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India China Bilateral Trade
India China Bilateral Trade
TBEA will invest in two phases Rs 2,500 crore for the Green Energy Park. The first phase of the project, involving an investment of Rs 400 crore, will lead to setting up of a plant to manufacturer ultra high voltage transformers. Work on the first phase is expected to start soon, while production will commence next year. This investment is expected to create around 2000 jobs in the state. The second phase will see investment of the remaining amount. The transformers will be for 'Indian markets', and also for African countries and the Middle East. Chief minister Narendra Modi will visit China later this month to further strengthen cooperation. The state government will facilitate the process of obtaining necessary permissions and approvals. To ensure completion and smooth operation of the TBEA Green Energy Park, the state government will also facilitate availability of the necessary infrastructure. TBEA, the third largest transformer manufacturer in the world, has been a major supplier of transformers and reactors to India in recent years. The company will bring clean and the latest technology to India but currently it is looking to consolidate its position by setting up a manufacturing base in the country.
Union Minister for Commerce, Industry and Textiles Anand Sharma on Thursday said both nations were on the course to achieve the bilateral trade target of $100 billion by 2015. Mr. Sharma also announced that a Chinese company, in collaboration with Indian partners, would pump Rs.2,500 crore in green energy. These issues came up for discussion during Mr. Sharma's meeting with visiting Governor of Xinjiang province of China Nur Bekri here. Mr. Sharma said trade between India and China had seen exponential growth in the last few years. The total trade volume had gone up from $2.3 billion in 2000-01 to $59.62 billion in 2010-11 . Mr. Sharma raised the issue of India's concern over the massive trade deficit. The trade deficit for the Indian side had increased from $9.1 billion in 2006-07 to $20.8 billion in 2010-11. A balanced trade is needed for long-term, sustainable and harmonious development of economic cooperation between the two countries.
Mr. Bekri said that with extensive economic reforms in the last three decades, Xinjiang had developed greatly and now offered huge business and investment opportunities in sectors such as oil and gas, mining, agriculture, tourism, IT, pharmaceutical and biotechnology.
Scope
The scope of this study is limited to use of new and renewable energy for electricity and transportation and following sectors have been examined in detail: Wind Energy Bio-Energy Solar Energy Bio Fuels Municipal Solid Waste (MSW) to Electricity
2. Bilateral Trade
The overall bilateral trade figures for 2010 released by the China Customs are as follows:
2008 India Exports to China Growth % China Exports to India Growth % Total IndiaChina Trade Growth % Trade Balance for India 20.34 2009 13.70 2010 20.86
38.76 31.52
-32.63 29.57
52.19 40.88
31.12 51.86
-6.17 43.28
38.25 61.74
34.02 -11.18
-16.55 -15.87
42.66 -20.02
Highlights: India-China total trade crossed the target of US$ 60 billion for 2010 and stood at US$ 61.74 billion, recording an increase of more than 52%. India s exports to China for year 2010 reached US$ 20.86 billion, a growth of more than 52% when compared to year 2009. However, India s exports to China in 2010 were only slightly more than the figure for year 2008 when our exports reached US$ 20.34 billion. India s exports in 2010 recorded an increase of only 2.5%. China s exports to India for year 2010 reached US$ 40.88 billion, an increase of almost 41% compared to 2009. The trade deficit for India for year 2010 stood at more than US$ 20 billion, more than US$ 15.87 billion trade deficit in year 2009. The total trade for the first five months of 2011 (Jan-May) stood at US$ 29.36 billion, a year-on-year increase of 17.15 %. The trade deficit in this period was US$ 7.69 billion
Some keywords
What Does Bilateral Trade Mean? The exchange of goods between two countries. Bilateral trade agreements give preference to certain countries in commercial relationships, facilitating trade and investment between the home country and the foreign country by reducing or eliminating tariffs, import quotas, export restraints and other trade barriers. Bilateral trade agreements can also help minimize trade deficits. What Does Tariff Mean? A taxation imposed on goods and services imported into a country. Also known as a duty tax. Governments generally impose tariffs to raise revenue and protect domestic industries from foreign competition caused by factors like government subsidies, or lower priced goods and services What Does Trade Deficit Mean? An economic measure of a negative balance of trade in which a country's imports exceeds its exports. A trade deficit represents an outflow of domestic currency to foreign markets.
CII is a non-government, not-for-profit, industry led and industry managed organisation, playing a proactive role in India's development process. Founded over 116 years ago, it is India's premier business association, with a direct membership of over 8100 organisations from the private as well as public sectors, including SMEs and MNCs, and an indirect membership of over 90,000 companies from around 400 national and regional sectoral associations. The Confederation of Indian Industry (CII) works to create and sustain an environment conducive to the growth of industry in India, partnering industry and government alike through advisory and consultative processes.
conclusion
India and china is doing business in each other s country. Many indian companies are there in china and more company is planned to be established in china and even china is planning the same. India and china has really been developing their relationship by expanding their business in one another s country. The bilateral trade between these two countries really will acheive the target of $100 bn. And with this we will have good relation.