No place like home.

"In April this year, Trump had announced a 26% reciprocal tariff rate on India. He later suspended tariffs for all countries to 10%, giving them room to negotiate a trade deal." What if we fail to agree on a trade deal? No sweat. "In its latest report SBI Research has said that India will be able to diversify its export horizons to counter any negative impact of a less than favorable deal with the US." For example, we can increase our market share for services, chemicals and apparel. If it is that simple why aren't we doing it already? Other countries hit with high tariffs will also be looking to diversify their markets. Textile and garments constitute 80% of Bangladesh's exports which now face 35% tariff. "That is more than double the 16% already placed on cotton products." NDTV. "Bangladesh exported $8.36 billion worth of goods to the US in 2024," which they will try to dump on other markets, significantly increasing competition for Indian companies. "India's growing economic size may soon make it the world's third-largest economy, but former Reserve Bank of India (RBI) Governor Raghuram Rajan says that without becoming a global innovation leader, this achievement may hold little value." As, "India does not have a single company that is known across the world for its products." ET. "Instead, our economic system is dominated by national champions who are giants domestically but minnows internationally." "As the domestic market grows larger, the problem gets worse since our large players can make yet more money from their inward focus. Also, why innovate when steady imitation is enough to keep domestic consumers satisfied?" wrote Prof Rajan. Protected from competition by high tariffs on imports our companies can sell any substandard product at high prices. India has a huge population of over 1,464 million people. worldometer. Just 10% of this population would be almost equal to the combined populations of Germany (84 million) and the United Kingdom (70 million). worldometer. Why bother with two faraway countries when they have a captive market at home? "Quality consciousness is not embedded in our systems. Our factories are usually price-competitive but often fail to be quality-competitive as they are content with local markets." "Our exporters complain about 'non-tariff barriers' but never discuss why the Chinese, Japanese and Korean companies never encounter them," wrote  TCA Ranganathan. Flexport CEO Ryan Petersen claimed "excessive paperwork hampers ease of doing business compared to other countries," as "he has had to file more 'useless paperwork' in India than all other countries combined." HT. High praise, indeed! Our most efficient companies are the mafias. "Sand mafia, tanker mafia, parking mafia, coal mafia, slum mafia, to name a few." Naturally, politicians, civil servants and the police are paid handsomely to turn a blind eye. In Sonipat, near Delhi, a gang built an illegal road "through forestland for transporting illegally quarried stone from Haryana to Rajasthan. Later, a drone survey revealed not one but three unauthorized roads in the area," wrote Abhilash Gaur. We can make the best quality. Just make it illegal.