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Congress president and Varun's aunt Sonia Gandhi, however, refused to comment on the BJP's candidate's hate speeches, merely saying that she stood by Prime Minister's comments on BJP.
In an unusually combative mood against BJP, Singh said the opposition party cannot take the country forward and would not be able to strengthen the forces of unity.
"BJP is out to divide people on the basis of communal agenda," Singh told reporters here at a function organised for release of Congress manifesto by party chief Sonia Gandhi for the upcoming Lok Sabha polls.
Referring to the controversy surrounding Varun Gandhi over hate speeches in Pilibhit, Singh described BJP's "endorsement" of the young candidate's line as "shameful".
"A party which puts up candidates with such mindset cannot take the nation forward. A party which puts up candidates with that sort of mind cannot strengthen the forces of unity," the Prime Minister said.
Singh said BJP was not fit to decide the destiny of the country and lead it forward.
Gandhi ducked questions on Varun's remarks, saying the Prime Minister had already replied on the issue and that was the party line.
When asked to comment on BJP's allegation that Varun's comment reflected Congress mindset, Gandhi rubbished it, saying "any sane person" having knowledge of Congress history will know that whatever BJP has said is "untrue".
Singh also attacked BJP leader L K Advani who has been accusing him of being "weak" Prime Minister.
Hitting out at BJP's Prime Ministerial candidate, Singh picked holes in Advani's record of performance as Home Minister during the previous NDA government.
He said Advani had played a "prominent role" in Babri Masjid demolition, presided over Gujarat "massacres" as Home Minister and failed to prevent terror attacks on Parliament and Red Fort besides "rewarding" terrorists in the 1999 plane hijack.
The electorate, Singh said, should decide whether Advani was "fit" to lead the nation.
Along with BJP, the Prime Minister also attacked Left parties for its "negative mindset" and ridiculed the Third Front, saying it was not a viable alternative at all.
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It is really nice to see that you have atleast started to speak PM Sir.. I wouldn;t mind you being a PM for another term if you are going to be strong during your tenure rather than just nod to Sonia Gandhi.. Shivraj Patil was the Home Minister because you had to listen to Gandhi and the world knows what happened due to his efficient handling.. Are you ready give an assurance that you at any point of time during your tenure would not place the interests of Congress nor your loyalty to Sonia above the interests of the country? We need a PM .. Not a proxy.. If you can assure that.. great.. Welcome back.. But please don't spoil the country if you are going to be a proxy PM..