We are Indians first and all our individual identities come next. So, if there’s anything we can do for the country, we won’t back off. We may be price sensitive people but when it comes to nationalism, we can adjust. And, probably that’s what China needs to understand. That country has tried to almost capture our economy by dumping things at cheapest prices. And now, as you all know it’s trying to get into our borders. Now, the question is that apart from military action, what can we do to teach China a lesson?
In this newsletter, we’ll try answering this question. We know that you might also be feeling outraged by what’s going on and you might be probably confused as to what should be done. We’ll tell you about what measures are being taken to deal with this situation, what more is expected and what may be the impact of all this. Like the contracts with Chinese companies which are being cancelled, Chinese investments being scrutinized etc. We shall also discuss some challenges which we as a country are facing to implement the measures. So, read on to know about all this.
What’s Going On?
Post the clash between Indian and Chinese soldiers on the Line of Actual Control (LAC), the border dispute looks to only worsen from here. In this case, we’re well aware that going into a war straightaway is not a practical solution. In modern times it’s about strategic warfare and not orthodox warfare where armies collide and the stronger one wins. So, in strategic warfare one country tries targeting the opponent’s weak point which will hurt it the most. In modern times, undeniably, that point is economy.
What this means is, if somehow you could affect the other country’s economy and save your economy, you win it! Here, we are talking about India which is the fastest growing economy of the world, and China which is a superpower.
Also, these countries are trade partners and goods worth hundreds of billion dollars are exchanged between them. But, China being a bigger partner with much more exports than imports. Since they get benefited by exporting to us, we can stop importing in order to teach them a lesson. But, this is much easier said than done.
Consider smartphones for example. Would you prefer a Lava or Micromax phone over Xiaomi or Vivo or OnePlus? If no, why? You would agree that Chinese smartphones are technologically advanced and cheaper as well. Can Indian smartphones be such? It’s tough but it’s definitely not impossible.
But, can we wait till the infrastructure gets developed and then we boycott Chinese phones? Well, OnePlus launched a new phone recently and put it on sale. Interestingly, the entire stock was sold out within minutes. However, Vivo had planned a virtual launch event for its new phone, which it had to cancel.
Besides this, PSUs are stepping forward and doing their bit to boycott China. Also, Indian Railways has cancelled contract with a Chinese firm stating no progress. The government has asked BSNL and MTNL to refrain from using Chinese parts henceforth. All this is combined with the Boycott China movement going on in the entire country along with Indian government’s push to Atmanirbhar Bharat which focuses on developing infrastructure in a way that India has to import less.
The government is also planning upon introducing tariff and non-tariff measures to discourage imports form China. Just for your information, India imported goods worth $70 billion from China in FY 19! No other country imported this much from China. So, the government is planning to increase import duties on Chinese finished goods and it is also planning to introduce stricter quality standards so that sub-standard imports can not be dumped. The Chinese investments are already under scrutiny and something should be done about them as well. So, in all we are slowly banning China. And, if things go on smoothly we might emerge as a stronger and self-dependent economy in near future.
Education Loan in India:
A successful life filled with a six-digit bank A/c, 99.99 percentile, and A+ grades. Then it all begins with particularly one stereotype, which is premier league colleges. Preparation of SAT and CAT is to pursue higher studies from top-B schools like IIT, NIT, and IIM. Everyone wants to study abroad, high-quality education at an enormous cost! But how can a person afford lakhs and crores, all at once, for providing quality education? What should a person do in such a case? According to the general opinion, the person should go for an education loan.