Sino Steel to invest in Bengal unit

Kolkata: China-based Sino Steel had shown interest in investing in West Bengal, and another Chinese company had evinced interest in a joint venture project for heavy vehicle manufacturing unit in the state, said Zhang Yan, ambassador of the people's republic of China in India at an interactive session organised by the Bharat Chamber of Commerce, in Kolkata on Tuesday.

“Sino Steel have big plans for setting up a plant in West Bengal, which they are discussing with the state government. They will manufacture rollers used in the steel sector here,” said Mao Siwei, Consul General of China in Kolkata.

Speaking on the occassion, Yan said, visa-related problems for Chinese entrepreneurs in India was stalling the trade prospects.

“At present, there are certain difficulties for Chinese entrepreneurs applying for working visas in India. Mutual investment has been affected as a result,” he said.

In spite of this, Chinese companies were eager to invest in India, he added.

“While the China-India bilateral trade volume is growing rapidly, the trade surplus in favour of China is growing in the recent years. Its causes are complicated and multi-faceted, but it is chiefly due to the difference in industry structure and market needs of both the countries,” he said.

Attracting foreign investment was a critical measure in raising domestic productivity and strengthening export in China, he said.

Bilateral trade between India and China, which has been increasing annually on an average 30 per cent, reached $38.7 billion in 2007, up by 55 per cent over the last year.

IT, computer software, finance and insurance were some of the areas where India could invest in China, whereas manufacturing sector, infrastructure, tourism and transportation were sectors where China could invest in India, he said.