Boycott Chinese products. Is this the solution?
As a
citizens we are so inured to economic downfall and border dispute , I believe
that we don’t speak up enough. Many citizens thinks that the
onus is on them to show our solidarity on Nationality. Lt Col Sonam Wangchuk slogan for the boycott of Chinese
products has resonated all over india.
Boycotting Chinese goods is not easy it would mean fewer cheap goods for consumers in India. A
reduction in the imports of cheaper capital goods would also push up production costs, making products costlier, thereby,
affecting the consumers. Thus, some of the key sectors of the Indian economy
are critically dependent on China.
It might be a list of 500 odd categories (more than 10,000 items) out of which only 3000 items that are made indigenously in India also, but succumbing
to the temptation of cheap items, of products made in China that
will be boycotted by the Confederation of All India Traders (CAIT) over
“continued border skirmishes”. What about the rest all items? Any initiative
taken to accomplish present demand.
At one point lets consider to boycott, then what? Are we
prepared ?.
Lets
start from ourselves as a businessmen i thought of getting Chinese products out .My 80% raw
material is from china. Machine is from china. And packing material i used is
Jumbled with Chinese byproducts. Still i made my mind to boycott and thought of closing the business but what
next. Is my Country Prepared ? It's been boggling my mind that everything at
home from Electrical switches to mobile phones all are from china or assembled
with Chinese parts. Its very difficult and impossible.
Still
thought of Ellaborating few things.
Lets
weigh up all the pros and cons of the matter before i take the decision
Indias
Favourable
1)Import
is less than Export trade surplus rupee
will be stable and strong .
2)
Indian Business men will get Opportunity .Employment Generation and more import can
distort a nation's balance of trade and devalue its currency. Then i googled
got below link.
Below is a list highlighting 15 of China’s top trading partners in terms
of export sales. That is, these countries imported the most Chinese shipments
by dollar value during 2019. Also shown is each import country’s percentage of
total Chinese exports.
1. United States:
US$418.6 billion (16.8% of China’s total exports)
2. Hong Kong: $279.6
billion (11.2%)
3. Japan: $143.2 billion
(5.7%)
4. South Korea: $111
billion (4.4%)
5. Vietnam: $98 billion
(3.9%)
6. Germany: $79.7
billion (3.2%)
7. India: $74.9 billion
(3%)
8. Netherlands: $73.9
billion (3%)
9. United Kingdom: $62.3
billion (2.5%)
10. Taiwan: $55.1 billion
(2.2%)
11. Singapore: $55 billion
(2.2%)
12. Malaysia: $52.5
billion (2.1%)
13. Russia: $49.5 billion
(2%)
14. Australia: $48.1
billion (1.9%)
15. Mexico: $46.4 billion
(1.9%)
Almost
two-thirds (65.9%) of Chinese exports in 2019 were delivered to the above 15
trade partners.
India
comparatively has decresed it’s Import by 2.5% we did it in 2018-19. So
one thing it came in mind that it won’t impact anything to china so no research
of what china looses.
100%
we will loose Export of Indian products to china. Its second largest after USA that’s
10.6% 78bn $.
Now
again it comes are we prepared?
I
answered myself its Big NO.
Why ?
Question that comes to mind.
First
is Iphone where i am writting this blog was manufactured by apple in china. If
i use laptop or desktop that too from china. Maximum electronics is from china.
There
comes the next are we prepared to meet the demand of china products.Wheres the
substitute product for it? How long will it take to get Indian product .Not
sooner .we have to start from bottom. Its not easy.
I
think we Indians will be the sufferer at this stage so we have to do the
planning. Planning to get ourselves prepared , first is mentally . Mantally
means Do not compare Indian product with cost and Quality at this stage. It will
take time to get cheaper.
Second
try yourself first “SELFSTART” before advising others. I will try to change the Locking system from china made to Indian made
My priority.
Its not easy and India only will be in trouble. Boycott
sentiment among Indians has grown as body bags and the graphic description it
comes to my mind before independence pople started this agitation but it was
non violant and now violent clashes “India has the fourth most confirmed
COVID-19 cases in the world, They have ease the lockdown. That shows its
economy is facing great pressure - particularly when it comes to the country’s
large number of people living in poverty. Many face an immediate threat to
survival if they lose their jobs during the lockdown.” There is clear hypocrisy
in the Chinese strategic thinking, as it is reluctant to settle the border
issue in Ladakh, where the sentiments have flared up, and at the same time does
not want India to take any economic action against it."If India decides to boycott Chinese
products, it will not make any economic sense.According to the latest data, It
shows that India's bilateral trade deficit with China has shrunk this year,In
the first nine months of 2018-19, India's exports to China have grown by an
impressive 34 percent (as against less than 10 percent overall), while imports
from its northern neighbour have declined by nearly 4.5 percent (as against an
increase of 14 percent overall).The decline was mostly due to the increased
exports of petroleum products to China. Reliance
Industries'
aromatic production capacities over the past couple of years have found
its way into the export market with China emerging as one of the major destinations,
according to the report in Bussiness Line.
In 2018-19, China supplied over 80 percent of the
antibiotics imported by India and well above 60 percent of electronic products
and components. Thus, some of the key sectors of the Indian economy are
critically dependent on China.
All this above factors should be taken into consideration we
require assiduous planning , we have example of
Japan doing so.
So my answer is “Not possible at this Time”
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