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Chinese show appetite for Indian cotton and yarn
21
Apr '10
The bilateral trade between India and China has increased manifold in recent years. But imports from China mainly constitute finished good products, while exports from India to China are mostly raw materials, like raw cotton and yarn, when considering shipments from the textile value-chain.

Experts are of the opinion that China has a big manufacturing setup, which along with being quality conscious is also extremely cost-competitive in production of finished goods, which gives it the edge in the global markets, vis-à-vis countries like India and other Asian countries.

According to them, Indian cotton and cotton yarn is of world-class quality, the reason for which, the Chinese prefer to import these from India. They add by saying that if we decide not to export these materials, the focus of the Chinese textile importers could shift to other countries, with similar capabilities.

Speaking to Fibre2fashion Mr DK Nair, Secretary General of Confederation of Indian Textile Industry (CITI) said that, China is a very competitive country in manufacturing of apparels and does not need to import the same, while it is hungry for the raw materials required to feed the sector”.

The bilateral trade value between the two countries is growing at a very fast pace and diplomatic relation notwithstanding, bilateral trade between India and China is growing by more than 50 percent year-on-year and is slated to cross the $100-billion mark in three years.

Fibre2fashion News Desk - China

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