Stressing that both India and China need to deepen and diversify economic partnership, Commerce and Industry Minister Anand Sharma said that both the countries have decided to set up a Joint Working Group soon to address all trade related issues.
“We both have agreed to establish the Joint Working Group which will address all trade-related issues, but also go beyond that. The mandate will include trade and investments,” Sharma said while briefing newsmen at the conclusion of the ninth session of India-China Joint Economic Group here on Monday.
While Sharma led the Indian delegation, the Chinese side was led by Commerce Minister Chen Deming.
The group will submit its recommendations in the next three months, Sharma said.
Among other things, the group will also look into issues of trade data reconciliation and evaluate the methodology for such data collection.
The two Asian economic giants also agreed to work on a five-year plan on economic cooperation. “This has been proposed by Minister Chen Deming, and we have welcomed and endorsed that,” Sharma added.
On his part, Deming raised the contentious issue of levy of 21% import duty on Chinese power equipment, a move seen to protect domestic power equipment majors such as BHEL and L&T.
To strengthen trade and economic ties further, Sharma invited the Chinese government to participate and support in the establishment of one or more of the National Investment and Manufacturing Zones that are being set up under the National Manufacturing Policy.
The two sides have targeted trade flows of $100 billion by 2015 from $75.5 billion now.