PRAGOTI

Fred Magdoff writes in The Monthly Review about the political economy and ecology of Biofuels.Courtesy: Monthly Review

Press Statement

The Left parties have issued the following statement:

On Withdrawal of Support to the UPA Government

The Left Parties have withdrawn support to the UPA Government. The UPA Government came into existence in 2004 with the support of the Left parties on the basis of its Common Minimum Programme. The aim was to fight the communal forces and undo the damage they had done to the secular polity of India in their years in office. This required a set of interlinked policies to bring relief to the people, to protect India's integrity and to pursue an independent foreign policy. By going ahead with the deal at a time when there is the crushing burden of price-rise and galloping inflation, the Manmohan Singh Government has clearly shown that it is more concerned about fulfilling its commitment to the Bush administration rather than meeting its commitment to the people of India.

The price of oil should be seen as part of a tax-subsidy framework, serving as part tax when global prices are low and part subsidy when they are high. If the government is willing to compensate oil companies with resources mobilised through taxes on those who can afford to pay, rather than through price increases that burden the rich and the poor alike, prices can be held constant until such time that the inflationary situation is brought under control. C.P.CHANDRASEKHAR writes in the Frontline. Cartoons, courtesy The Hindu and Times of India newspapers.