Dhavalikar had created a controversy recently when he said young girls "wearing short skirts in nightclubs are a threat to the Goan culture".
"This habit of young girls wearing short dresses everywhere does not fit the Goan culture. We should not allow this. It should be stopped," he had said.
The minister had also advised women to stop drinking too, "because it is not good for their health".
Following Dhavalikar's comments, Wagh had dared him to follow Indian tradition in the real sense and wear a dhoti to work.
"Those who preach about the culture don't dare to practise what they preach," Wagh told reporters Tuesday, in a veiled remark aimed at Dhavalikar.
Though the PWD minister said a dress code could not be imposed on any legislator, he insisted that "Indian culture is the greatest culture in the world and everyone should follow Indian culture because tradition is there is Indian culture".