Indian rice exports to China to begin soon | SupportBiz

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Indian rice exports to China to begin soon

India's rice exports to China have been virtually cleared. The assurance from Beijing came when Indian Prime Minister Manmohan Singh met with his Chinese counterpart Wen Jiabao in the Brazilian port city of Rio De Janeiro on June 20, on the margins of the Rio+20 Summit.

"There were some regulatory issues earlier. Our Commerce Ministry had been working on it. Now, these have been resolved as per the Chinese premier," a top Indian official, privy to the deliberations between the two leaders, told reporters.

The decision, he added, was conveyed when the two leaders dwelt on the target of boosting bilateral trade between the two Asian tigers to USD100 billion by 2015, during which Manmohan Singh mentioned the large trade surplus in China's favour.

This was the 13th time the two leaders met, since Manmohan Singh, now in his second term, took over as Prime Minister for the first time in 2004.

"The Chinese premier agreed that India has a large trade deficit with China, and in that context, he said that rice exports from India would be allowed. He also assured Chinese investments in India's infrastructure," the official said, requesting anonymity.

India and China enjoyed a bilateral trade of a record USD73.9 billion last year. However, the trade deficit for India ballooned to USD27.07 billion, even as Indian exports to the Asian giant grew nearly 13 percent to USD23.4 billion, as per official data.

The two sides, according to Indian officials, also agreed to form an inter-ministerial group within their respective countries on maritime matters, and deploy officials to hold formal talks on subjects pertaining to security, trade, navigation and other issues, including piracy.

Only recently, an Indian fleet of four ships had visited China on a four-day goodwill mission of the Indian Navy and its long-haul deployment on its eastern seaboard after a gap of some six years.

The four ships - guided missile destroyer INS Rana, stealth frigate INS Shivalik, missile corvette INS Karmukh and fleet tanker INS Shakti - had docked in Shanghai and returned to their bases in Vishakapatnam.