The Walmart lobbying row rocked the Parliament for the second day in a row. The government said today that it is ready for a probe into the matter. The Opposition said that lobbying is illegal in India and the Government officials have been bribed by Walmart.
The Opposition demanded an independent probe into Walmart spending USD 25 million in lobbying in India for retail FDI. Parliamentary affairs minister, Kamal Nath said on the floor of the house that the government is not running away and that it is ready for a probe.
However, as the Parliament heads for another logjam over Walmart, India Inc is worried. The fate of some crucial economic legislation is hanging in the balance. Captains of India Inc urged the government to get on with business, urging the Opposition to get on with reforms like the goods and services tax (GST) is pending.
Adi Godrej, President, CII, Chairman, Godrej Consumer said, "Lobbying is like advocacy. If it is done legitimately without any corruption is perfectly acceptable. The main reform, which will help India restore its growth, is the goods and the services tax. That’s a huge reform. It will add 1.5-2 percentage points to India’s GDP growth other things being equal. That to my mind is the most important reform. There are of course several other reforms, which are important, but by far I would put emphasis on the goods and services."
Rahul Bajaj, Chairman, Bajaj Auto said, "I want infrastructure and national investment growth. I want the GST. The direct taxes code (DTC), and all will come, there is no issue. GST should come, where Opposition must cooperate, goods and services tax, and infrastructure. Third, they will not do it, but it is very important for industry and that’s labour legislation."
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