A joint study group set up by India and China has given a wide-range recommendation to remove the irritants and to facilitate bilateral trade, India's Commerce Secretary S N Menon said Wednesday.

Addressing a seminar on 'Diversification of Indian Exports to China' organized jointly by the Federation of Indian Chambers of Commerce and Industry (FICCI) and the Ministry of Commerce and Industry, Menon urged Indian trade and industry to give feedback on hurdles encountered while promoting trade with China.

"In order to achieve higher volume and diversify the trade basket, it is imperative to conduct a market research on price patterns, tariffs and sources of imported products by China; set up branches or representative offices in China to showcase Indian products; and liaise with the Chinese provincial and central governments," Menon said.

The commerce secretary also held out a six-point prescription for making access to the Chinese market through a well-design Action Plan, aiming at diversifying the export basket from primary products to manufactured items and processed products.

"There is a need for shifting the focus from the export of primary products to high value added goods," Menon observed.

According to a research carried out by FICCI, 81 percent of Indian companies perceive China as an important market.

Divulging further the key highlights of the study, FICCI senior vice president Saroj K Poddar said that, according to the survey, 53 percent of companies (covered under the survey and who export goods to China) regarded that exports were confined to a few selected commodities.

The FICCI survey found that 75 percent of the companies being surveyed were keen to enter the market, and regarded China as a potential window for third country exports.

Source: Xinhua