21.22 ndian onom
The above-given events show as if the world itself—the world looks taking the same old course
(or at least the economies which matter most) which caused the demise of the General Agreement
has started to move slowly away from the much- on Trade and Tariff (GAAT) by the later part of
celebrated idea of globalisation—de-globalisation 1970s. It is still not possible to give the verdict on
taking over the world—shrinking scope for the fate of globalisation but things look very weak
multilateral trade and economic inter-dependence. in its favour.
But all does not look lost—the lack of willingness
towards globalisation among different economies inDiA’s cAse
is not of the same degree nor universal to every As per the views of the experts and the Economic
economy—better say it looks selective. Survey 2016-17, India necessarily needs a vibrant
multilateral trading world to pursue its socio-
imPAct of regionAl trADe Agreements economic aspirations of alleviating poverty,
The much-celebrated regional trade agreements enhancing growth rate and joining the club of
look getting irrelevant given the rise of protectionist developed world. For that matter, the country
moves among the nations particularly among the needs to keep pushing in favour of a multilateral
developed economies. The most ambitious such world. It needs to negotiate with the countries
agreement—Trans-Atlantic Partnership—has having higher appetite for globalisation on the
been derailed as the biggest force behind it, the priority basis—sketching out some more lucrative
USA, has backed out of it. How will it come regional and preferential trade agreements. To
without US is still not clear or whether it will die scale up its growth to the level of 10 per cent,
before coming into being is just anybody’s guess India needs an active support of exports.
today. Most of the regional trade agreements (for If developed nations are apprehensive of
example, the NAFTA, SAFTA, etc.) involving trading with China, it does not mean they will have
USA and UK are in the process of transition. same concerns towards India, too. India might
Meanwhile, the situation regarding such help the developed nations to grow with it. While
agreements involving the developing nations are China is busy re-balancing its economy and trade
different or better say just opposite. As the course of (finding it difficult, too), India must not miss the
globalisation has been proving socio-economically opportunity to clear its intentions and prioritise
correct for them to a large extent they are eager to its actions in this regard. India cannot afford (so
promote inter-regional and multi-lateral trades. In the emerging market economies) deglobalisation.
case of India and the BRICS it is imperative to Rather, it should support globalisation vigorously.
strengthen the course of globalisation. Particularly There are high chances of finding viable partners
in case of India the course of socio-economic in the developed world itself.
transformation depends heavily on the success of
Everything is not lost about globalisation yet.
the future of multilAterAlism There is no clarity yet about the benefits which the
Experts believe that the future course of US or the UK will have out of being protectionist.
multilateralism now will depend on the actions May be after testing the waters of protectionism
and steps of the emerging market economies. they get back to the course of globalisation. As
Another school of thinking feels history repeating the developed nations miscalculated the impact of