Trade war will help India, says Jaitley

New Delhi :Finance Minister Arun Jaitley today said the ongoing trade war may have created “initial instability”, but will gradually open up opportunities for India as a bigger trading and manufacturing base.
Calling on businesses to adopt ethical practices, Jaitley said entities should pay their due share of taxes as the Insolvency and Bankruptcy Code will shut doors on ‘fly-by-night’ operators.
Speaking at the annual session of PHDCCI, Jaitley said some global trends do “adversely affect” India, but going ahead they will open up avenues for the country to grow faster.
“The trade war initially created instability, but eventually may open up greater markets. They will open up India as a bigger trading and manufacturing base and, therefore, we must closely watch the situation as to when the challenge turns into an opportunity,” Jaitley said in his video conference address.
Experts say that the ongoing trade war between the US and China could make Indian products, like machinery, electrical equipment, vehicles and transport parts, chemicals, plastics and rubber products, competitive in the US markets.
Jaitley said the rising oil prices, too, pose a challenge for the economy, since India is a net importer of crude oil. India is 81 per cent dependent on imports to meet its oil needs.