The Modi government has been facing a lot of criticism for its recent policies to give impetus to Make in India - some being similar to those previously been adopted by now-booming economies in the earlier stages of their growth. It would be prudent to not make any hasty judgements and see how this plays out for India in the longer run.
Many free-market mavens are upset with India's Narendra Modi government for apparently turning its back on free trade.
The provocation: a series of measures since the 2018 Budget to raise import duties on auto parts, toys, candles, furniture and electronic items such as mobile phone components, television sets and microwave ovens, among several other things. India, they allege, is raising protectionist barriers once again, turning the clock back on the reforms initiated by every Indian government since 1991.
The Modi government's decision to pull out of the Regional Comprehensive Economic Partnership (RCEP) was criticised by these same people for the same reason.
How justified are these comments
Research carried out by India Global Business shows that free trade helps mainly those countries that have achieved a minimum competitive threshold. More importantly, it clearly indicates that every free trade champion across the world first created national champions behind high tariff walls before unleashing them on other nations in the guise of “free trade”.