Reduce dependence on one country

US Reciprocal Tax Policy is a new challenge for India. Reciprocal tariff is imposed to maintain trade balance, protect local industries and prevent unfair business competition. As far as India is concerned, the US remains India's largest export market, accounting for 17.7 per cent of total exports in FY 2023-24. Global trade experts say that India is strategically reducing its dependence on any one country. This approach includes strengthening ties with regions like Europe and the Middle East. At the same time, optimizing the supply chain network is also included. Apart from this, India is focusing on export of finished goods and high-value products from export of raw materials. This is an effort that not only increases export revenue but also ensures competitiveness in the face of rising tariffs.

Raj Ahirwar