The Hindu Business Line : Steep growth in Chinese imports: Study

Top items of import from China witnessed a phenomenally higher growth rate than the growth of total imports by India in the last six years, according to a Federation of Indian Chambers of Commerce and Industry (FICCI) study.

The study ‘Rising Chinese Imports to India’ observed that imports of air-conditioners from China have grown by 120 per cent on an average since 2001-02 whereas India’s total import of air-conditioners from the world grew by just 39 per cent per annum.

Also, imports of transmission apparatus from China has witnessed a 174 per cent per annum growth over the last six years whereas our total imports from the world grew by less than half of that at 74 per cent. Imports of knitting machines from China grew by 143 per cent whereas our total import of knitting machines from the world grew by 49 per cent, it said.

Goods imported from China have made deep inroads into our industrial sector as well. Chinese industrial goods imports that constituted only 1.8 per cent of India’s industrial GDP in 2001-02 constituted over 10 per cent of our industrial GDP in 2006-07. In 2006-07, industrial GDP of India was $167 billion and Chinese industrial goods imports were $17.3 billion.

The FICCI study further observed that apart from the high average growth rate the share of China has also increased significantly in our imports in the last six years. China occupies a large share (more than 50 per cent) in our imports of certain other commodities like electrical components, auto components, anti-biotics, tubes and pipes.

India’s imports from China have increased by over eight and a half times since 2001-02 whereas India’s imports from the world increased only by three and a half times between 2001-07, the FICCI said.