NEW DELHI — India's government failed on Monday to defuse a row with the opposition over opening up the supermarket sector to foreign chains, a decision that has thrown parliament into chaos and endangered fresh economic reforms. Opposition lawmakers have paralyzed parliament in the world's largest democracy, demanding the government roll back its flagship reform, announced in September, to allow foreign supermarkets like Wal-Mart to set up shop in India. Critics say that allowing foreign players into the $450 billion retail sector will destroy the livelihoods of millions of small store owners. The government says the move will increase revenue and help eliminate chronic food wastage by setting up proper cold chain and transport infrastructure. Parliamentary Affairs Minister Kamal Nath called an all-party meeting on Monday to try to break the deadlock but opposition parties stuck to their demand for a parliamentary vote on the executive order on supermarket reform. “There can be no compromise on Rule 184,” Sushma Swaraj, leader of the main opposition Bharatiya Janata Party (BJP) in parliament, said after the talks, referring to the parliamentary regulation that would allow the vote. The government has so far refused to accede to the demand, even though the result of a vote would not be binding on it as the reforms can be implemented without parliamentary approval. If it agreed to and then lost such a vote it would be an embarrassing setback and give its opponents valuable ammunition ahead of state and national elections due by 2014. Prime Minister Manmohan Singh's shaky coalition lost its majority in parliament in September after its biggest ally, the Trinamool Congress party (TMC), withdrew its support to oppose the reform. The government is not confident that it has the numbers to win the vote and is pushing instead for a debate. — Reuters
