India draws China’s attention towards trade imbalance issue
India raised the issue of heavy trade imbalance with China and sought immediate steps to facilitate Indian exports of pharmaceutical and agricultural products, buffalo meat and Information Technology (IT) services.
Both the nations agreed that the working group on trade and economic cooperation should meet in September 2013 along with another working group on trade in services and trade statistics to implement the decision taken by the two sides. They also discussed about Joint Economic Group (JEG) meet likely to be held in late October 2013 in Beijing. India also sought Chinese investment in manufacturing in the National Manufacturing Investment Zones.
What is the task assigned to Joint Economic Group between India and China?
The working group on the trade and economic cooperation is mandated to prepare an action oriented work plan for improving India’s trade imbalance with China.
India’s import volume staggeringly exceeds its exports to China. During January- June 2013 India’s export to China stood at $5.42 billion whereas imports were $24.70 billion.