India banned Coca-Cola and Pepsi: What impact will this have on the Indian economy

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India’s reply to America- Ban on Coca Cola and Pepsi?

Things have become quite heated in India-US trade relations. America has imposed tariffs of up to 50% on Indian agricultural and industrial products, which has directly affected the farmers and traders of the country. In such a situation, India is also preparing for retaliation and the two biggest companies of America are on the target – Coca Cola and Pepsi.

India has currently imposed a partial ban on American companies like Coca-Cola and Pepsi

If India decides to completely ban these companies, then this step can prove to be a big blow to American trade. This is not just a business decision, but also a strong message that India can go to any extent to protect its interests. Now it remains to be seen how America handles this response and in which direction the trade relations of the two countries move.

Coca Cola and Pepsi: From every nook and corner to the ban

The tension between India and the US over tariffs has now come directly to major brands like Coca-Cola and Pepsi. In response to the US raising tariffs, India first imposed a ban on US agricultural products, and is now taking a tough stand against cold drink companies as well.

Coca-Cola and Pepsi are not just limited to cold drinks—their portfolio includes products like Mirinda, Seven Up, Mountain Dew, Kinley Water, and many more. The distribution network of these companies extends from small shops in villages to malls in big cities, making them present in every corner of India.

The government has made it clear that if the US does not withdraw its tariffs, a complete ban on these brands can be implemented. This move can have a huge impact on the trade relations between the two countries.

Attack on health: The real truth about cold drinks

If you look at the data on cold drinks, the situation is really worrying. 35-40 grams of sugar is added to a small bottle—which is much above the WHO daily limit. Due to continuous consumption, health problems like obesity, diabetes and bone weakness are increasing rapidly.

This is no small matter. Prime Minister Modi himself had described obesity as a serious challenge for the country in his 15 August speech. In such a situation, it is natural for questions to arise about cold drinks in the Indian market.

What impact will this have on the Indian economy

Coca-Cola and Pepsi have a huge business in India—billions in business every year. But it is to be seen that most of their profits, i.e. about 60% to 80%, go straight to the US.

Now, if we talk about employment, despite the presence of these companies in the country, not enough employment is being generated locally. The local industry also does not get much benefit from this. In fact, this whole matter has become a story of the profit of foreign companies and the loss of the Indian market. There is business, but the real benefit is going to outsiders.

There was a stir in Wall Street

As soon as the news of a possible ban by India came, there was a stir in the US stock markets. Shares of big companies like Coca-Cola and Pepsi saw an immediate decline. A wave of concern has spread among investors and policymakers from the White House to Wall Street. The market is currently going through a period of uncertainty.

So what is the alternative to Coca Cola and Pepsi?

Why drink weird chemical-laden beverages when you can have Desi Lassi, Nimbu Paani or fresh orange juice? Seriously, this is India—we have a treasure trove of amazing cuisines. There will never be a shortage of delicious and authentic things to drink.

plastic bottles ruining the environment

In India, plastic bottles of companies like Pepsi and Coca Cola have become a big challenge for the environment. These bottles are made from such material that it is almost impossible to recycle.

Every year, millions of tons of plastic waste is produced due to these soft drinks, which is spreading in rivers, roads and fields across the country. Due to this, not only the environment is getting damaged, but it also has a negative impact on businesses and local communities.

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