India approves industrial park by China
Updated: Jun 26, 2014 04:16:25pm
New Delhi, Jun 26 (KNN) If you can't beat them, join them! Having remained unsuccessful in stopping huge imports from China, India would now welcome the Chinese companies to set up industrial parks in the country which hopefully will help the Indian vendors as well.
The government yesterday gave in-principle approval for India China industrial parks.
The proposal was approved by the cabinet setting the stage for the signing of a memorandum of understanding for such industrial parks.
“The details about the park and the pact will only be available after the MOU is signed with our Chinese counterpart,” Telecom, Law and Justice Minister, Ravi Shankar Prasad said here.
India has been running a huge trade deficit against China and the imbalance has hit Indian manufacturers, more so the SMEs in several industry segments like electronics, electricals, bicycle parts and telecom hardware.
India's trade deficit with its top trading partner China touching a whopping USD 31.42 billion as the bilateral trade declined by 1.5 per cent in 2013, registering a downward trend for the second consecutive year, reports said.
However, if Chinese industrial parks are set up in India, at least the products to be sold in India would be manufactured in these parks and are likely to involve Indian partners.
Beginning today, Vice President, Hamid Ansari is commencing his five day Chinese tour, where the issue of trade imbalance and industrial cooperation will come up.
The cabinet’s approval of MOU for China India industrial parks comes in the backdrop of the visit of Chinese Ambassador to Gujarat.
According to China India Trade and Investment Centre (CITIC), China is interested in investing in India especially in automotive, electronics, agro-processing, tourism and manufacturing. The neighbouring country has emerged as India's biggest trading partner in the current fiscal replacing the UAE and pushing it to the third spot.
India-China trade has reached USD 49.5 billion with 8.7 per cent share in India's total trade, while the US comes second at USD 46 billion with 8.1 per cent share and the UAE third at USD 45.4 billion with 8 per cent share during the first nine months of the current fiscal, CITIC said in a statement.
“This was a long pending demand to strengthen India China trade and investment ties which has now been fulfilled by the new government. In return the Chinese Government may agree to allow India to set up industrial parks there in China,” interim Secretary General of CITIC Jagat Shah said.
According to Shah, both sides had identified five states where the parks would be set up - Uttar Pradesh, Andhra Pradesh, Gujarat, Maharashtra and Karnataka. (KNN/PC/ES)
The government yesterday gave in-principle approval for India China industrial parks.
The proposal was approved by the cabinet setting the stage for the signing of a memorandum of understanding for such industrial parks.
“The details about the park and the pact will only be available after the MOU is signed with our Chinese counterpart,” Telecom, Law and Justice Minister, Ravi Shankar Prasad said here.
India has been running a huge trade deficit against China and the imbalance has hit Indian manufacturers, more so the SMEs in several industry segments like electronics, electricals, bicycle parts and telecom hardware.
India's trade deficit with its top trading partner China touching a whopping USD 31.42 billion as the bilateral trade declined by 1.5 per cent in 2013, registering a downward trend for the second consecutive year, reports said.
However, if Chinese industrial parks are set up in India, at least the products to be sold in India would be manufactured in these parks and are likely to involve Indian partners.
Beginning today, Vice President, Hamid Ansari is commencing his five day Chinese tour, where the issue of trade imbalance and industrial cooperation will come up.
The cabinet’s approval of MOU for China India industrial parks comes in the backdrop of the visit of Chinese Ambassador to Gujarat.
According to China India Trade and Investment Centre (CITIC), China is interested in investing in India especially in automotive, electronics, agro-processing, tourism and manufacturing. The neighbouring country has emerged as India's biggest trading partner in the current fiscal replacing the UAE and pushing it to the third spot.
India-China trade has reached USD 49.5 billion with 8.7 per cent share in India's total trade, while the US comes second at USD 46 billion with 8.1 per cent share and the UAE third at USD 45.4 billion with 8 per cent share during the first nine months of the current fiscal, CITIC said in a statement.
“This was a long pending demand to strengthen India China trade and investment ties which has now been fulfilled by the new government. In return the Chinese Government may agree to allow India to set up industrial parks there in China,” interim Secretary General of CITIC Jagat Shah said.
According to Shah, both sides had identified five states where the parks would be set up - Uttar Pradesh, Andhra Pradesh, Gujarat, Maharashtra and Karnataka. (KNN/PC/ES)
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