Chinese equipment makers are thinking of setting up manufacturing or assembly units in India instead of imports, said Zhang Lizhong, Consul-General of China in Kolkata.
Zhang said the high import tariffs have made some Chinese equipment manufacturers to consider investing in India.
At a meeting organised by the Calcutta Chamber of Commerce on Saturday, the Consul General said Chinese companies were looking at new business opportunities in India, particularly in the infrastructure sector — rail, power and telecom.
He said around 100 Chinese companies have established offices for India operations. These include Baoshan Iron & Steel, Sinosteel, Shougang International, Sany Heavy Industry and Sino Hydro Corp.
Last year, the trade volume between the two countries dropped 10.1 per cent and India’s trade deficit with China went up to $28.8 billion. The economic slowdown and deliberate breaks by the Governments could be behind decline in the two-way trade, he indicated. Food processing and equipment are also areas of interest for the Chinese firms.
Tourism is also another area where bilateral businesses could exploit untapped potential. In 2012, six lakh Chinese came to India while 5.1 lakh Indians visited China.
He said local Government-level collaborations were also being encouraged. For example, Yunnan province in China, which is near South and South-East Asian countries, was being positioned as a “bridge” for attracting foreign tourists.
The Chinese government has also proposed to the West Bengal Government that Mandarin-speaking local Chinese be trained as tour guides.
jayanta.mallick@thehindu.co.in