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Don't discriminate against our companies: China to India
11/19/2006 11:08:09 PM



NEW DELHI, NOV 19

Ahead of the visit of President Hu Jintao here beginning tomorrow, China has asked India not to "discriminate" against its companies citing security concerns and advocated the need for mutual dismantling of trade barriers to enable bilateral business to grow faster.

Beijing also has complaints with regard to the visa system in India and wants changes to allow business between the two countries to grow.

"We want there should not be discrimation to Chinese companies," Chinese Ambassador Sun Yuxi told PTI in an interview ahead of Hu's maiden visit here aimed at boosting bilateral ties.

"We understand that every country has security concerns but if you allow other foreign countries in any area, Chinese companies should be treated equally because we are friends and partners," he said.

Sun had earlier complained that Chinese companies are barred from investing here. India has identified various sectors where investments from certain countries, including China is being discouraged because of security concerns.

During Hu's four-day visit, the two countries will sign the Bilateral Investment Promotion and Protection Act (BIPA) and 11 other accords in diverse fields to give a major push to their relations.

The border dispute issue is also expected to come up when Hu holds talks with Prime Minister Manmohan Singh on Tuesday.

Expressing happiness over development of overall economic relations between the two countries, the Chinese envoy said "there is always something which is not perfect. We have to keep improving."

Sun noted that there are already 30 Chinese projects underway in India, accounting for the largest number of the country's projects anywhere in the world.

The Chinese projects are underway here mainly in infrastructure sector like road-building, communication and power stations.

Sun asked India to recognise China as a market economy and favoured removal of trade barriers between the two countries.

"We need to make efforts to remove (trade) restrictions," he said.

Citing the case of border trade opened through Nathula Pass in Sikkim earlier this year, Sun said commerce there was taking place in limited items and the list needs to be expanded.

"There should be freer trade. It will be mutually beneficial," he said.

He said a ban may be put on illegal items but with regard to rest of the items, people of the two countries should be allowed to do trade freely. (MORE)
On visa issue, the Chinese envoy said the system in India is slow and that travel documents are given to senior managers of Chinese companies for only three months at a time.

"They (senior managers) have to keep going back to renew their visas and it is not sure how long it will take to get the visa," he said and suggested that the visas should be renewable, according to the work needs of the applicant.

Sun expressed happiness over the recent Indian decision to relax system for visa issuance. "We hope the situation can continue to improve."

India announced last month, a simplified visa process for Chinese professionals and businessmen to come to India.

The modified guidelines will ensure easier movement of "genuine" Chinese businesspersons, professionals, students and their dependents in India.

The guidelines for grant of visa to Chinese nationals and extension of their stay in India have been modified to cut the delay in processing of applications for Indian visa.

The modified guidelines issued by the government aims to further streamline the visa procedures for obviating the delay in processing of applications for granting or extending Indian visa to Chinese nationals.

It would now take roughly two weeks for grant of visa against three months earlier.


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