YIWU, CHINA, July 8: India has emerged as the top importer from Yiwu despite unsavoury incidents and stiff advisories by New Delhi cautioning its traders about the pitfalls in doing business with the leading Chinese commodity trade hub.
“Last year the official exports from here to India touched close to half a billion US dollars and this year promises to be a good year with sharp increase in trade volumes,” Chinese officials here said.
“India tops both in business volumes and the visits by businessmen,” Li Zhi Qiang, Vice Director fo the Foreign and Overseas Chinese Affairs Office of Yiwu Municipal People’s Government told reporters.
The trade between Yiwu and India last year was estimated to be about USD two billion as almost all the top construction firms in India procure the fittings from China, mainly Yiwu.
About 13,000 foreign businessmen stay in Yiwu and over 40,000 Indian businessmen visited the city last year to buy numerous commodities, mainly household fittings, artificial jewelry, fancy goods, showcase items, Li said.
“The reason appears to be simple. The items were procured at a fraction of cost due to heavy volumes manufactured and sold here and the profits turned out to be biggest lure for traders from all over the world.”
At present about few hundred Indian businessmen reside in Yiwu holding resident visas despite two strong advisories put out by Indian Embassy in Beijing warning Indian traders about the pitfalls in doing business here due to two recent kidnapping incidents.
“Individual trade rows should not come in way of good trade and political relations between India and China,” Dr Tao Tao, Vice Mayor said asserting that barring few disputes, trade in Yiwu is smooth and thriving.
Indian businessmen Shyam Sunder Agrawal and Deepak Raheja, who were accused of defaulting on payments are still stranded in Shangahi after their release from illegal detention in December last year at the intervention of Indian mission. (PTI)
Follow our WhatsApp channel