Two of the largest and fastest growing economies in Asia, India and China are as fierce rivals as they are close trade partners. The political strife, ideological differences and strategic obstacles that these countries have, rarely come in the way of billions of dollars of trade each year. India is the send largest telecom market in the world after China with a user base of over 1.2 billion. To support such a huge telecom sector, India imports around $20 billion worth of telecom equipment from China each year.
To strengthen business development, improve the people-to-people connect and trade flows, the two countries signed a Memorandum of Understanding (MoU). The first ever India International Electronics and Smart Appliances Exhibition were held in Delhi a few days back. It allowed numerous big as well as small players from the Indian and Chinese sides to participate in the exhibition and showcase their products and services.
The motive of the exhibition was to plan out the path for the Make in India Vision 2025. The current Indian government is eager to encourage the technology companies to make in India as it helps in numerous ways such as creating jobs and bringing the prices of the electronics down for the end consumer. The government has made provisions for tax benefits for products that acquire most of the products from Indian manufacturers. As a result, many renowned companies from China and other companies have put up their manufacturing plants in India. Those companies that couldn’t put up plants collaborated with the local manufacturers in various parts of India.
Developments are not just happening in the manufacturing, research and development centres have also seen a huge rise in India recently. Numerous tech giants such as OnePlus, Xiaomi and Nissan have set up their R&D centres in India and invested huge amounts. This is because they find a huge pool of talents in India at affordable rates as compared to their country of origin or somewhere else.
The IEAE held in Delhi had mainly three categories:
- Consumer Electronics & Sound
- Home Appliances & Light
- Home Systems
Companies from China feel India as their second home due to the immense business opportunity they have here. Another reason is their ease of doing business in the country. Being a neighbouring country, the transportation is comparatively easy too. All these factors together make a good platform for the development of the Indian technology sector be it commercial technology or domestic use technology.