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Clampdown on China

Updated: October 31st, 2017, 18:05 IST
in Uncategorized
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Megha Aryan, OP

Social media always proved its mettle when it came to reaching out a wide audience in a convincing way. But is it correct to believe in everything that is trending on social media without counteracting and probably without cross questing?

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While festivals are knocking on the door, social media is buzzing with the demand of boycotting China made products. It is believed that by boycotting Chinese goods, India can put pressure on China economically. And the belief is not entirely wrong as India in the latest financial year imported Chinese goods worth over USD 60 billion, despite the festive season, the imports from China is decelerated by 13.5 per cent in the month of September.

In two years the calls for banning Chinese products has gained pace and every time the demands goes stronger as people are sensitive on the matter. Thus, the social media messages have made inroads in the houses as well as prompting even children and women not to use these products.

diwali

The matter was brought up last year when India was seeking for China’s support to get Pakistan based Jaish-e-Mohammed chief Masood Azhar designated as terrorist by the United Nations. China refused to accept Azhar as terrorist as it was not convinced on technical point by India’s argument. China’s double standard irked many Indians who later demanded India to teach China a lesson by cutting down the import. But this time India is in a direct face-off with China. Whatever be the nature of conflict with China, people have always reacted almost in a same way and demanded immediate ban of Chinese goods.

However, social media campaign failed to elicit any response from the government. And, it is highly unlikely that the government would react on such demands as last year Commerce Minister Nirmala Sitharaman while answering a question in the Rajya Sabha made it clear that it was not possible for India to put a ‘blanket ban’ on Chinese products due to WTO rules.
The debate of whether such campaign will be helpful or a mistake for India’s economy, many consumers and researchers came forward to put their point, and Orissa POST talked them:
Dr Soumaya Souvra Bhadury, a Kolkata-based researcher said: “China is the biggest trading partner for more than 130 countries. With its fast economic growth, it has gained a strong grip on global trade. The ‘Made in China’ label is establishing the country as a major player in the global economy, with exports markets including Asia, North America, Europe, Australia and Africa.”
“Since 2014 China has emerged as India’s biggest trading partner and a country with which India has a large trade deficit. Over the years, Chinese products have dominated the Indian market. In a recent survey it has been found that more than 80 per cent of Indian consumers prefer Chinese goods as they believe they are cheaper and that Indian goods are quite expensive. Unfortunately, some ultra-nationalist Indian politicians have been leading a campaign to boycott Chinese goods for the past two years. Such moves will not help contribute to reducing India’s trade deficit but could damage Sino-Indian bilateral ties instead”, he added.
“A crusade on social media and by word of mouth has urged Indians to shun Chinese products and buy Indian instead. The opinion generators on instant message applications are high on rhetoric but rather low on facts. The irony is that the mobile phones by which messages to boycott Chinese goods are sent or received are fully or partially made in China”, said Ravi Prakash, a JNU student.
“The boycott is not a solution to the border stand-off. It is totally illogical, wrong and at odds with World Trade Organization rules and regulations. Indian nationalist politicians ought to remember the adage that ‘The consumer is king’. Without proper substitutes, the biggest losers of the boycott will be Indian traders and consumers. It is a bitter truth that India is really in no position to avoid using Chinese goods”, said Prakash Singh, pursuing degree in International Relations.

Each year during festivals, Chinese products, including decorative lights and lamps, gift items and firecrackers worth millions of dollars are sold across India. But last year there was a dip in the sale of Chinese goods. They suffered at least a 30 per cent loss because of the boycott of Chinese-made products. Reportedly the sale of Chinese goods dipped not only in cities but in rural areas as well.
Many Indians think boycotting Chinese goods will put pressure on China. On the contrary, it will harm India, which is dependent on Chinese imports. Boycotting Chinese goods will result in Indian traders’ loss, as they purchase their stock from China and sell it in India.
A boycott means Indians are destroying their own economy as those traders contribute to it by paying tax. Chinese goods have also helped to keep prices low in the Indian market, thereby helping the poor. There is no doubt that Chinese products not only lowered India’s inflation rate but also fulfilled the daily needs of ordinary Indian people, especially those on low incomes, and greatly improved their life quality.
A Bhubaneswar-based-trader, Vicky Soni believes that the lives of Indian would come to standstill if it is done as it would call for a material crisis in India because Chinese imported product list goes on and on. It’s not that China is dependent on India for its exports but it is certainly that India is dependent on China for import of goods and a lot of goods.

A vendor speaks to a customer at his roadside lantern stall at a Diwali market in Mumbai October 20, 2014. Hindus decorate their homes and places of worship with flowers and lights during Diwali, the Hindu festival of lights, which will be celebrated across the country on Thursday. REUTERS/Danish Siddiqui (INDIA - Tags: RELIGION SOCIETY)

Lucky Sharma, an economics student said, “Only 2% of Chinese exports are addressed to India where as India’s 20% of total export is to China. Moreover many products manufactured in China are available in India at low cost and ordinary people can afford it. Most of the products many take it for ‘made in India’ are manufactured in China. For example Micromax Mobile Phones are manufactured in China. China has its strengths and we have a different set of advantages. Let us make use of them without losing our heart to hatred to China. After all we are all living on the same earth.”
Boycott of Chinese items during the festive season has left wholesalers and retailers across the country in a dilemma. Campaign to boycott Chinese products on social media platforms has impacted not only the Orissa markets, but the smaller markets in other states as well.

Boycotting Chinese goods without any economical reasoning is going to be detrimental to a developing economy like India. While markets are bustling with activity, traders in the market selling lights, toys and other gift items complain of a dip in sales. They say that a social media campaign to boycott Chinese products has penetrated to the population and had an adverse effect on their sales. Catching the public mood, some of the Indian traders have boldly displayed “No Chinese goods sold here” boards outside their shops.

Shopkeepers start the process of placing orders 3-4 months ahead of the festive season. “Facing loses last year we have imported less Chinese goods this year for Diwali and other festivals rowed up. The payments are made and the goods are in. Now if people boycott products, traders will face losses’, Somnath, a shopkeeper.
“Last year we weren’t expecting that buyers will be less for the Diwali season and we will have to suffer a huge lose. We are hopeful for this season. Hope markets don’t go empty this year”, said he added.

Even though public sentiment is on the rise and online campaigns have taken over the internet, customers are still in two minds.
“We must boycott China product, there is nothing wrong in that. And why do we always need to depend on other countries? I will not to buy any twinkling lights and plastic products of China made this year. I will prefer handmade products”, said one consumer. Another consumer said, “Do we have much option? I don’t think so, if we completely boycott China products, it will be like craving for basic things at cheaper price. And for sure Indian products are not as cheap as the China’s. I want to contribute my part to the country but it doesn’t seem practical, at least not to me.”

“I am prepared to decorate my house with different lights and candle this Diwali. The campaign doesn’t matter to me. It doesn’t matter where the product is manufactured, until its cheap and long lasting. And children are waiting for the fire-crackers, so I can’t go on to identify which product is Indian and which is not. It is a hectic task. So, I will buy what is easily available”, said a housewife, Seema.

India has a huge market for Chinese goods. They are cheap. They last long and well, they appeal to the eye. Over the years, Chinese products have dominated the Indian market and now suddenly with a boycott of Chinese goods, there seems a void as there are not sufficient Indian goods to replace them with.

Diptiranjan Swain, is an auto-rickshaw driver, he said: “My son is very fond of car toys. And as per the messages I am receiving on Whats app and Facebook, it constantly warns me from buying China toys. Can I get Indian goods at same cost as Chinese’s? Chinese products are way cheaper. We will purchase Indian goods provided they are affordable.”

“Last year we were in lose, people were refusing to buy lights and it hit us hard. We are hoping things don’t go in similar way this time. We have planned to keep alternatives this year like paper lanterns, candles, paper Diwali lamps and other handmade decorative items. I don’t really understand the concept of boycotting Chinese products, we are using their products since long”, said Shyam, an electrical shop owner.

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