The first half of this decade has been a nightmare for global trade. From covid disruptions to Suez Canal and Red Sea crisis, the trade has witnessed many operating challenges. The economic environment puts further stress on demand and as an outcome, global trade is expected to grow between 2020-25, at only half the average growth rate of previous decade. However, amidst this challenging environment, India has found its glory moment. The fastest growing economy in the world and now a favoured destination for new manufacturing investments, India has got everything right to launch the economic miracle, much like Japan did in 1950s and China in 1980s.
India has an opportunity at hand, that can propel the country to become the second largest economy in the world by 2075 on the back of sustained growth spanning decades. Japanese miracle lasted for over twenty years with Japan growing at nearly 10% during the golden age of capitalism from 1950 to 1973. Subsequently, from 1979 to 2010, China witnessed three decades of growth averaging similar 10%. Both stories had three things in common. First, a favourable geopolitical environment. China entered age of reform and people growing up in 1980s were considering western economies as friends, much different from an anti-capitalism view prevailing earlier.