India might cut tariff concessions on Chinese products

India is looking forward to go for a new approach so it can cut tariff concessions at 16-country trade block and hence can stop China from flooding the Indian market with cheap stuffs. The government is considering all the ways by which it has to give minimum tariff concessions to the Chinese goods.

India is going to treat Chinese products differently in the Regional Comprehensive Economic Partnership (RCEP) trade negotiations due to increasing trade deficit it has with Beijing. India hopes this longer phasing out of tariff concessions and differential treatment, called "deviations", will become the basis for RCEP negotiations.

"We can look at longer staging periods for China by delaying the concessions by some years or not offer key products for tariff cuts to them at all," an official told ET.

In 2015-16, India's exports to China were $9 billion while the imports were a staggering $61.7 billion leaving a trade deficit of $52.7 billion.

Though, India is ready for a common concession but is insisting on a single undertaking for the RCEP which means nothing is agreed until everything is agreed.

"With single undertaking, we can be sure other members will not lose interest in India's demands once we accept their demands for tariff concessions on goods," the official said.