A senior official from China’s has said, “The call to boycott Chinese goods in India is not good for bilateral trade as the two countries attempt to forge stronger economic relations and “jingoism” should not be encouraged.”
“It is different from trade protectionism which is natural and acceptable,” Yang Yucheng from the (CCPIT) Trade said.
Yang Yucheng said, “People will prefer cheaper goods, Chinese consumers too buy goods from abroad and “there has to be exchange of goods”.
During an India-China business meet in the eastern city of Huzhou near Shanghai, Yang Yucheng was speaking to Hindustan Times, attended by 200 representatives of small and medium scale industries operating in the region.
In Beijing, the 2 countries held the third meeting of a joint working group on “Cooperation on Industrial Parks in India”.
The Indian embassy said, “Presentations were made on investment opportunities available under Make in India and the Delhi-Mumbai Industrial Corridor.”
The Indian delegation was led by joint secretary, department of industrial policy, Ravneet Kaur, and promotion in the commerce ministry, and the Chinese side by deputy director general, Li Shaotong, department of outward investment in the commerce ministry.
Huzhou’s trade with India is a reflection of larger Sino-Indian trade – the balance of trade is in Beijing’s favour. At the Huzhou seminar, India was represented by several companies based in Shanghai which pitched for the flow of Chinese investment to the Make in India programme. In 2015, Huzhou did trade worth some $ 370 million with India and the city’s imports were $ 37.81 million.
Three Indian companies, including a joint venture between the Tata group and a Chinese tea company, have a presence in Huzhou. The main imports were textile raw materials, textile products and plastic products, data shared by China Council for the Promotion of International Trade (CCPIT) showed. In the first three quarters of 2016, Huzhou’s imports from India touched $ 21.26 million.
“There is every reason to go to India for Chinese investors. Trading companies from Huzhou are especially interested in going to India.” Yang said, “The fact that 200 Chinese companies attended the seminar showed that local investors are keen to invest in India.”
“The government is ready to help Chinese investors set up shop in India,” Nagaraj Naidu, Investment Trade and Promotion Division of the external affairs ministry, said.