Indian companies advised to localise in China to improve export basket

BEIJING: Indian companies must learn to localize in China and try to be a little more creative in their operations in this country if they wish to correct the flaws in India’s trade basket. The advice came on Tuesday from Indian ambassador S.Jaishankar, who pointed out that commodities and raw materials comprised three-fourth of Indian exports to China leaving little room for manufactured goods and services.


Speaking at an India-China Business Seminar in Chengdu, capital of province of Sichuan in southwestern China, Jaishankar said the bilateral trade between the two countries was set to reach $60 billion in 2010. The two countries have long surpassed the target of $40 billion.

"Indian companies must appreciate that they will also have to localize. It is only then that they can address the demand of being readily available and overcome pre-established vendor loyalties," Jaishankar said while speaking at an India-China Business Seminar in Chengdu in western province of Sichuan on Tuesday.