Why did the Indian Government remove barriers to a large extent on foreign

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#1

Why did the Indian Government remove barriers to a large extent on foreign trade and foreign investment?


#2

In 1991, the Government of India liberalised its policy and felt that Indian producers must compete with producers around the world.
The Government had an opinion that trade competition would improve the performance of the local producers within the country since they will be forced to improve their quality.
Thus, Indian Government removed barriers to a large extent on foreign trade and foreign investment.