment. The policy of allowing GM field trial is not only endangering our food security and bio diversity, these companies are trying to take over Indian agriculture.

Nation’s retail trade, which is already facing the onslaught of backdoor entry of foreign companies in the guise of ‘cash and carry’ wholesale trade, is coming under pressure from foreign e-commerce companies in the name of ‘platform’ and ‘market place’. Instead of imposing curbs on these culprit e–commerce companies, open invitation is being given to foreign e-commerce companies, which is destined to completely ruin our retail sector.

This Rashtriya Sabha demands that no permission be given to the foreign companies in e-commerce and plug the loopholes in law, permitting e-commerce foreign companies to operate through backdoor.

In this context foreign investment promotion agreements with China, which is giving challenge for our national security, are a matter of serious concern. Swadeshi Jagran Manch firmly believes that development of manufacturing is possible primarily through micro and small scale industries. NDA–I government, changed the definition of small scale industries, by bringing down the maximum limit of plant and machinery from rupees Three Crores to One Crores. Later UPA government again increased it to rupees 5 Crores. Rashtriya Sabha of Swadeshi Jagran Manch demands that attempts to raise it further be stopped forthwith, to stop foreign companies dominating this sector.

Questions are being raised about the government’s ‘Make – in – India’ call. Recently in an opinion poll conducted by a TV Channel, concluded that against 68 percent people favor Swadeshi Jagran Manch’s ‘Made-by-India’ call. Some important people have also expressed their opinion against export based Make-in-India policy. Swadeshi Jagran Manch’s Rashtriya Sabha demands that government gives up the policy of inviting foreign companies in the name of ‘Make-in-India’ and strategy for development be drawn based on Bharatiya intellect, skills resources.