Beijing, Sep 22 (ANI): Chinese companies say that concerns regarding security and suspicion continue to hamper their business ties in India.
According to China Daily, Huawei India, which is a major supplier of telecommunications equipment and operates in the country its largest overseas research and development center outside China, is sitting on an investment outlay of over 2 billion dollars.
Sameer Rawal, director of strategy and marketing at Huawei India said that while India wants to encourage manufacturing with foreign help, Huawei is still struggling to obtain a manufacturing license in India.
Meanwhile, Pan Song, managing director of private equity at Fosun Group said that India is a great market and under the leadership of the new Prime Minister Narendra Modi, the country is now seen as a market with better prospects for foreign investments.
Song praised Modi for his success in attracting Chinese investments in his home state Gujarat, where several Chinese companies have invested, adding that investors also expect more investment-friendly policies opening up more sectors for foreign direct investment.
Joe Thomas Karackattu, an assistant professor at the China Studies Centre, part of the Indian Institute of Technology in Chennai lists two obstacles to expanding business activities between India and China.
He says that protectionism in China for Indian investors; and, for Chinese investors, barriers to investment in India caused by security concerns and allegations of ‘dumping’, acts as major hindrances for companies keen to establish trade ties in both the Asian countries. (ANI)