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Wednesday, April 04, 2001

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Import policy

N. S. Venkataraman, e-mail

The highly-liberalised import policy announced by the Union Commerce Minister, Mr Murasoli Maran, would not make any significant material change in the ground situation for the common man.

The Minister has liberalised the import of almost everything, including toothbrushes, agarbathis and apples. While the rich and the upper income group would respond to the Minister's `policy initiatives', for more than half the population of the country, this import policy is of no consequence, as they cannot afford to buy commodities such as apples and agarbathis and often struggle to get a square meal.

At the same time, the liberalised import policy could make the distinction between the poor and the rich more conspicuous.

It is sad that the Minister has not said anything about the impact of such policies on the average Indian consumer and the way it can affect products in the market.

Even while liberalising imports, the Commerce Minister should have cautioned the people about the increasing dependence on overseas products and technology. Liberalised imports can have a positive impact if they lead to greater competitive thirst among p roducers and technologists. In the absence of such a positive attitude, it may lead to surrender to international trade pressure.

India could be a bigger exporter of apples, if there is greater emphasis on modern agricultural practices, use of better packaging technology, adherence to global certification procedures, and so on.

While import liberalisation has become the order of the day, the present situation calls for aggressive technology and marketing practices.

Related links:
Exim policy opens floodgates -- Industry told to pull up socks to compete globally

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