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Liaison office of CIBC inaugurated in China

Press Trust of India  |  Changsha (China) 

The liaison office of the first official business body set up by to step up its investments in was inaugurated here today amid concerted efforts by both countries to boost their trade ties.

The liaison office of and Business Council, (CIBC) was launched here in the capital of Hunan province, the birthplace of Mao Zedong, founder of ruling CommunistParty of (CPC) at a ceremony attended among others by top officials of both the countries.

Though set up in 1985 by China, the CIBC remained inactive. Setting up of a liaison office in Hunan province in coordination with IndianConsulate in Guangzhou will make it active, officials said.

The revival of the CIBC is backed by Council for the Promotion of International Trade (CCPIT),country's official body which coordinates Chinese investments and businesses abroad. It was seen as significant step by to boost its investments in

The ceremony was attended by Deputy Ambassador of Amit Narang, the Consul General of the in Guangzhou YK Sailas Thangal as well as Vice Chairman of the National CCPIT, Lu Pengqi and Chairman of the CCPIT, Hunan province, He Jian.

A Chinese official said the office eventually would coordinate investments from all over and will also open its offices in

Hunan has strong trade ties with with some of its top companies like Zoomlion, a Chinese manufacturer of construction machinery and sanitation equipment andSany heavy machinery manufacturing company which have already made investments in

Chinese officials said, China's investments in amounted to USD 4.07 billon till last year though Indian officials say it is less than USD 2 billion.

But more Chinese firms evinced interest to invest in For its part Indian government in coordination with the various state governments is also conducting campaigns to attract Chinese investments.

The bilateral trade last year amounted to USD 71.62 billion with over USD 53 billion trade deficit in favour of In view of the growing trade deficit, has been asking to promote investments.

(Reopens FGN 12)

Outlining "enormous" investment opportunities for Chinese companies in India, which has emerged as the fastest growing economic of the world, Thangal said has attracted FDI more than US and

India's massive expansion of road, rail and other infrastructure projects have offered a lot of scope for investments for which is currently investing its huge foreign exchange reserves abroad.

"From modernisation of agriculture, food processing, which were poised for a USD 100 billion expansion by 2020 to high speed railway cooperation, has become the most attractive destination for Chinese investments," he said.

In his address, Narang said is the third largest economy after US and in purchasing power.

is also a very young country with low labour costs providing a "major pivot for cooperation between and China," he said.

Also the Indian government has initiated lot a measures to improve the efficiency of the government and streamlined legal system making it easier to conduct businesses in

He also said China's expansion of investments abroad and opening of its manufacturing for foreign investment provided a land mark opportunity for cooperation.

Wu Meng, Deputy Director General CCPIT International Exchange Department said, his organisation has set up over 177 mechanisms to promote business opportunities for Chinese firms abroad.

"and are big countries with lot of depth of dynamism. CIBC has been set up in 1985 and has been dedicated to provide more opportunities for enterprises from both the countries and provide all round development of business relations," he said.

"Hunan and business cooperation is very close. CCPIT Hunan has done lot of effective work to promote business with CCPIT will provide maximum support to this liaison office," he added.

The meeting was followed by seminar on India-Business and Investment cooperation in which several Indian and Chinese industrialists and officials of the Confederation of Indian Industry, (CII) took part.

First Published: Mon, November 28 2016. 18:28 IST