Beijing: India’s economic growth will accelerate this year, minister of commerce and industry said as he demanded better access to China’s markets to help exports.
Anand Sharma’s call for greater access for Indian goods comes amid a widening trade gap between the countries.
Trade between the two grew rapidly to $50 billion in 2008, making China India’s second-largest trading partner, but fell back to $43 billion in 2009 as global trade declined.
“We have an imbalance, a gap in trade, which we need to meaningfully address,” Sharma told a forum.
The two countries still target $60 billion in mutual trade in 2010 because of an economic rebound, Sharma said.
“That was discussed in today’s meeting and I still remain optimistic we can keep that target for 2010.”
Sharma called for more Chinese direct investment in India, especially in infrastructure, while noting that Indian firms are already present in China.
The lion’s share of Indian exports to China are commodities, especially iron ore, of which India is China’s third-largest supplier. The focus on commodities has disappointed India’s efforts to export more diversified and value-added products.