- Between India, China between April 2019 to February 2020, turnover of 5.50 lakh crore rupees, bought goods worth 4.40 lakh crores from China
- According to think tank Gatewayhouse, Chinese companies have a stake in 18 of the 30 startups included in the Unicorn Club
- According to the FICCI report, 45% of electronic items and 27% of auto parts also come from China.
Jun 11, 2020, 07:47 AM IST
new Delhi. Confrontation between Coronavirus and then Indo-China forces on the Ladakh border. Due to both these reasons, the opposition of China has started once again in the country. Hashtags such as #boycottchineseproduct are constantly trending on social media, but statistics show that between April 2019 to February 2020, India-China turnover of 5 lakh 50 thousand crore rupees.
Out of this, India sold only 1.09 lakh crore goods to China, but bought four times the goods worth 4.40 lakh crore rupees from China. China is our second largest trading country after America. These figures are from the Ministry of Commerce and Industry.
1] More than 65% of the raw material for essential medicines comes from China
On 9 July last year, Chemical Minister DV Sadanand Gowda had told the Lok Sabha that India is dependent on China for the raw materials used to make essential medicines. According to his reply, from 2016-17 to 2018-19, 65% of the raw material for medicines purchased by India from other countries came from China.
In 2018-19, India had purchased raw materials worth a total of $ 3.56 billion i.e. 26 thousand 700 crores. Out of this, goods worth $ 2.40 billion i.e. 18 thousand crores came from China.
2] China invested about 13 thousand crores in 6 years
According to data from the Department for Promotion of Industry and Internal Trade under the Ministry of Commerce, Singapore has the highest investment through FDI in India. Singapore has invested more than Rs 2.94 lakh crore in the last three years.
Whereas, China is at number 18 among the most investing countries in India. China invested 1 thousand 157 crores in 2019-20. At the same time, investment of Rs 12 thousand 916 crore came from China in 6 years between 2014-15 and 2019-20.
3] Chinese companies' stake in startups as well
Although FDI in China may be low, many of the companies there have a stake in India's startups. According to a report by think tank Gateway House, 18 of India's 30 startups included in the Unicorn Club have invested in China. They are included in the Unicorn Club, which has a net worth of over $ 1 billion.
There are three reasons for Chinese companies to invest in Indian startups. First- No major companies or groups in the country invest in startups. Second- When a startup goes into a loss, Chinese companies buy a stake in it and support it. Third- Big market of India.
According to Gateway House, China's largest e-commerce company Alibaba, TicketTock-built ByteDance and tech company Tencent fund 92 startups in India. These include startups such as Paytm, Flipkart, Biju, Ola and Oyo.
4] 4 of China's top-5 smartphone brands in the country
According to the report of research firm Counterpoint, Chinese companies account for more than 70% of the Indian smartphone market in the first quarter of 2020 i.e. January to March. India's smartphone market is about 2 lakh crore rupees.
4 of the country's top-5 smartphone brands are from China. Xiaomi has the highest 30% market share. At number two is Vivo with 17% market share. Samsung is the only South Korean company in the top-5. Samsung's market share is 16% in India.
5] Chinese apps not only smartphones but also app market share
In the Indian market, not only Chinese companies' smartphones, but also Chinese apps are quite popular. According to an estimate, only Chinese apps account for 40% of the Indian app market. Chinese companies launch cheap smartphones in India and Indians like it. According to market research firm TechArc, as of December 2019, more than 500 million people in India were using smartphones.
More smartphone and more apps are also downloaded. Tiktok, which has been raising demand for ban many times, is run by more than 12 crore Indians. The CamScanner app also has over 100 million users in India.
6] Chinese goods in clothes, TV also
There are many examples of our dependency on China. In the same year, a report of the Federation of Indian Chambers of Commerce and Industry came out, according to which 27% of the auto parts used in our vehicles come from China.
45% of electronic items come from China. However, 70% of the components used to make TVs, refrigerators, washing machines and ACs also come from China. Not only this, we also buy about three and a half crore rupees of synthetic yarn in the country every year, synthetic cloth worth 2.5 crores rupees and small items like buttons, zippers, hangers and needles worth about one thousand crores rupees from China.