China to boost ties with India

Source: CCTV.com | 11-21-2006 14:51

Sino-Indian relations have seen steady progress in the last twenty years. High-level exchanges, as well as a surge in trade and economic ties, have pushed political disputes onto the back seat.

4,300 meters above sea level, this rocky road leads to the Nathu La pass, a part of the ancient Silk Road.

Re-opened on July 6th this year, the trading point is the third along the border where businessmen from China and India mix amid unarmed soldiers.

Before it was closed in 1962, Nathu La pass accounted for almost 80 percent of the entire Sino-India trade.

But today, out of an annual trade volume of nearly 20 billion US dollars, border exchanges account for a mere 100 million.

Zhang Lijun, assoc. research fellow of China Inst. of Int’l Studies, said: "It's not only border exchanges. Sino-Indian trade in general is at a primary stage. It has been growing at a speed of 45 percent from 2000 till now. So there is a great potential lies ahead for President Hu Jintao's visit."

President Hu Jintao's first visit to India since taking office is expected to bring Sino-Indian trade cooperation to a whole new level.

And other high-level exchanges between the two sides have greatly boosted bilateral relations.

Here in the northeastern outpost, Colonel Li Mingan and Commander Brigadier Sanjay Kulkarni are enjoying a privilege that few other soldiers have a care-free walk along the Sino-India border.

But deep in their hearts, both men know that this colorful pass is built not only the icy mountain top, but also ceaseless diplomatic efforts.

Since Indian Prime Minister Rajiv Gandhi's visit in 1988, border disputes and and economic relations have sat atop the state leaders' agendas.

Handshakes, press conferences and sincere wishes all have witnessed China and India's determination and efforts to forge closer ties.

But even the strongest diplomatic will cannot solve everything overnight.

A recent report from the Indian Security Council says all Chinese FDIs should be closely watched.

As a result, two companies, Kaidi Electric Power Company and China Harbour Engineering Company, have come under New Delhi's scrutiny.

Zhang Lijun said: "India is still worried that China's presence in South Asia may challenge its dominance in this area. Thus, from a strategic point of view, China has to actively yet patiently reach out to India."

The year 2006 is the year of friendship between China and India.

Analysts say if the two countries come together, a lot of potential can be realized, both economically and politically.

Editor:Wang Ping