In the next five years, China is expecting to import products and services valuing more than $10 trillion, which Indian exporters view as a historic opportunity.
New Delhi (Sputnik): India’s exporters, taking part in the 1st China International Import Expo (CIIE) in Shanghai, are expressing hope that the expo will provide more market access to them, thereby boosting exports of pharmaceuticals, marine, IT and agro products. China is India’s largest trading partner, with a total trade volume of $89.71 billion in 2017-18. With India’s exports of USD 13.33 billion, the trade balance is highly in favor of China.
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“The CIIE will provide a platform for increasing India’s exports to China. Interactions between the two sides will also expedite market access issues particularly for pharma, IT & ITES, agro and processed food etc.,” Ajay Sahai, director general and CEO of the Federation of Indian Export Organisations (FIEO), which is designated as a lead agency to set-up Country Pavilion in CIIE, said.
Despite being a major exporter of pharmaceutical products, China accounts for only 0.2% of India’s total pharmaceutical exports. In marine products, exports to China were $161 million out of total exports of $7.4 billion, a minuscule share of 2.17%. In the agri sector also, China’s share in India’s exports is less than 2.8%, according to 2017-18 trade figures.
“In IT & ITES, the share is less than 1% though we exported software worth $126 billion globally during the last fiscal. This provides huge opportunity to increase our exports to China which is further supported by the tariff war between US and China,” Sahai added.
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Participation of over 200 businessmen has become a regular feature in the Kunming and Chengdu fair, held in different locations of China every year through the FIEO. The participation in these events has helped Indian companies showcase their products to Chinese buyers and enter into long-term business relations. It has also equipped them with market intelligence. The participation in the 1st CIIE is another step in this direction.
President Xi Jinping promised a more liberal policy towards import of goods and services at the inauguration ceremony of the week-long China International Import Expo (CIIE) which will be attended by government officials and corporate executives from 172 countries.