The document summarizes trade relations between India and China over the past several decades. It notes that India was the first non-socialist country to establish trade relations with China in 1950. Bilateral trade has increased significantly since then, reaching $50 billion in 2008, with China becoming India's largest trading partner. The top sectors for Indian exports to China are cotton, copper, and ores, while the main imports from China are organic chemicals, machinery, and electrical equipment. Both countries have set a target of increasing bilateral investment to $100 billion by 2015.

1. SINO-INDIAN TRADE RELATION

2. INTRODUCTION
• India China Trade Relation
• Also known as sino-indian relations
• Two most populous and fastest growing economy
• Trade relations for over more than 2000 years
• However there are many boundary conflicts affecting this
trade

3. BACKGROUND
• 1949: Government of India extends recognition to the People's Republic of China
• 1950: India becomes the first non socialist country to establish trade relation with
PRC
• 1954: Trade agreement between PRC and India signed in New Delhi
• 1976: India China trade relation restore relations after fifteen years gap
• 1988: Indian Prime Minister Rajiv Gandhi pays an official visit to China to
establish a joint working group on boundary question
• 1994: Double Taxation avoidance agreement signed
• 2006: Indian Defense Minister signed a memorandum of understanding on
defense exchange and cooperation
• 2008: Bilateral trade breaks $50 billion mark and China becomes India's largest
trading partner in goods.
• 2010: 60th anniversary of bilateral relations commemorated through "Festival of
India in China" and "Festival of China in India"

4. OBJECTIVE OF STUDY
1. Major Sectors that India Exports to China.
2. Major Sectors that India Imports From China.

5. Major Sectors that India Exports to China
1. Cotton
2. Copper and Articles thereof
3. Ores, Slag and Ash

6. COTTON
0.00
500,000.00
1,000,000.00
1,500,000.00
2,000,000.00
2,500,000.00
2012-13 2011-12 2010-11 2009-10 2008-09 2007-08 2006-07 2005-06 2004-05 2003-04 2003-02
COTTON
COTTON

7. COPPER AND ARTICLES THEREOF
0.00
200,000.00
400,000.00
600,000.00
800,000.00
1,000,000.00
1,200,000.00
1,400,000.00
COPPER AND ARTICLES THEREOF
COPPER AND ARTICLES THERE OF

8. ORES, SLAG AND ASH
0.00
500,000.00
1,000,000.00
1,500,000.00
2,000,000.00
2,500,000.00
3,000,000.00
2012-13 2011-12 2010-11 2009-10 2008-09 2007-08 2006-07 2005-06 2004-05 2003-04 2003-02
ORES,SLAG AND ASH
ORES,SLAG AND ASH

9. Major Sectors that India Imports from China
1. Organic Chemicals.
2. Nuclear Reactors, Boilers, Machinery and Mechanical
Appliances; Parts Thereof.
3. Electrical machinery and Equipment and Parts Thereof;
Sound Recorders and Reproducers, Television Image
and Sound Recorders and Reproducers, and Parts.

10. ORGANIC CHEMICALS
0.00
500,000.00
1,000,000.00
1,500,000.00
2,000,000.00
2,500,000.00
3,000,000.00
2012-132011-122010-112009-102008-092007-082006-072005-062004-052003-042003-02
ORGANIC CHEMICALS
ORGANIC CHEMICALS

11. NUCLEAR REACTORS, BOILERS; PARTS THEREOF.
0.00
1,000,000.00
2,000,000.00
3,000,000.00
4,000,000.00
5,000,000.00
6,000,000.00
NUCLEAR REACTORS, BOILERS, MACHINERY AND
MECHANICALAPPLIANCES; PARTS THEREOF.
NUCLEAR
REACTORS, BOILERS, MACHINERY
AND MECHANICAL APPLIANCES;
PARTS THEREOF.

12. ELECTRICAL MACHINERY AND EQUIPMENT AND PARTS THEREOF
0.00
1,000,000.00
2,000,000.00
3,000,000.00
4,000,000.00
5,000,000.00
6,000,000.00
7,000,000.00
8,000,000.00
ELECTRICAL MACHINERY AND EQUIPMENT AND
PARTS THEREOF; SOUND RECORDERS AND
REPRODUCERS, TELEVISION IMAGE AND SOUND
RECORDERS AND REPRODUCERS,AND PARTS.
ELECTRICAL MACHINERY AND
EQUIPMENT AND PARTS THEREOF;
SOUND RECORDERS AND
REPRODUCERS, TELEVISION IMAGE
AND SOUND RECORDERS AND
REPRODUCERS,AND PARTS.

13. DEVELOPMENT OF TRADE RELATIONS BETWEEN INDIA AND CHINA
• During a recent visit of Chinese premier MR Li Keqiang to India, he
suggested his willingness to launch FREE TRADE ACT with India.
• The two countries have set themselves the target of increasing the
investment to $ 100 billion by 2015.India wants to offer china more
pharmaceuticals and IT.
• The export of buffalo meat was not allowed from India to china and
this has been a long pending issue between the two countries.
• The marine products export development authority and AQSIQ also
signed an MOU on co-operation for import and export of fishery
products.
• An MOU was also signed between pharmaceuticals export promotion
council of India and the china chamber of commerce for import and
export of Medicines and health products.

14. BY GOVERNMENT TO HELP EXPORTERS
• Market assess to sector such as IT and Pharmacy
• Stress on promoting mutual co-operation in energy
efficiency and environmental protection
• Cut in freight charges
• Indian handicrafts are seeing a huge market in China
• Indo-China border trade

15. Problems faced by exporters
• Language Constraint
• Price Competitiveness
• Quality Standard Barriers

16. Future Initiatives to be taken
• Create a constructive economic and political architecture
• opportunities should open up in the services sector like
finance, education, health, audit and accounting, legal
practice and entertainment
• Need of mutual consensus on custom valuation, clear
guidelines, uniform documentation, increase in efficiency
of port and customs
• agreement should include trade in both goods and
services
• Harmonization of technical and agricultural standards

17. Future Initiatives to be taken
• Language barrier must be addressed
• Pre-shipment inspection agreement to reduce Non-Tariff
barrier
• China should welcome Indian companies to explore
• Both the countries have already agreed to push the
bilateral trade to USD 100 billion mark by 2015
• what is needed is to become
partners, instead of rivals

19. Group 2