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Guangdong Eyes Hot Indian Economy
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Guangdong Province has its sights set on the Indian market in an attempt to boost trade with the booming South Asian nation in coming months.

Guangdong, China's biggest foreign trader, should make greater efforts to tap the potential of the Indian market and increase imports from the region, according to an official from Guangdong provincial bureau of foreign trade and economic cooperation.

"Guangdong has planned to buy even more raw materials, minerals, agricultural products and other hard-to-find commodities from India in the remaining months of the year to support its fast growing economy," the Guangzhou-based Yangcheng Evening News quoted the official as saying.

He urged the province's business representatives to seize opportunities to expand their trade links with India.

Guangdong's foreign trade volume with India reached US$1.31 billion in the first quarter of the year, up 77.1 percent year-on-year, and it's expected to grow, according to statistics from Guangdong Customs.

Guangdong, which lacks natural resources and energy for its economic development, is hungry for imported raw materials, minerals and natural resources from India.

The Indian economy also provides a vast market for Guangdong's high quality products.

Many international companies have established production facilities in the province, turning Guangdong into a "factory of the world."

The province's exports to India rose to US$790 million in the first quarter of the year, while imports from India hit US$520 million in the first quarter of the year, year-on-year increases of 77.5 percent and 76.6 percent respectively.

The province's machinery and electronic products have enjoyed hot sales in the Indian market since the beginning of the year.

Guangdong's machinery and electronic product exports to India reached US$630 million in the first quarter of 2007, up year-on-year 86.5 percent and representing 79.8 percent of the province's total exports to the country.

The province also sold US$18 million worth of textiles to India in the first quarter, up 68 percent from last year.

(China Daily May 11, 2007)

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