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First off, **tariffs** are essentially taxes imposed on goods when they cross international borders. Think of them as a toll gate for trade. The Indian government uses tariffs for several key reasons, and understanding these reasons is crucial to understanding the country's economic strategy. The main goal is to protect domestic industries from foreign competition. Imagine a local manufacturer of, say, textiles. Without tariffs, cheaper textiles from other countries could flood the market, potentially putting the local manufacturer out of business. Tariffs level the playing field, making imported goods more expensive and thus, more competitive for local producers. This protectionist approach can nurture nascent industries, allowing them to grow and mature before facing the full force of global competition. It is a balancing act, and the level of protection provided by a tariff can be adjusted to achieve the desired outcomes, based on specific industry needs and overall economic goals. However, it's not all about protection.
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