India, China Sign MOUs to Address Trade Imbalance

India, China Sign MOUs to Address Trade Imbalance

India and China have signed three memorandums of understanding regarding buffalo meat, fisheries and pharmaceuticals, as well as one agreement on feed and feed ingredients, in order to address the expanding trade imbalance between the two countries.

India’s trade deficit with China has widened from $1.08 billion in 2001 to 2002, to $40.77 billion in 2012 to 2013. The MOUs were signed during the visit of China’s premier of the state council, Li Keqiang, to India.

An MOU for the export of buffalo meat from India to China was signed between the Chinese General Administration of Quality Supervision, Inspection and Quarantine and India’s Agricultural and Processed Food Products Export Development Authority. The export of buffalo mea tfrom India to China previously was not allowed, and the issue had been long pending between the two countries, according to India’s Ministry of Commerce and Industry.

Meanwhile, the Marine Products Export Development Authority and China’s AQSIQ signed an MOU on cooperation for import and export trade of fishery products. The MOU aims to institutionalize cooperation in promoting trade of fishery products between the two nations. India is expecting more exports from India to China through this cooperation, India’s Ministry of Commerce and Industry said.

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. The deal is expected to facilitate Indian access to the China market in pharmaceuticals.

Additionally, the Export Inspection Council of India and AQSIQ signed an agreement on trade and safety of feed and feed ingredients; China had suspended the importation of feed and feed ingredients in January 2012.