We have many reasons to be upset with China. But for us to demand a nationwide boycott of Chinese products because of this, is bizarre. It smacks of nativist tribalism
The Swadeshi movement during India's independence struggle is presented as a proud one and its role in undermining British colonial rule is over-hyped, but it did play a role in unifying a divided independence campaign. The Swadeshi movement did not either accelerate India's independence nor did it precipitate the economic ruin of Great Britain. For that we have to thank Nazi Germany and the Second World War as well as the gradual loss of control over the Indian Armed Forces best illustrated by the Naval mutiny of 1946.
The Swadeshi movement did, however, give rise to the ruinous economic policies in the first 40 years of India's independent life, wherein self-dependence became an economic cornerstone. Devoid of certain key natural resources, India's economy could never be self-dependent. And buying those key natural resources, mainly oil, in the global markets nearly bankrupted this nation.
The last 25 years since the baby steps this nation took in opening up to the global economy, have been pivotal in creating a large new middle class in India. This is a middle-class exposed to global brands as well as Indian brands that have become global powerhouses. However, India's economic growth has been driven by the services sector, because India was late to the game that China started. Our large eastern neighbour has deservedly become the world's factory. India has much to learn from China, particularly when it comes to the Make In India initiative.
Of course, one must not forget the disastrous war between our two nations in 1962. But that was a different time with different leaders, and much like China has rid herself of the shackles of Mao, India also is ridding herself of the economic and social shackles of Nehruvianism. Unlike India-Pakistan relations, India-China relations have improved dramatically, and that is underpinned by our economic dependence on each other. Indian iron-ore made the steel that underpins much of modern China's infrastructure and cheap Chinese goods are enabling India's emerging middle classes to enjoy the good life. Without the massive economies of scale in China's factories, the Digital India initiative would be stillborn.
To boycott Chinese goods would mean giving up the millennial life and living in a cave. It makes sense to argue that, to boycott Chinese brands would be unfair because consumers have the right to buy the cheapest possible goods they can find. Would commuters give up using the Delhi Metro if they knew that much of the construction work has been done by the Shanghai Urban Construction GroupIJ
While the Indian Government should and must protect the country’s industrial capacities against proven cases of industrial dumping through anti-dumping and countervailing duties, boycotts serve little or no purpose in the modern age. India aspires to become a global economic superpower, and boycotts are not the way forward. Certainly, diplomatic actions should be taken against China for its bizarre stands on Hafiz Saeed, maybe some retaliatory economic measures as well.
But Whats app groups arguing for ‘boycotts' — that’s definitely not the way forward. Indeed, greater economic ties between India and China would assist in making things better between the two nations. During the Cold War, Pakistan was firmly in Uncle Sam's pocket, but once the US realised that access to the Indian market was a bigger prize, it began a process of gradual disengagement with Pakistan that continues to this day.
While China has made some stunningly bad decisions when it comes to its relationship with India, particularly the NSG blocking, President Xi Jinping should realise that both nations have a lot to offer each other. Boycotting China and Chinese goods is not just stupid economics, it might convince China to double down on Pakistan. While that is a poker hand China will most certainly lose in the long run, it will also force India to unnecessarily raise the stakes when it doesn't need to.
(The writer is Managing Editor, The Pioneer)