India and China on 7 June 2014 decided to inject new momentum in their economic ties with both countries pushing for exploring untapped opportunities. They also decided to set up industrial parks to take the bilateral trade beyond existing 65 billion US dollars annually.
The decision to inject new vitality into bilateral trade was taken during the talks between Union External Affairs Minister Sushma Swaraj and Chinese Foreign Minister Wang Yi held in New Delhi.
The two countries deliberated extensively on economic engagement and agreed to intensify business and trade relations. Both the countries led the discussions on deepening of engagement in specific sectors as well as projects and removing hurdles to spur the trade activities.
The economic issues include specific projects, trajectory of economic ties, potential for tapping opportunities as well as the hurdles being faced in pursuing enhanced economic cooperation.
India-China Bilateral Trade
According to official figure, China is the biggest trading partner of India with bilateral trade stand close to 65 billion US dollars and trade deficit in favour of China continued to mount at about 40 billion US dollars.
In 2013, the bilateral declined by 1.5 percent which registered decline trend for the second consecutive year. India concerns about the trade deficit and seeking for greater market access in China to bridge the gap. As a part of one way to reduce the imbalance, India open up Chinese market to India IT enabled services, cotton textiles and home furnishings and also in pharmaceuticals.
Who: India and China
When: 7 June 2014