France is the 5th largest importing country with a share of around 3.8% of world imports. However, France accounts for only 1.7% of exports from India, occupying a low 17th position among countries importing from India. Of course France ranks only 29th among countries exporting to India, with a share of only about 0.8% of India’s total imports. As crude oil is a major import item for India accounting for about 30% of its imports and as already India’s trade deficit is very wide, India may not be able to increase imports from France. However, India can with some more effort, increase exports to France.
Similar is the position regarding exports to Italy and South Korea which are also leading importing countries
India should as a first step set up Consulates in France and South Korea and additional Consulate in Italy. Embassies and Consulates should organize CATALOGUE exhibitions at least twice a year.. After 3-4 catalogue exhibitions, products exhibitions and buyer-seller meets can be organized.
Recently there is a talk about taxing the super-rich more. At present there are In India only 3 rates i.e 10%, 20% and 30% of taxable income, for taxing the income of people in India. These slabs can be increased to 5 or 6. In several countries there are 5 slabs. In several developed countries, the maximum rate of income tax exceeds 50%. India can introduce tax rates of 40% and 50% for higher income groups. In countries like Italy and Netherlands, everyone has to pay income tax irrespective of the income. It is only fair that those who enjoy more benefits from government viz low income people should also be made to take some responsibility to pay at least a token contribution for the benefits. The lowest tax rate could be nominal –may be 1% or 2%. Cost of collection of income tax in the lowest slab would be high but ways can be found to minimise the cost of collection. Alternately indirect taxes like excise duty and sales tax rates should be increased.
Income from agriculture should also be taxed. However farmers should have the freedom to fix prices for their produce in the same way as industrialists fix prices for their products. Government should not interfere by regulations like procurement prices, ban on exports, export duty etc. Of course, governments can do away with the grants and subsidies.
The minimum wages should be so much that it is sufficient to meet all the basic needs and tax payments.