In just 2018, India imported US$507.6 billion worth of goods from around the globe. It has gone up by 10.5% since 2014 and up by 14.3% from 2017 to 2018. 60.3% of India’s total imports by value in 2018 were purchased from fellow Asian countries. China’s share in India’s import has always been high, Indian shipments to China totaled USD 13.33 billion in 2017-18 (April-March), whereas the country’s imports from China stood at USD 76.38 billion in the period. Total imports from China annually are more than 354 INR Billion.
The 9 major commodities exported from China to India were:
1.Electronic equipment: Smartphones
Smartphones are a class of mobile phones, they are different from other phones, as they are more powerful and have stronger hardware capabilities and multimedia functionality including music, video, cameras, and gaming, alongside core phone functions such as voice calls and text messaging.
2.Machines, engines, pumps
One of the most imported goods from China to India are machinery, India’s Machinery market is full of Chinese products, most of the machinery is imported from China, the demand for these machines, like engines and pumps is very high, and it is showing no sign of slowing down.
3.Organic chemicals
Ancient India was famous for its advancement in organic chemistry and the use of herbal science. However, at present, the country depends on imported bio-chemicals. This also increases the cost of agricultural expenditure and thus affects the price of essential food items, the organic chemicals are mostly imported from China.
4.Fertilizers
The country consumes over 55 million tons of fertilizers every year, of which 72 percent is domestically produced while the rest is imported, India Ratings and Research (Ind-Ra) said in a report. Of the 15.5 million tons of fertilizers imported, urea, DAP, and MOP constituted 6 million tons (39 percent), 4.3 million tons (28 percent) and 4.7 million tons (31 percent), respectively.
5.Iron and steel
Though India has a huge amount of iron ore available in the country, we still import iron and steel from other countries, and China is one of the top countries from which iron and steel are imported, the import rate of iron and steel and such metal products have reduced drastically in past few years.
6.Plastics
Plastic is one of the most important materials, which is used commonly in the country, plastic is the sixth most imported material in the country. India has since banned imports of waste plastic a year after China, the world’s biggest importer of scrap plastic implemented a similar ban on western imports. The move is to reportedly close the gap between waste generation and recycling capacity. India generates 26,000 tons of plastic waste every. Though plastic waste has been banned, the import of plastic from china still occurs in the country.
7. Gems, precious metals
The Gems and Jewellery sector plays a significant role in the Indian economy, contributing around 7 percent of the country’s GDP and 15 percent to India’s total merchandise exports. Though India is one of the largest exporters of gems and diamonds in the world, it also Imports a lot of gold from other countries, and China is one of them.
8. Ships, boats
Most ships in the world are built in China, South Korea or Japan, so India like all other countries buys from those yards, especially China. India also has a shipbuilding industry but not so well developed like China Imports of Ships, Boats & Floating Structures in India decreased to 1540.65 USD Million in 2018 from 4792.75 USD Million in 2017. Imports of Ships, Boats & Floating Structures in India averaged 2365.86 USD Million from 1996 until 2018, reaching an all-time high of 7225.58 USD Million in 2012 and a record low of 219.08 USD Million in 1998.
9. Medical, technical equipment
India imports nearly 80% of its medical devices and barriers to entry are low compared to other industries. India remains highly dependent on imports for many types of medical devices, particularly higher-end products that include cancer diagnostics, medical imaging, ultrasonic scans, and PCR technologies.
1) What will happen if India stop import from china
If India stops buying Chinese goods, China would hurt more because it has a trade surplus with us.If India stopped importing goods from abroad in general and produced everything domestically, it would have a strong economy.
2) What are the major imports of China
• Electrical machinery, equipment: US$521.5 billion (24.4% of total imports)
• Mineral fuels including oil: $347.8 billion (16.3%)
• Machinery including computers: $202.3 billion (9.5%)
• Ores, slag, ash: $135.9 billion (6.4%)
• Optical, technical, medical apparatus: $102.5 billion (4.8%)
