Increase in Trade Dificit With China GOVERNMENT OF INDIA MINISTRY OF COMMERCE AND INDUSTRY RAJYA SABHA STARRED QUESTION NO-203 ANSWERED ON-07.12.2011 a) whether it is fact that trade deficit with China has increased during the last three years; b) if so, the details thereof and the reasons therefor; and c) what are the measures before Government for correcting this imbalance? ANSWER MINISTER OF COMMERCE AND INDUSTRY (SHRI ANAND SHARMA) a) to c): A Statement is laid on the Table of the House. ANNEXURE STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (c) OF RAJYA SABHA STARRED QUESTION NO. 203 FOR ANSWER ON 7TH DECEMBER 2011 REGARDING “INCREASE IN TRADE DEFICIT WITH CHINA” (a) The trade deficit with China has risen with a dip in the year 2009-10. During the year 2008-09 the trade deficit was US$ 23,144 million. But in the year 2009-10 the trade deficit came down to US$ 19,207 million. The trade deficit during the year 2010-11 was US$ 23,864 million. (b) The details of exports to and imports from China during the last three years are given in the blog Chinese export to India relies strongly on manufactured items meeting the demand of fast expanding sectors like telecom and power in India. Chinese companies supply relevant equipments at most competitive prices. India’s exports are characterized by primary products, raw material and intermediate products. Further there are non-tariff barriers on imports of agricultural products in China as well as limited market access of Indian products. (c) The Government of India has addressed the issue of growing trade deficit at the highest level. At the Ministerial level, we have India-China Joint Group on Economic Relations, Trade, Science and Technology (JEG) where trade related issues are taken up regularly. The Eighth Session of India-China JEG was held on 19th January, 2010 in Beijing. As an outcome of 8th JEG a Memorandum of Understanding on extension of Trade and Economic Cooperation was signed. The MoU recognises that a balanced trade is conducive to long term, sustainable and harmonious development of economic cooperation between the two countries. Indian exporters are encouraged to participate in major trade fairs in China to show-case Indian products in the Chinese market and increase engagement with Chinese companies. Participation of Indian exporters in trade fairs aims to promote Indian products amongst Chinese importers. With a view to reducing trade deficit, efforts are also being made to diversify the trade basket with emphasis on manufactured goods. We are also pursuing market access issues to tackle non-tariff barriers in the Chinese market at different fora. Business to Business relations are encouraged through schemes such as Market Access Initiative (MAI)/Market Development Assistance (MDA). Apart from these measures the Government of India is alive to the challenges of import surges and various unfair trade practices through available safeguard measures under WTO. yschowdarymp.blogspot/2011/12/Increase-in-Trad-Dificit-With-China-YS-Sujana-Chowdary.html
Posted on: Sat, 06 Jul 2013 06:38:56 +0000
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