Reliance on Non-tariff Measures for Self-Reliant India: An Analysis of India’s New Trade Policy Orientation

Abstract

With the introduction of the Self-Reliant India initiative, the Government of India (GOI) has underlined the importance of trade policy instruments to augment the capabilities of the domestic manufacturing sector. It has used both tariffs and non-tariff measures (NTMs) but NTMs have emerged as an important instrument of India’s trade strategy under the Self-Reliant India initiative. This article analyses selected NTMs i.e., import monitoring mechanism, quality standards (QSs), and changes in Rules of Origin (RoO) to understand the broader orientation of India’s trade policy. Findings demonstrate that the introduction of these NTMs are aimed at fostering a strong ecosystem for NTMs to restrict imports thereby extending protection to the domestic industry from international competition. It also reflects that India’s broad trade policy orientation is gradually moving towards a protectionist regime under the ‘self-reliant’ agenda. Trade policy, Non-Tariff measures, Non-Tariff Barriers, Import monitoring system, Quality standards, Rules of origin, Self-Reliant, etc.