India slaps 16pc duty on RMG from Bangladesh

[Azazel]

I dont think India can afford to import clothes for its citizenry.

We don't have to import at all.Bangladeshis are so poor they can't even afford the clothes they make in their own country.

 

[animelive]

We don't have to import at all.Bangladeshis are so poor they can't even afford the clothes they make in their own country.

Cool story bro, needs some dragons and darth vader.

 

[Azazel]

Cool story bro, needs some dragons and darth vader.

What??No vampires and werewolves???

 

[eastwatch]

We don't have to import at all.Bangladeshis are so poor they can't even afford the clothes they make in their own country.

Do not try to be oversmart, Mr. Einstein. BD imports Chinese as well as Indian high quality garments goods, but, India is not responsive enough to allow even an average quality garments to be imported. This is why it has slapped a heavy 16% duty on BD garments. Look, we people like to spend and Indians are famous for saving their money. Money in Indian Banks, hands and pockets does not produce enough consumer goods because by nature Indians have the propensity of underspending. But, it moves in cyclic order.

To them spending is a wastage of money and saving is a virtue. Well, this theory is no more applicable in the 21st century when a country is in the developing stage. The habit of oversaving creates a weak consumer market in India. When India is supposed to pull up the economy of Bangladesh, it is doing just the opposite. Well, who can blame the govt of India when the population are renowned throughout the world as miser No. 1.

 

[illusion8]

Must be a move to cut down on fiscal deficit, we import too much - sorry Bangladeshi's - free rides can only go so far.

 

[Azazel]

Do not try to be oversmart, Mr. Einstein. BD imports Chinese as well as Indian high quality garments goods, but, India is not responsive enough to allow even an average quality garments to be imported. This is why it has slapped a heavy 16% duty on BD garments. Look, we people like to spend and Indians are famous for saving their money. Money in Indian Banks, hands and pockets does not produce enough consumer goods because by nature Indians have the propensity of underspending. But, it moves in cyclic order.

To them spending is a wastage of money and saving is a virtue. Well, this theory is no more applicable in the 21st century when a country is in the developing stage. The habit of oversaving creates a weak consumer market in India. When India is supposed to pull up the economy of Bangladesh, it is doing just the opposite. Well, who can blame the govt of India when the population are renowned throughout the world as miser No. 1.

I think this move was done to reduce high trade deficit.We have to cut down imports as much as we can.BD is just another victim.Besides these are not like important capital goods or Oil.And the high savings rate of Indians are good,they can be used on domestic investments.Investment and savings go hand in hand.That's why Indian Govt is encouraging people to save more.And IMO world's largest miser is China.

 

[MandarK]

Do not try to be oversmart, Mr. Einstein. BD imports Chinese as well as Indian high quality garments goods, but, India is not responsive enough to allow even an average quality garments to be imported. This is why it has slapped a heavy 16% duty on BD garments. Look, we people like to spend and Indians are famous for saving their money. Money in Indian Banks, hands and pockets does not produce enough consumer goods because by nature Indians have the propensity of underspending. But, it moves in cyclic order.

To them spending is a wastage of money and saving is a virtue. Well, this theory is no more applicable in the 21st century when a country is in the developing stage. The habit of oversaving creates a weak consumer market in India. When India is supposed to pull up the economy of Bangladesh, it is doing just the opposite. Well, who can blame the govt of India when the population are renowned throughout the world as miser No. 1.

Your post is very good. The only problem is that it does not contain any fact.


Fact 1: As per my knowledge, BD imposes a minimum of 25% duty on imported RMG. (Got it from official custom website...though it is given in a very confusing manner.)

So it is BD which is trying to protect her market. You cant have your cake and eat it too.


Fact 2: This is with reference to savings and spending. data is from World Bank.

Gross savings (% of GDP) | Data | Table

India: 34% (2010) (2011 data is not available.)


Bangladesh: 38% (2010). 37% (2011).

So let me rephrase what you have written(Based on who spends more and who spends less......)

Look, we people like to spend and bangladeshies are famous for saving their money. Money in BD Banks, hands and pockets does not produce enough consumer goods because by nature bangladeshies have the propensity of underspending. But, it moves in cyclic order.

To them spending is a wastage of money and saving is a virtue. Well, this theory is no more applicable in the 21st century when a country is in the developing stage. The habit of oversaving creates a weak consumer market in Bangladesh. When Bangladesh is supposed to pull up the economy of India, it is doing just the opposite. Well, who can blame the govt of bangladesh when the population are renowned throughout the world as miser No. 1.

 

[Luffy 500]

It was expected at the end of this government.
Every other facilities will be withdrawn by india when this gov is gone.
I can remember 2001-06. Tough time

A Hammarian "Mainstream Bangladeshi" post.

 

[MandarK]

One has to wonder where does these indians come from, some sort of isolation or something. 1.23 billion people in india is not market size but burden for india. And good protion of that indian population fed by $10 billion + export money india makes from Bangladesh. Bangladesh garment export to india is less than $100 million which is miniscule for Bangladesh total garments export volume. When it comes to garments, indian market does not matter. What matter is indian deception of saying "duty free" access when imposing non tariff and local tariff barriers. Furthermore it put indian dalal class in Bangladesh on spot for making india submissive claims.

One has to wonder from where some Bagladeshies come from....Going by the highlighted logic, India feeds china because China is earning close to $4obn from India.

height of Stupidity.

 

[rubyjackass]

It was expected at the end of this government.
Every other facilities will be withdrawn by india when this gov is gone.
I can remember 2001-06. Tough time

Interesting and the first sane perspective. You are right. It could be India taking back a freebie in anticipation of election. There are two ways of seeing this(The other uninteresting reason is simply that Indian elections are coming up. Mamta Banerjee will sit on Congress' throat or more likely the Communists will take Bengal away for good) in Bangladesh's perspective.
1) India sees AL going and so wants to take away the patronage until AL comes back.
2) India sees AL going and so will withdraw the no-tax benifit so that it can use the bargaining chip with BNP.

Which one would you prefer?

 

[Mattrixx]

Interesting and the first sane perspective. You are right. It could be India taking back a freebie in anticipation of election. There are two ways of seeing this(The other uninteresting reason is simply that Indian elections are coming up. Mamta Banerjee will sit on Congress' throat or more likely the Communists will take Bengal away for good) in Bangladesh's perspective.
1) India sees AL going and so wants to take away the patronage until AL comes back.
2) India sees AL going and so will withdraw the no-tax benifit so that it can use the bargaining chip with BNP.

Which one would you prefer?

Its up to india as they will try to get benefited from their perspective.
Why india shall specially work in our favor.
Its BD gov should ensure its ppl's rights.
Yes bargaining is good. But I dont think there will be mass changes in india bd relation.
As bnp will not do anything which will hurt relation with its biggest trade partner.
Lets see if there is any significant changes in land river and transit disputes.

 

[SHAMK9]

I dont think India can afford to import clothes for its citizenry.

India is slowly opening it's market to Pakistan, last year at Pakistan expo in Mumbai, the sales went through the roof and there were no clothes left to sell. Pakistani designers are now allowed to open stores in India, many of them already have opened their stores.