Since Modi government came into power, it is trying to introduce many reforms in the country. The recent demonetization of old currency notes is indeed a revolutionary step after all these years in order to curb black money.
One such step towards reformation is the ultimate boycott of Chinese products. Politicians like Sharad Yadav of Janata Dal(United) from Bihar, Himanta Biswa Sarma, the current finance minister of Assam, and Anil Vig, Health Minster of Haryana are urging people to stop using Chinese products.
But this will not benefit India in any manner as of now. Here are the reasons
- China is India’s largest trade partner.
The balance between India and China in trading business has halved over the period from 2011-12. India’s Chinese imports rose from a tenth to a sixth over the same period while India’s exports declined during the two years.
- Even after decreasing imports from China, India still lags behind its rival country.
Imports from China has risen to 20% in two years and 5% in last 5 years which counts up to over $60 billion even after the fall in imports from $490 billion to $380 billion due to the reduction in oil prices at global level. At the same time, India’s exports to the country has significantly decreased from $18 billion in 2011-12 to $9 billion recently.
Things India exports to China
- Industrial Machinery