The article examines India’s response to U.S. mercantilism, highlighting a need for a fair global economic order. It critiques the U.S. for pressuring India to lower tariffs while underscoring India’s minimal contribution to global trade. The author emphasizes the dangers posed by U.S. agricultural policies to India’s food security and advocates for India to champion equity in global trade discussions.
The article discusses how India should respond to United States mercantilism, emphasizing the need for a fairer global economic order. The author criticizes the U.S. for reverting to mercantilism, led by Donald Trump, and for using the rhetoric of trade imbalances to bully other nations into lowering tariffs, particularly targeting India. The economic data reveals that India’s exports contribute only a small fraction to global trade, contrasting sharply with the substantial shares of both China and the U.S.
Furthermore, there is a stark disparity in trade deficits; India’s contribution to the U.S. goods trade deficit is less than that of numerous other countries. The U.S. administration’s negotiations seem to push India towards tariff reductions that could harm its agricultural sector, particularly against American farm subsidies. The uneven support levels for farmers between India and the U.S. further complicate this situation, as the U.S. offers significant assistance to its agricultural sector.
The article calls for India to project its position more assertively, highlighting the risks posed by U.S. agricultural subsidies to livelihood and food security in India. It recalls India’s leadership during the 2001 Doha Round of WTO negotiations, which questioned the existing trade inequalities. Although India opted for bilateral agreements in favor of multilateral gains, this may have weakened its global bargaining power.
The contrasting economic experiences of India’s rich and poor are discussed, emphasizing India’s need to prioritize equity in trade discussions. The author argues for India to challenge the status quo of the global economic order dictated by the elite and to raise awareness about systemic inequalities. Such a shift requires a deep political and economic reorientation to confront the realities faced by the underprivileged, rather than obscuring them with inadequate welfare measures.
In conclusion, the article posits that India’s economic future hinges on advocating for a more just economic framework, distancing itself from distress deals with a mercantilist-driven U.S. It highlights the importance of openly addressing systemic inequalities in today’s global economy and calls for India’s leadership to navigate these challenges strategically with integrity, ensuring that trade policies benefit its populace at large.
In summation, India’s response to U.S. mercantilism should involve a commitment to advocating for a more equitable global economic framework. The country must resist pressure to compromise its agricultural sector and safeguard the interests of its farmers. This requires a renewed focus on addressing economic inequalities within India and reinforcing its historical stance against unjust trade practices. Ultimately, India’s future prosperity relies on a strategic and principled engagement with the global economic order, emphasizing fairness and inclusivity.
Original Source: www.hindustantimes.com
