NEW DELHI: India has requested China to bring down the import duty on Indian carpets stating that it would be helpful in resolving the trade imbalance between both the countries.
The issue has been raised by Mr Anand Sharma, Commerce and Industry Minister, during a meeting with Governor of Qinghai Province of China, Luo Huining in India's national capital.
Mr Sharma, said, “High Duty on these carpets make them expensive for the rising consumer class of your country and does not help the local industry very much.Of the total export of Handmade Carpets amounting to USD 653.86 million only USD 4.83 million are exported to China which is way below the potential that the two big and growing economies have.”
Indian handmade carpet Industry is hugely popular in the global market as it is ranked number one and it enjoys marketshare of almost 35% of the net world import of Handmade Carpets. Carpet City, Xining in Qinghai Province is considered as the major centre from the point of view of Indian Handmade Carpet Industry.
The exhibitors from India displaying their products in exhibitions in China needs to be permitted duty free with restricted value.
With the aim to have effective disbursement of handmade carpets into China, a bonded warehouse unit should be offered in Xining, said Mr Sharma. It will be helping the importers meet the demands in the domestic market.