Cotton, raw materials help India emerge as top supplier for China

27 Sep '05

2 min read

While China churns out textiles, apparels and clothing to dress up the world, it is India's turn to help it achieve that goal.

India has topped as major provider of cotton, raw material like ore, slag and polymers.

Brazil and Australia have been left way behind as India emerges as top supplier of these products to China.

Imagine the case of plastics and polymers exports that shot up 224 per cent in five years!

Exports in this sector have crossed $4 billion mark.

Statistics reveal that Chinese imports have grown by about 50 percent a year during 1999 and 2004, Indian exports to China has zoomed up by over 75 per cent annually in the same period.

Indian exports of plastics and polymers to China touched 224 percent annually, up from $7.7 million in 1999 to $262.1 million in 2002. By 2004, they touched $408.1 million in value terms. Thus, China has pushed the US to second spot to emerge as the largest market for Indian plastic products.

China is already enjoying its predominance in the cotton textiles front, worldwide.

With huge domestic for cotton, China's imports of Indian registered 89 percent year-on-year growth in 2004, returning second only to the US in terms of fastest growth, that takes the number one slot as cotton supplier to China.

Chinese textile manufacturers have been gearing up to supply to the EU and the US markets and thus require buying Indian raw cotton as well which sharp rise in its demand.

Beside, organic chemicals, inorganic chemicals, aluminum, and pharma products have also registered sharp demand from China and within a few years analysts say Indian exports could easily cross the US $100 billion mark.

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