The myth of India's import dependence

In the wake of the growing military tension on the India-China border, there have been calls for boycott of Chinese products. These have little impact on strategic reality. Equally, the plea that India cannot afford to do without Chinese imports is not a truism.

If bilateral tensions escalate, then there may be a scenario in which India and China cease to trade. How would the Indian economy be hit in such a situation? That would depend on the extent to which India is able to do without Chinese imports and investment.

In this extreme circumstance, the situation is not dire.