Dr. Liu Youfa addresses the Indo-Chinese trade imbalance
“The Indo-Chinese bilateral trade is said to be biased in favour of China. It is crucial to note here that 80% of this bilateral trade happens through transnational companies and cannot be addressed as Indo-Chinese trade imbalance. However, in order to address this imbalance it is vital that the two economies identify more tradeable goods to further prospective exchange of goods and services. Secondly, India demonstrates a competitive marketing edge while China is a manufacturing led economy. The two nations must form joint ventures to explore areas of individual expertise to capture global markets. Thirdly, the economies must encourage two-way investment in the sectors of education, finance, industrial manufacturing, information technology, pharmaceuticals, R & D, etc”, said Dr. Liu Youfa, Consul General of the People’s Republic of China in Mumbai during an interactive meeting with the Standing Committee of People’s Congress of Hubei Province, China organised by MVIRDC World Trade Centre Mumbai and All India Association of Industries. However, addressing the obstacles in the way of mutually beneficial trade shall be time consuming, he cautioned.
Elaborating on the Indo-Chinese trade relations Dr. Liu Youfa said that the current bilateral trade between India and China stands at US$ 65 billion. We intend to cross bilateral trade worth US$ 100 billion in the years to come. However, the current dismal economic prospects across the globe have restricted the growth of mutually beneficial trade, he added.
Earlier in his welcome address Mr. Vijay Kalantri, President, All India Association of Industries and MVIRDC World Trade Centre Mumbai said trade and economic relationship between India and China has shown rapid progress in the last few years. Indian exports to China include cotton raw & yarn, non-ferrous metals, iron ore, other ores and minerals, plastic& linoleum products, spices, Dyes/intermediates, machinery & instruments and petroleum (crude& products). Major imports from China include electronic goods, machinery, organic chemicals, project goods, fertilizers, iron and steel, transport equipments, electric machinery (except electronics) and manufactures of metals. Going forward, the two economies must extend cooperation in the sectors of finance, education, tourism, R & D, pharmaceuticals, etc, he said.
Present on the occasion was Mr. Hongyu Zhou, Vice Director, Standing Committee of Hubei Provincial People’s Congress. The rapidly growing Chinese and Indian economies are the growth engines of the world. China is India’s largest trading partner while India enjoys a position of prominence in China’s international trade. We call upon Indian entrepreneurs to invest in the Hubei province of China. The strategic location of the province is a gateway to the consumption markets of the European Union. Also, the province boasts of state of art infrastructure and logistics facility. We are home to skilled and educated work force. Prominent innovative centres and educational institutes are based in Hubei province, he said.
World Trade Centre Mumbai and All India Association of Industries have set an example in bringing together the government, industry and educational institutes to bring about sustainable growth and economic development of the nation. The Standing Committee of People’s Congress of Hubei Province intends to foster economic development of our region on similar lines by taking lessons from WTC Mumbai and AIAI, he added.
December 7, 2013
From L-R: Dr. Liu Youfa, Consul General of the People’s Republic of China in Mumbai, Mr. Vijay Kalantri, President, All India Association of Industries and Vice Chairman, MVIRDC World Trade Centre Mumbai and Mr. Hongyu Zhou, Vice Director, Standing Committee of Hubei Provincial People’s Congress during an interactive meeting with the Standing Committee of People’s Congress of Hubei Province, China organised by MVIRDC World Trade Centre Mumbai and All India Association of Industries.