Strong call for Chinese product boycott; Indian economy to be affected
New Delhi, Oct 25: When India’s economy is severely struggling and the demand for consumer products is dipping, the call for boycott of Chinese products is destined to push the nation’s economy in to a deep trouble, at least for the time-being.
According to Confederation of All India Traders (CAIT), the call for the boycott of Chinese goods could affect the festive sale and will come down to 30 percent compared to the yesteryears.
However, the Sangh Parivar call on boycotting these products seems to highly effective as the traders’ body claim that there is drop in demand for Chinese products.
As CAIT’s general secretary Praveen Khandelwal rightly points out that the Chinese market will be least affected by the call as the Indian traders have already built up the stock for the upcoming Diwali. Eventually, the retailers and local traders will be worst hit.
PM remains mum
However, Prime Minister Narendra Modi has remained totally mum over the issue due to various reasons.
Many young men and women used to come up with small shacks during the Diwali selling cheap Chinese products. These people will suffer the loss. PM’s policy was to ensure empowerment of youth with self employment and the boycott call goes in contradictory to the policy.
PM wants them to be empowered with institutions like Mudra Bank.
Campaign not just for Diwali
The campaign was not ignited just during the Diwali. There has been a constant pushto ban Chinese products since April when China refused to support India’s case for declaring Jaish-e-Mohammed Chief Masood Azhar, a UN- designated terrorist.
The campaign against China and its products got intense when China insisted on established procedures to be in place before admitting India at the Nuclear Supply Group(NSG). Modi has staked his personal reputation on this as he met several world leaders seeking their support to let India into the NSG. The NDA government publicly accused China of blocking India’s entry.
Following the series of issues, there has been obvious tension over the bilateral relations between India and China. Mercifully, commerce minister Nirmala Sitharaman brought some sanity to the debate last fortnight by saying “a complete ban on Chinese products demanded by sections of Indians is not feasible”. She suggested that international trade is governed by rules and trade barriers can be imposed only as per rules. Note the commerce minister’s reference to Sangh Parivar zealots as “sections of Indians”. However, her statement came after much damage was already done and traders in big markets were reporting reduced demand for Chinese products.
India can only bark-China
The state-owned media rubbished the call for Chinese products claiming that Indian products cannot compete with those of China.
The article read that India can only ‘bark’ and act nothing to improve the growing trade deficit between the countries.
The clipping described Na Mo’s pioneering project ‘Make in India’ as ‘impractical’.
The daily warned Chinese companies not to invest in India as it would be “suicidal” to put money in a country where corruption is high and the workforce is not hard working.
“There has been a lot of talk recently in the Indian media as well as on social media about boycotting Chinese products. It’s just rabble rousing,” it said.
“Indian manufacturing cannot compete at all with Chinese products, for various reasons.”
The daily said that India was to yet build roads and highways and had chronic shortage of power and water supply.
“Worst of all, corruption is highly prevalent from top to bottom in every single government department.”
“India has enough money but the majority of it is concentrated with politicians, bureaucrats and a few crony capitalists. Indian elites don’t want to spend funds available in the country, which in reality is the taxpayers’ money but is utilized by the Indian establishment for its own personal consumption.
“Because of this, Indian Prime Minister Narendra Modi has started impractical schemes like ‘Make in India’. The reason is that the Indian establishment wants foreign companies to invest in the country.
“It would be completely suicidal for Chinese companies to put their money in India by starting manufacturing projects there. The labour class in India is not very hard working or efficient,” it argued.
The daily said that instead of opening shops in India, Chinese companies should set up their manufacturing units in China.
“In any case, Indian businessmen flock to China in large numbers to buy products from China and sell them in India. This model suits China, so why disturb it by going and wasting money setting up manufacturing facilities in India?
Let the Indian authorities bark about the growing trade deficit with China. The fact of the matter is they cannot do anything about it.”