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Global economic slowdown and a decrease in exports have ruled the market sentiments the world over. The Chinese slowdown was expected. After all, at some point, after a long and consistent growth, it was expected that its growth would hit a curve, requiring the economy for readjustment. This perhaps means that China now has to tell itself that it is no more a cheap manufacturing hub; countries like Vietnam has emerged more favourable, and what it needs is to act on the realization that the time has come for something advanced, like the Japanese had done in the recent past. Like they have been leafing through the Japanese experience, India should pay closer attention to what its neighbor is going through. Back home, the talks have been all about making a conducive environment so that foreign investors and manufacturers alike can set themselves up without being entangled in bureaucratic labyrinth. The obvious objective is to generate massive employment and attain optimal utilization of all the available resources apart from the much-sought technology transfer the country so much desires. While we set up and arrangements are being made for the environment, we shouldn’t overlook the fact that heavy emphasis on exports will only leave the economy too dependent to the point that we could face what the Chinese are going or had in the recent past. Obviously, the call is to focus on domestic consumption as well so that there is a balance. In some of the panel discussions at India Shoes and Accessories Forum, 2016, similar concerns were highlighted and several industry stalwarts shared similar views on the current state of the economy. That the degree of pessimism was evitable made all the more convincing that things are not that bad as they appear are how they are talked.

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