The fact that Karim in no way thinks of himself as black makes Tracy's criticism even more difficult to stomach, as it reinforces the fact that others will police Karim's identity whenever they can, regardless of the race of those doing the policing. When nobody stands up for Karim, it hearkens back to when nobody supported Karim in regards to the exaggerated Indian accent in
The Jungle Book and makes it clear that though this problem is something Karim has experienced lots of places, it's particularly insidious in the entertainment industry.