Anand Mahindra shares strategic insights on India’s economic future amid rising US tariffs, calling for bold reforms and a focus on growth pillars (India Time)
In response to US President Donald Trump's decision to double down on tariffs on Indian imports, industrialist Anand Mahindra offered his thoughts on Wednesday on what India should do to benefit the nation.
"India must go beyond incremental reform and create a genuinely effective single-window clearance system for all investment proposals," Anand Mahindra said in a post on X as he pushed for boosting ease of doing business.
Donald Trump raised taxes on Indian imports to 50% on Wednesday, blaming the country's purchase of oil from Russia, which prompted Anand Mahindra's comments. Trump's August 7 deadline for reciprocal tariffs has passed, and the 25% of the total levies that were previously announced are now in effect.
Yet again, even as US President Donald Trump imposed high tariffs to the extent of 50% on imports from India, he seems to be creating waves that draw attention, and also some good-intentioned responses. One of the voices heard above the cacophony is that of industrialist Anand Mahindra. He urges the nation to view it as a catalyst for systemic changes rather than a setback. Instead of merely retaliating, Mahindra wants an Indian mind changed: "India must seize this as an inflexion point to push for deep structural reforms." As countries retreat into protectionism, India should demonstrate that it is becoming a preferred, trusted partner by embracing transparency, speed, and reliability in its operations.
A major contention from Mahindra revolves around the concept of a genuinely effective single-window clearance mechanism for investments. India has always carried unnecessary layers of permissions and hazy paths that defied growth; a genuinely unified national platform, with the cooperation of the state, could change it all. It could make a difference in attracting global capital. Further, reforms should not be for minor improvements but call for whole transformations.
For example, rationalizing import duties especially on raw materials used in manufacturing would increase competitiveness by integrating India better into global supply chains. Such reforms, combined with stronger drives toward delivering the PLI (Production-Linked Incentive) schemes and infrastructure, would ensure that India becomes an industrial power.
A major contention from Mahindra revolves around a single-window clearance mechanism, truly effective, for investments. India has always harbored within its bureaucracy unnecessary layers of permissions and hazy paths that defied growth; a genuinely unified national platform, with the cooperation of the state, could change all that for attracting global capital. Reforms should not be for marginal improvements; rather, they should be holistic transformations.
Rationalizing import duties, especially on raw materials used in manufacturing, would enhance competitive advantages and ideally integrate India in global supply chains. With a stronger push toward the PLI (Production-Linked Incentive) schemes and infrastructure, such moves would ensure that India would be an industrial powerhouse.
Now the world is reforming through economic nationalism and tariff wars. Rather than resisting the tide, India has to nimbly navigate it and ambition. As Mahindra notes, crises often beget revolutions, and with the right blend of bold reforms and inclusive policies, India can emerge not just unscathed but stronger than ever.
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