India-China Trade can Touch $100 bn due to Iron Ore Trade & Mining'.

MIRAMAR: Creating a favourable macro-environment in the area of iron ore trade and co-operation in the field of mining exploration can help achieve the ambitious India-China trade target of $100 billion by 2015, a top Chinese diplomat said here on Thursday.

Speaking at a Conference on International Iron Ore & Steel Making Raw Materials at a resort near Panaji, Economic and Commercial Counselor of the Embassy of China Peng Gang said the target set during Premier Wen Jiabao's New Delhi visit last year was a challenge against the backdrop of the ongoing global financial crisis.

"Our two sides should continue to deepen mutual trust, strengthen communication, promote mutually beneficial cooperation, properly handle differences so as to enhance the development of China-India Strategic Cooperative Partnership...," the diplomat said.

Peng also called for preferential foreign direct investment (FDI) policies and creating a better investment opportunity had helped China in its long 30 year phase of opening up and reform.

"We would like to encourage more Chinese competent enterprises to establish more joint ventures in iron ore and steel-making sector with their Indian peers to increase the capability of iron processing and steel production of India," he said.

Peng said the $1 trillion thrust in India's 12th Five Year Plan on infrastructure development would also open up new opportunities for development of mines in India. He said it was "important to keep a transparent and stable policy system of mining, trading and export".

"The companies of both countries might strengthen cooperate and investment with each other in mining supporting transport, logistics, ports construction and improvement with a purpose of creating favourable infrastructure conditions of mining development and trade between the two countries," he said.

He said that both sides might also try to establish long-term iron ore trade agreement with a new pricing system.

Peng also advocated green innovative technologies to produce green and clean steel and other products.

The international conference comes against the backdrop of uncertainty in the mining sector as well as a potential ban on iron ore exports from Goa.

Source : economictimes.indiatimes.com