India’s trade with China registers $60-m surplus

Amiti Sen

New Delhi, July 15: After suffering a trade-deficit with China for years, India is finally hopeful of reversing the trend this year with the figures for the first four months of 2001 registering a surplus of $ 60 million.

In the period January-April 2001, India’s total exports to China stood at $ 630 million while imports were to the tune of $ 570 million.
Speaking to The Financial Express, ministry sources said that the trade figures were very encouraging for the country. “For the first time, in the last so many years, we have managed a trade surplus. We are hopeful that this would continue throughout the year.”

Sources added that the surplus netted in the period was not a fluke as Indian exports to China had been increasing in the recent years. In the last two years, India’s exports to China increased by 50 per cent while imports from China increased by 35 per cent.

India’s export basket to China includes garments, textile, gems & jewelry and agricultural products.

Although, China is a bit peeved with the high number of anti-dumping cases initiated against Chinese companies by India and a recent trade delegation from the country had pointed that out to the Indian government, sources said that this would not hamper bilateral relations.

“We explained to them that we had given affected Chinese companies enough opportunity to express their view points but they had not responded,” sources said adding that when awareness about WTO regulations increased among the business community in China, such problems would disappear.

The trade surplus with China has enthused the Indian government to the extent that it is not too concerned about certain bilateral agreements not yet honored by China.