Date:10/02/2007 URL: http://www.thehindu.com/2007/02/10/stories/2007021004761600.htm

National

Our advice ignored: Left

Special Correspondent

A direct impact of growth, says Congress

NEW DELHI: The soaring inflation has evoked strong criticism from the Left parties, which say the Government has not heeded their advice to ban futures trade in foodgrains and cut fuel prices to check the price spiral.

"The Government should take certain steps like banning futures trading in essential commodities, reducing the prices of petroleum products and cracking down on hoarders to check price rise," senior Communist Party of India (Marxist) leader S. Ramachandran Pillai said.

Communist Party of India general Secretary A.B. Bardhan said: "The rate at which inflation is increasing will spell disaster for the economy in the coming days and bring more misery to the people. If things go beyond control, we will take to the streets."

"Necessary concomitant"

The Congress sought to dub the surge in inflation "a necessary concomitant of a booming economy."

Party spokesman Abhishek Singhvi said the Government was "seized" of the matter and efforts were being made to contain inflation. There was no magic wand with which it could be wished away overnight. Inflation was a direct impact of growth, he said. "This is the bad effect of a good thing." The Government was likely to introduce anti-inflationary measures in the budget. Also, legislative interventions might be explored if the inflation rate did not come down by March.