Deng Xiaoping

June 2013 • ` 100

TO GO FORWARD WE MUST LOOK BACK The farther backward you can look the farther forward you can see, Winston Churchill once famously said. This can't be truer for India- China relations steeped in history.

Two Locomotives Higher Education Deng Xiaoping Chugging Breaking A Daughter’s on Track the Barrier Memoirs www.icec-council.org Deciphering Li Keqiang MoUs On his first overseas trip, the new Premier of People’s Republic of China, Li Keqiang, visited India. Needless to say, choosing India to visit over other countries was a strategic move by China. But Vol 1, Issue 5, June 2013 that apart, in his very first visit, the Premier was able to strike an emotional chord FILM with India. Besides signing eight MoUs in several fields- which was encouraging to Editor-in-ChiEf India businesses and corporate houses- he boldly touched upon contentious issues Mohammed Saqib in his public speech. Editor CHINESE FESTIVAL 2013 None of these MoUs were path-breaking. However, they did indicate China’s Prashun Bhaumik political will to increase cooperation at various levels. If MoUs are implemented in ExECutivE Editor true spirit, some efforts will help narrow India-China trade deficit. As per March Urmila Rao 2012 data, India’s trade deficit to China stood $ 40 billion. Editorial Board Li not only talked about trade deficiency but also showed interest in opening Chief Guest Abid Hussain up of markets. A positive sign was an agreement on the trade in buffalo meat, Mani Shankar Aiyar P.S. Deodhar fishery products and feed ingredients aimed at strengthening of minimum safety Shri Manish Tewari Dilip Cherian and hygiene requirements. India currently exports buffalo meat to the tune of $3.2 Hon’ble Minister of State (Independent charge), Amir Ullah Khan billion to more than 65 countries. But China is not a major market yet. Most of Chen Si (China) Venue: Sirifort Auditorium Ministry of Information and Broadcasting, the Indian buffalo meat instead lands up in China getting smuggled via Vietnam. Govt. of India* Editorial tEam It is hoped that the agreement will open direct export of buffalo meat from India Anchit Goel to China. If that happens it will help India narrow its trade deficit with China Date and Timings: Irfan Alam Manju Hara as the market will see more number of players who will be engaged in healthy June 18 – Inauguration at 6:00 pm Guest of Honor Sumelika Bhattacharyya competition. One of the most important and new aspect in the MoU was sharing (Auditorium 1) Shawahiq Siddiqui of technology in the field of agriculture. In diplomatic circles, discussions on Dushyanth Damodaran agriculture have almost always stood neglected. But a renewed attention on the June 19 to 23 – 4:00 to 6:00 pm; Mr. Cai Fuchao Hon'ble Minister of State Administration of Press, dEsign aspect of agriculture and technology transfer is heartening. Improved technology Manoj Raikwar will benefit Indian farmers who still largely use traditional methods of irrigation. 7:00 to 9:00 pm (Auditorium III) Publication, Radio, Film and Television, ownEd, PrintEd and PuBlishEd By Li addressed the contentious issue related to Brahmaputra river dam projects Govt. of China Mohammed Saqib as well. A MoU signed by Ministry of Water Resources from both the countries Entry Free Registered with the Registrar of Newspapers will, hopefully bring much needed transparency on the water diversion issue. of India under RNI No: DELENG/2011/43423 India can now be aware of the flow of water as China opens up to providing India Special Guest: Mr. Jackie Chan with information on water level, discharge and rainfall. This form of transparency Renowned Chinese Actor PuBlishEd from A-82, Zakir Bagh, New Delhi - 110025 is warranted. A Joint Working Group to coordinate translation and publication of 25 books addrEss for all CorrEsPondEnCE of classic and contemporary works from either side in each other’s language is an To get your passes, please contact at: [email protected] or call @011-46550348, India China Chronicle encouraging move that will give a boost to Sino-India cultural relationship. ICEC B-59 (GF), South Extension - II, has been committed towards improving cultural relationship for long; by way of New Delhi - 110049 For Sponsorship opportunities, please contact Rahul @ 9999396960 Telefax: 011-46550348 organizing Chinese Spring festivals and recently, a Chinese movie week. The MoU on the concept of twin city is good and should be given more shape. PrintEd at The establishment of three Working groups - trade promotion, economic and Anne Print Solutions trade planning cooperation, and trade statistical analysis- hopefully will do a good Organized By B-32, Okhla Industrial Area, Phase-I, New Delhi-110020 job of providing best of services in these fields. Tel. 011-40525878, 011-65690940 Li has tried to connect with India at all levels; people, government, civil society Email: [email protected] and military. However, there is no clarity on processes yet, for average Indian medium and small scale entrepreneurs who want to do business in China. Currently, All Rights Reserved. Reproduction in whole or in part without written the processes are opaque and are mired in bureaucratic hassles. There is a maze of permission is prohibited. clearances required with regard to licenses and certifications and no clarity as to State Administration of Press, Publication, Ministry of Information & Broadcasting which office/s or department/s is responsible for giving the necessary approvals. Radio, Film and Television Govt. of India All advertising enquiries, comments Sometimes, obtaining licenses take several weeks or months, even years. and feedback are welcome at For instance, if an Indian buffalo meat exporter tries to make his legal presence [email protected] in Chinese market, there are no proper procedural guidelines. Our experience speaking with some of the potential exporters have shown that they had to run In partnership with The information contained in this pillar to post to get the necessary clearances. In frustration, some exporters have magazine has been reviewed for accuracy and is deemed reliable but simply given up on the idea. is not necessarily complete or There should be an Indo-China cooperation Committee or Forum, which India China Economic and guaranteed by the Editor. The views should monitor the progress of work on these eight MoUs. Besides, the Cooperation Cultural Council expressed in this digest are solely that Committee should also facilitate speedy approvals of licenses. This would in the of the writers and do not necessarily reflect the views of the magazine. strategic interest of both the countries. CONTENTS

4 Feedback piLgrimAge Wuxi New District. Present across 26 Go chugging on 100 locations already, Raghavan hopes to expand NIIT’s presence 6 Brief News Buddha’s footsteps in China on a much bigger scale. Today, Buddhism is associated He shares with Urmila Rao, NIIT’s Two LocomoTives of AsiA more with countries such as Japan, business strategy, his vision for 8 Chugging on Track China and Tibet, but the thrill of further expansion and the mantra. following the Buddhist trail through The two great locomotives of Asia the land of its origin, remains an BeYond The greAT wALL must work together to propel the unforgettable experience. global train through its current 54 Steamy Stuff travails and thereby fulfill the Deng- poLicY Rajiv dream to create an Asian century that can reinvigorate the 30 Panchsheel Power entire world. Together, leaders of India and China can construct a Panchsheel for a new Lower growTh pLAnned time. 12 China brakes excLusive: down memorY China’s tilt toward consumption-led with ICEC, Mr. Naidu shared his LAne: deng xiAoping growth is good news for India and aim to encourage Chinese business the global economy. 41 A Daughter’s Journey enterprises to consider India as an Deng Rong , daughter of Deng province profiLe investment destination. His efforts pArTnership in higher Xiaoping (China’s reformist include promoting Chinese exporters 56 Yo! Yunnan educATion leader who pioneered ‘socialism to invest in manufacturing in India, with Chinese characteristics’ and Yúnnán has some of the most 14 Breaking the working with Chinese universities promoted socialist market economy) magical and diverse scenery in to have India Chairs, encouraging perception barrier pens her father’s experiences in China and is endowed with rich tie-ups in skills development as well India and China must not lose her book, Deng Xiaoping and the deposits of minerals. Yunnan is the as promoting Indian culture and sight of the enormous potential and Cultural Revolution. The book, southwestern-most province in heritage. Mr.Naidu also clarified synergy for partnership in higher first published in China 2000, has China, with the Tropic of Cancer that the Indian Embassy’s trade education. been translated and published in running through it. dispute advisory on its website is not cover sTorY other languages. It is being translated intended to scare Indian companies into Hindi by ICEC. We bring our from doing business with China, but readers excerpts. encourage them to adopt safe trade practices.

heALThcAre 20 Not in Hark! The inTerview Good Health 60 16 It’s time we saw each Healthcare has emerged as one of Events  Chinese Spring Festival 2013 the largest service sectors in India. other through our own  Workshop on doing Business India is committed to injecting huge with China eyes, not the West public funds into health care but  First Abid Hussain Memorial On a recent trip to China, the services are far from adequate. There Golden era India-China Economic and Lecture is thus a large scope for the sector  Launch of ‘Cinasthana Today’ Cultural Council (ICEC) team to attract foreign investment, Born in the same cradle the two ancient civilisations inTer view caught up with K. Nagaraj Naidu, technology and resources. have followed separate courses, which is natural. But Consul General of Guangzhou, 52 NIIT will be all over 62 Exhibitions & it is time to draw upon the common past to build a China. The Indian Consulate emerging mArkeTs China’s hot spots Trade show in Guangzhou has jurisdiction 23 lasting future. over seven of China’s provinces Entry Rules As the head of Career Building In India & In China including Guangdong, Sichuan, In today’s global scenario, there is Solutions of NIIT, G Raghavan, missing pieces Yunnan, Hunan, Fujian, Hainan and a need to understand how to play has been associated with China as 32 Guangxi. In a freewheeling interview the game. a consultant to the Government of 64 It is time

|2| India-China Chronicle . June 2013 June 2013 . India-China Chronicle |3| f e e d b a c k

are a fairly costly enterprise, which wastes a lot of scarce financial resources farmers could benefit from. For example, the funds can be diverted in educating our farmers and making them agriculturally aware of the new practices that are being followed in developed economies. The farmers from these nations are technically far advanced and far more competitive. In India, we need to prepare farmers to the new challenges and make them globally competitive and this won’t be possible if we keep on giving our farmers subsidies. It is no less than a death knell for our farmers in the long run. Satyen Mishra, Gurgaon.

The Billion Questions The article ‘Feeding nutritional food to people. The a populous country’ disturbing part, however, is that (December 2012) provided increasing industrialisation is claiming me with a lot of insight on how arable land. The article was very Subsidies the world’s most populous country informative in providing answers to The author S Mahendra Dev rightly has been rethinking on their use of questions which are now becoming mentions in his article ‘Let it Grow’ agricultural land. It is interesting to important for countries that have huge (December 2012) that subsidies need know how China is now keeping a populations. to be reduced in agriculture. Subsidies check on their land use. Population Akhil Menon, Bangalore. are fiscally unsustainable and encourage can be strength in one sense, but it misuse of resources. In my opinion, can pose problems too. The challenge TVEs Miracle subsidies should be done away with is to feed a billion mouths. It is just The article on the Township Village completely. Administratively subsidies not about feeding but also providing Enterprises by Shawahiq Siddiqui in the December issue made for a good read. It was interesting to learn the structure of TVEs and their role in triggering the rural growth in China. India which currently faces problems of high unemployment, a steady decline in growth rates can definitely learn from the Chinese experience. In the face of distress migration by rural folk to the cities and the increasing inability of cities to cope with this tremendous influx, the model can help bring about rapid and positive changes in rural India. The article explores the link between TVEs and local governments, the legal framework, contributions to the economy and the reasons for success. As the author points out, India can gain some learning from this model and contextualise it for successful implementation in India. Ayaz Siddiqui, Mumbai

|4| India-China Chronicle . June 2013 INFOCUS | INDIA-CHINA | NEWS

India will not be used as tool to terrorism issues, the dialogue included issues related to cyber trillion in 2010 dollar terms - with India a distant security. An Indian delegation led by Additional Secretary second at $1.7 trillion, surpassing the levels of Japan contain China: Indian PM in the Ministry of External Affairs, Navtej Sarna, held talks and the United States in the 2020s,” the World Bank says n a meeting with Prime Minister Manmohan Singh on with his Chinese counterparts. This annual meeting has in a report. Ithe sidelines of the BRICS summit in Durban, China’s become a key platform for the two countries to exchange China will account for 30 percent of global investment new Leader Xi Jinping made a pitch for India and China views related to terrorism that has emerged as a threat to in 2030, with Brazil, India and Russia together accounting to boost military contact and deepen trust. He also called both the countries. Both the countries showed interest in for another 13 percent. In terms of volumes, investment on both sides to “continue to safeguard peace in their trying to coordinate on this issue. in the developing world will reach $15 trillion (in 2010 border areas and prevent the issue from affecting bilateral dollars), versus $10 trillion in high-income economies. relations.” China and India will be the largest investors among Mr Xi said, “China, which regards its ties with India as Fast growth to continue, says Xi developing countries, with the two countries combined one of the most important bilateral relationship, commits representing 38 percent of the global gross investment in itself to pushing forward the two countries' strategic t the Asia Annual Conference 2013, more than 30 2030, and they cooperative partnership.” Mr Singh replied, “India adheres Aforeign and domestic business leaders met at the Boao will account for to an independent foreign policy” and “will not be used as Forum for Asia which is the most prestigious and premier almost half of all a tool to contain China.” forum in Asia for leaders in government, business and global manufac- academia. At the forum China’s President Xi Jinping said turing investment, that China will grow relatively quickly and its market will be the World Bank’s open and fair. “China economy will go upwards instead of Global Develop- New President, old policy China and India to invest big going downwards. China has a bright economic future and ment Horizons will maintain a relatively high speed of growth through its report said. n his first policy statement on India, China’s new in KZN efforts,” Xi said. The country needs to improve the quality “In less than a generation, global saving and invest- Ipresident Xi Jingping said that China wants to improve he BRICS summit in and efficiency of its economy by emphasizing on green and ment will be dominated by the developing world,” says the economic relations and maintain the uneasy pre-2008 TDurban, South Africa low carbon development to achieve economic sustainability. report, released on Thursday. status quo on strategic disputes with India. In this context proved to be beneficial for By 2030, half the global stock of capital, totaling $158 Xi proposed a five-point policy on India that included Dube Trade port as India trillion (in 2010 dollars), will reside in the developing maintaining strategic communication and bilateral relations, and China plans to invest world compared to less than one-third today; with coun- expanding the win-win cooperation in infrastructure, huge amounts and KwaZu- tries in East Asia and Latin America accounting for the mutual investment and other areas, strengthening of lu-Natal (KZN) province of largest shares of this stock, says the report, which explores cultural ties, expansion, coordination and collaboration in South Africa is set to be the patterns of investment, saving and capital flows as they are multilateral affairs and accommodation and proper handling main beneficiary. The Shang- likely to evolve over the next two decades. of problems and differences existing between the two hai Pengxin Group said it plans to invest $300 million in Titled “Capital for the Future: Saving and Investment countries. However, Mr Xi appeared less willing to discuss South Africa and about half of this has been earmarked for in an Interdependent World”, the report projects develop- about complicated issues such as border disputes, trans- KZN as a part of a joint venture with the black economic ing countries’ share in global investment to triple by 2030 boundary rivers and China's ongoing projects in Pakistan- empowerment company BEK holdings. Investment in KZN to three-fifths, from one-fifth in 2000. occupied Kashmir. will unlock opportunities in hotel industry, infrastructure Productivity catch-up, increasing integration into and agro-processing sectors. The Indian conglomerate global markets, sound macroeconomic policies, and Action Group signed an agreement with Dube Trade Port improved education and health are helping speed growth to develop a “mega industrial integrated township” in the and create massive investment opportunities, which, in planned “aerotropolis”. turn, are spurring a shift in global economic weight to developing countries. A further boost is being provided by the youth bulge. India-China counter India, China to be biggest investors By 2020, less than seven years from now, growth in world’s terrorism dialogue working-age population will be exclusively determined by by 2030: World Bank developing countries. in Beijing ndia and China will be the biggest investors by 2030, With developing countries on course to add more he issue of the US pulling out Iaccounting for 38 percent of the global gross invest- than 1.4 billion people to their combined population Tfrom Afghanistan next year ment and almost half of all the world manufacturing between now and 2030, the full benefit of the led to the annual counter terrorism investment, says the World Bank. demographic dividend has yet to be reaped, particularly in dialogue in Beijing between “In the gradual convergence scenario, in 2030, China the relatively younger regions of Sub-Saharan Africa and India and China. Besides counter will save far more than any other developing country - $9 South Asia, it said.

Two LocomoTives of AsiA Chugging on Track vibrant democracy while China is an Two remarkable documents throw their people a life of dignity, health, The two great Ravi Bhoothalingam favourable demographic profile, unless authoritarian state. The Sino-Indian light on the first question. The first is education and welfare will preoccupy we let slip the window of opportunity relationship is complicated with di- a speech delivered by Shiv Shankar both countries for a long time ahead. locomotives of Asia s the world struggles to regain its this affords us. Truly, China and India verse strands. Menon, India’s National Security Ad- must work together to momentum after the global eco- can be two strong locomotives hauling Politically wary of each other, with viser, on the occasion of the Prem Bha- Opportunities and Challenges Anomic crisis of 2008-2009 many the train of the world economy for- burgeoning but skewed trade, poor tia Memorial Lecture in August 2011, As China proceeds with her 12th propel the global train emerging markets show that they have ward in the future. But will the ride be people-to-people connectivity but co- where he expressed with total clarity Five-year Plan (2011-15), the openings coped with it relatively better. Asia, in smooth or bumpy? operative on some global issues, they the essence of India’s national interest. that this heralds for foreigners become through its current particular, has emerged with its growth seem like a pair of twins yoked uncom- The second is a speech by Chinese State increasingly visible. There is a clear fo- travails and thereby trajectory dented but not derailed. On the same track? fortably to each other. Thus while there Councillor Dai Bingguo (coincidental- cus in the Plan to rebalance the econo- Again, within Asia, China and India When Rajiv Gandhi visited China is recognition of their enormous po- ly Menon’s former counterpart as Spe- my by increasing the share of consumer fulfill the Deng-Rajiv (and several other countries) continue in 1988, Deng Xiao Ping said to him: tential as growing markets, each nation cial Representative in the Sino-Indian expenditure. Though the overall eco- to show strong growth potential. “An Asian Century is only possible remains largely invisible to the other, boundary talks) published in the Daily nomic growth will slow down from dream to create an In 2011, The Economist had forecast when India and China come together.” divided by language, information defi- Tel eg raph of London on September the hectic pace of yesteryears, yet there Asian century that that China would overtake the US by But in the imagery of my example, are cit, poor institutional support and the 26, 2011, where he articulated China’s will be a greater variety of goods and 2018 in terms of Gross Domestic Prod- these two locomotives on the same absence of a concerted strategy. So are national interests. What is notable is services in demand. At the same time, can reinvigorate the uct (GDP) at market rates. Though track and going in the same direc- they compatible enough for this great the congruence of objectives in these the economy will experience a push India is some way behind, our growth tion? After all, though both countries task? And will better business ties nec- two documents. Simply put, the tasks towards higher value-added manufac- entire world. prospects could be even better, given a are economically dynamic, India is a essarily strengthen friendship? of poverty eradication and of assuring ture, as higher wages will push low-cost

items such as toys and garments into eral Indian companies have notched up State-Owned Enterprises (SOEs). lower-wage economies such as Bang- significant successes in China. TCS, Similarly, in the pharmaceuticals ladesh, India, Vietnam or even interior Infosys, Wipro and NIIT are all well sector, Dr. Reddy’s Laboratories is the China. There is a chance here for India regarded in China and held up as com- top Indian generics company in China and South Asia to opt into this manu- panies that their Chinese counterparts today after a long and patient strug- facturing boom. need to emulate. This is not just a mat- gle for a decade, during which some Besides, huge investments in China’s ter of having a better product or service other Indian players in the same sector healthcare and education sectors and pushing sales in China like in any wound up and exited. The lesson here will call for a range in both services other global market. Rather, it depends is to focus on specialised and difficult- and products—including medicines, on a deep knowledge of the market and to-manufacture products which would medical equipment, scientific research, an astute business strategy. TCS, for be of interest to the Chinese but which English language training materials, instance, is among the few Indian com- they did not have the capacity and/or consulting, legal services, marketing panies who, early in their entry into technology to make at the same cost and advertising etc. With the World China, decided to collaborate with and quality standards. China’s phar- Tourism Organization forecasting that the Chinese government and Chinese maceutical sector can be an attractive China will send 100 million tourists universities to jointly develop R&D target for Indian firms, but only when outbound annually by 2020, even a facilities. This stood them in good they identify niches that suit their modest 5% share for India would be stead and they have since been able comparative strengths. a bonanza for our tourism industry to enter the Chinese banking system and would generate huge employment as systems providers. The Indian IT Investment, infrastructure, as tourism is a livelihood-intensive industry is well equipped with the connectivity business. creative skills and quality control to When Prime Minister Manmo- A couple of years ago, the Con- generate similar applications for Chi- han Singh said two years ago that federation of Indian Industry (CII) nese business, and is seeking similar G20 countries should examine invest- along with a firm of consultants did a arrangements with government and ment opportunities in rapidly-growing detailed study (“CII-Avalon”) that re- emerging markets, what he had in mind vealed many niches of opportunity. It China and india Can be two was marrying investible surpluses with showed, for example, that in the area good project opportunities. As it now reduce the balance of payments deficit must Chinese and indian will avoid war. Still, any venture that strong loComotives hauling with China. Indian ingenuity can sure- of automobile components, India and turns out, huge investible surpluses lie outreaCh to the nations of aims to reconnect these two old civi- China are both competitive and com- the train of the world in China and in the oil-exporting na- ly tackle the problems created by large- lizations in the modern age needs to plementary, in that it is possible to tions. Any investor will have his expec- scale import of Chinese labour—for south asia be Cast in a mode paint on a larger canvas. A century ago, eConomy forward in the import some components and export tations—economic, political, or both- instance by awarding long-term multi- of rivalry and Competition? two great scholars of India and Chi- others, both profitably. The study also future. but will the ride be -and we need to figure those out well project engagements linked to phased na—Rabindranath Tagore and Sun revealed, quite notably, that the noto- in advance. inputs and training of Indian skills. Can’t there be goals that Yat Sen-- envisioned a new world order rious ‘China price’ is not simply the smooth or bumpy? The pattern of China’s investment Thus, given the availability of consult- formed by the legacy of these two an- result of government subsidies, as strategy has been to invest heavily ing and management talent in India, it are mutually benefiCial and cient civilizations. This order would be popularly believed in India, but in infrastructure and resource ex- may even be possible to innovate a col- result in win-win outComes based on the harmonious coexistence the result of a whole network of traction, to provide cheap loans at laborative format where Indian man- of nations rather than on the zero-sum factors which work together in highly concessional terms, and link agement and Chinese investment and for all partners? to think equation promised by Western realist the Chinese system to make the repayments to long-term deliv- technological skills can be put together thus requires a Creative international relations theories which final export product available at ery contracts at pre-agreed prices. to create globally competitive entities. have nearly brought the world to the an advantageous landed price to These are attractive terms indeed One of the benefits of a hugely en- paradigm shift but it Can brink of financial, nuclear and ecologi- the buyer. These include: better but the Chinese are hard bargain- hanced focus on infrastructure by and definitely break new ground. cal disaster. The two great locomotives infrastructure, lower energy costs, ers, and some countries have found within India will be to improve our of Asia must work together to propel lower financial costs, better logis- that hastily-drawn agreements have connectivity with our neighbours. The the global train through its current tra- tics and supply chain arrangements, worked to their disadvantage. But poor shape of physical links between that are mutually beneficial and result vails and thereby fulfill the Deng-Rajiv higher productivity, larger scale of in India they might meet their India and its South Asian neighbours in win-win outcomes for all partners? dream to create an Asian century that operations etc. The study went on match as they will face an equally is one reason (amongst many) for the To think thus requires a creative para- can reinvigorate the entire world.  to recommend what measures the hard-nosed and commercially as- poor inter-connectivity of their econo- digm shift but it can definitely break state and Central governments in tute business tradition. mies and peoples. India’s own growth new ground. India could take to ensure that (at Persuading Chinese companies potential as also those of her neigh- least in areas controlled by the gov- who can compete for and win glob- bours could be enhanced by improved Set the sights high ernment) the competitive playing al tenders for power generation, South Asian linkages. The same goes Going back to our second question: field for Indian companies is ren- dam-building, ship-building, roads for trans-Asian connections, by land, will Sino-Indian economic partnership dered level compared to its Chinese and railways to invest in Indian air, sea, and cyberspace. Must Chinese bring about a lasting peace? After all, counterparts. projects would help address India’s and Indian outreach to the nations of did not the Beatles sing: ‘Money can’t Despite all these problems enormous need to upgrade its na- South Asia be cast in a mode of rivalry buy you love’? There are no guarantees Ravi Bhoothalingam is a Management Consultant and pushing up cost of production, sev- tional infrastructure. Also, it would and competition? Can’t there be goals in life, but what is quite likely is that it Honorary Fellow of the Institute of Chinese Studies in Delhi.

Ila Patnaik where households consumed too much and did not save. This arrangement was nlike in India, the slowdown in facilitated by the Chinese exchange Chinese growth appears to be rate policy. A change in the Chinese Unot merely a cyclical downturn, policy is expected to lead to a global but lower trend growth rate that Chi- rebalancing. nese policymakers see as desirable. It For India, which has had an econo- forms part of China’s strategy to rebal- my much more based on domestic con- ance the domestic macro economy to- sumption, where the domestic savings wards a slower growth rate of employ- to GDP ratio is closer to 30 per cent, ment, lower investment and higher in contrast to China’s 50 per cent, a re- consumption. This is good news for balancing in China is good news. Not global rebalancing as China’s exchange only is a more rebalanced world a bet- rate policy should now become more ter and more sustainable business envi- flexible, Chinese current account sur- ronment, with less vulnerable risks, but pluses should come down and accumu- India could gain directly as it is often lation of Chinese fore reserves should seen as a competitor to China. In areas slow down or stop. where India can compete with Chinese For India, a relatively more con- products for a share of the market, its sumption-oriented China could mean exports can benefit. In addition, if In- higher exports, to both China and the dia is able to enter the market in certain rest of the world, lower commodity products, it stands to gain. As China prices and less of a pressure from ex- focuses more on growth in services, porters for exchange rate intervention. as it has seen recently, as well as high- After growth at double digits for end products, away from the low-end many years, China grew at a much manufacturing that dominated its slower 7.7 per cent in the first quarter growth model, Indian exports stand a of the year. At a recent conference in Lower growth pLanned better chance. Beijing, I heard Chinese policymakers Lower investment in China is likely sounding comfortable with this lower made it evident that, even if desirable, As ChinA foCuses more on to lead to a softening of global com- growth. Indeed, they argued lower the policy of export-led growth was modity prices. As a large commodity growth in China was desirable. It al- unlikely to be sustainable. growth in serviCes, As it importer, India stands to benefit from most seemed that it was planned. At the recent IMF-World Bank softer prices. Though it may be argued The main arguments in favour of meetings in Washington DC, China hAs seen reCently, As well that global growth may slow down if lower growth — an average of 8 per has indicated that it will allow the ren- As high-end produCts, China slows down, as the Chinese pol- cent in the next 10 years and 7 per cent minbi to move in a wider band than AwAy from the low-end icymakers argue, if the growth can be thereafter — was mainly China’s de- China it has hitherto. This effectively means higher quality growth, protecting the mographics. As the Chinese working- that it will allow the Yuan to appreci- mAnufACturing thAt environment and reducing pollution, age population starts shrinking due to ate. This will make Chinese exports with higher wage growth, more inno- the replacement of the current work- more expensive and imports into dominAted its growth vation and less distortions, the world ing population by those born after the China cheaper. Such an exchange rate model, indiAn exports stAnd stands to gain. one-child policy was put in place, there regime will be more suitable for a do- Economic stability is not the only is less need for high job growth. The mestic consumption-led, rather than A better ChAnCe issue at stake. Political stability in last few decades were ones in which brakes an export-led growth strategy. China is a challenge as inequality has China was trying to meet two objec- An appreciation of the Yuan will grown. If China does not follow a wider tives: earn foreign exchange and cre- China’s tilt toward consumption-led growth is also allow other emerging economies EM (emerging market) central bankers consumption-based growth model, ate jobs. The high growth rate of job good news for India and the global economy. to permit their currencies to be more not to have the kind of pressure they the bigger challenge may be political creation was necessary to absorb the flexible. Today when China sustains a face thanks to China today. rather than economic stability. It seems large number of people joining the policy of an undervalued exchange rate One of the origins of the global that the Chinese government has set labour force. If the same growth rate has met its targets for infrastructure A shift towards domestic through its intervention and sterilisa- crisis was diagnosed to be the cheap the forces for domestic rebalancing continues, China will have labour investment. It now needs to utilise consumption-led growth will make tion, other central banks often come funding available in the US economy in place, it remains to be seen how shortages. With a slower growth of the better the infrastructure that it has the Chinese growth model less under pressure to do the same. The owing to Chinese purchase of US successful the policy will be.  working population and labour force, created. Some estimates even show that dependent on exports. In episodes context in which China has been able treasury bills. The high level of liquid- wage growth rather than employment China’s infrastructure investment has of global slowdown like the recent to financially repress the system and ity, asset price bubbles and, finally, Ila Patnaik is Professor at the National growth will be the focus. been excessive. The need for additional one, the Chinese economy can then pay low or negative real interest rates the meltdown were said to be caused Institute of Public Finance and Policy, Second, China has undertaken investment in infrastructure is lower, continue to grow more steadily. The to households is unlikely to work in by the Chinese policy of keeping con- Delhi significant infrastructure investment in and so the investment strategy will be decline in the Chinese trade surplus more market-oriented and democratic sumption low, savings high and then recent decades. In coastal areas, China modified accordingly. and slower exports after the crisis have countries. It will be a relief for other pushing those savings into the US, [Courtesy: The Indian Express]

gree instead of pursuing a top quality account of both access and excellence. among siblings. This concentration of vocational education. In terms of access, China enrolls nearly resources creates an expectation among While this hierarchy of education 9.6 million students in vocational ed- the Chinese families to get the best exists in many other countries, it is ucation as compared to 4 million in quality of foreign education for their very acute in India. This socio-cultural India. Likewise, in terms of world uni- child, while Indian families have to be difference becomes even more compli- versities rankings and research produc- content with the best they can afford. cated due to inadequacies at the policy tion, Chinese universities are gaining Both the Chinese and Indians are level which creates islands of excellence prominence whereas Indian universi- seeking quality foreign education, but but does not inculcate quality in the ties are lagging behind. Despite the with differential level of affordability higher education system as a whole. success of Chinese higher education, and they find western destinations to In contrast, China expanded its many Indian institutions find it tough be offering more value as compared higher education by not only provid- to reach out to China about partnering to what they can offer each other. This ing opportunities at the vocational lev- in vocational or research universities translates into higher number of part- el by engaging the masses through low- due to perceptual barriers. cost, volume-based manufacturing but Another factor complicating the sit- in China, finanCial resourCes also invested heavily in creating world uation is the differences of family unit. in a family are ConCentrated class universities through initiatives Given the single child policy in China, like Project 985 which includes 39 uni- financial resources in a family are con- on one Child, unlike india versities striving for global excellence. centrated on one child, unlike India where finanCial resourCes are As a result, China beats India on where financial resources are shared shared among siblings. this ConCentration of resourCes Creates an expeCtation among the Chinese families to get the best PartnershiP in higher education quality of foreign eduCation for their Child, while indian families have to be Content with the best they Can afford. Breaking the nerships from China and India with the US and the UK as compared to those among themselves. To sum up, both Chinese and In- dian higher education has its own context, priorities and limitations. how- perception barrier ever, there are significant opportunities of collaboration and growth between India and China must not lose sight of the enormous potential the two countries and a lot needs to be done to facilitate them. Proactive and synergy for partnership in higher education. initiatives to break perceptual barriers which go beyond the language and cultural barriers should be one such prior- Rahul Choudaha million and 26.7 million students, re- At the structural level, Indian high- ity at policy, institutional and individ- spectively. however, the partnerships er education system is highly concen- ual level, so that both India and China he two most populous countries in the higher education sector are few trated at the undergraduate (bachelor’s) do not lose sight of the enormous po- of the world—China and India— and far between. degree level. In fact, with 19.8 million tential and synergies in higher educa- thave a flourishing bilateral trade What explains this gap? In addition students, it is the largest system in the tion partnerships with each other.  that has reached nearly $75 billion in to the obvious factors like language world in terms of undergraduate enroll- 2011 and is expected to cross the $100 and cultural barriers, perceptual bar- ment as compared to 12.7 million in billion mark by 2015. however, the riers about quality contribute to the China and 10.4 million in the U.S. economic activism has not translated lack of higher education partnerships This concentration at undergradu- into higher education partnerships. between China and India. These bar- ate level indicates a socio-cultural en- Mirroring the size of the popula- riers are confounded by the different vironment which perceives bachelor’s tion, China and India have the two structures of higher education systems degree as a prestigious pathway. Thus, Dr. Rahul Choudaha is a New York-based international largest higher education systems in the and allocation of family resources on a many in India are willing to pursue higher education specialist. He is the director of research and world with a total enrollment of 29.1 child’s higher education. a poor quality undergraduate de- strategic development at World Education Services.

On a recent trip to China, the India-China destination. His efforts include promoting Economic and Cultural Council (ICEC) Chinese exporters to invest in manufacturing team caught up with K. Nagaraj Naidu, in India, working with Chinese universities Consul General of Guangzhou, China. to have India Chairs, encouraging tie-ups The Indian Consulate in Guangzhou has in skills development as well as promoting jurisdiction over seven of China’s provinces Indian culture and heritage. Mr.Naidu including Guangdong, Sichuan, Yunnan, also clarified that the Indian Embassy’s Hunan, Fujian, Hainan and Guangxi. In a trade dispute advisory on its website is not freewheeling interview with ICEC, Mr. Naidu intended to scare Indian companies from shared his aim to encourage Chinese business doing business with China, but encourage enterprises to consider India as an investment them to adopt safe trade practices.

Mr. Naidu, this is your first posting as Consul What will be your strategy in the coming months? tourism. We have recently worked with the Ministry of to promote discourses and lectures on India. We regularly General. How do you see your role in areas Our strategy in the coming months would be to encour- Tourism, Government of India to organize a familiarization organize essay competitions on India-related themes for such as tourism, trade promotion and cultural age Chinese exporters of equipment and value-added goods tour for a four-member visual/print media group from young Chinese students studying at various universities to exchanges? to invest in manufacturing in India. This will not only help Guangzhou to Odisha. We will also be participating in a encourage them to learn more about India. Since 2013 will Answer: Yes, this is my first posting as Consul General. to reduce the rising trade deficit, but will also give greater number of tourism expos which will be taking place in the see India celebrating 100 years of Bollywood, the Consulate However, since I have worked in the China region confidence to the Indian consumer about the quality and seven Chinese provinces (Guangdong, Sichuan, Yunnan, is planning to organize Indian Film Festivals in a number of (including Hong Kong) before, I can say that I am familiar service-related issues of China-made products. In the com- Hunan, Guangxi, Fujian and Hainan) under the Consulate cities and universities in the provinces under the jurisdiction with the work environment here. As far as enhancing India- ing months we also plan to organise business outreach activi- jurisdiction. A number of Chinese adventure tourists have of the Consulate. China relations in the tourism, trade and cultural sectors ties in a number of Chinese cities and continue to gather and also written guidebooks on India for Chinese travelers. is concerned, a lot has been done by our mission in Beijing disseminate information on business opportunities in China Mr. Wu Zhiwei, a travel writer and photographer from You started your career at the Indian Embassy in as well as our Posts in Shanghai and Guangzhou in the for Indian business houses. Both countries have also initi- Guangzhou, has been awarded the Best Foreign Journalist Beijing as the Third Secretary in 2000 and then you last few years. However, the potential for growth in these ated the India-China Strategic Economic Dialogue (SED) Award in the National Tourism Awards 2011-12 organized have served as the Second Secretary from 2002 sectors is tremendous, and a lot more needs to be done. in the year 2011. Two rounds of SED have taken place till by the Ministry of Tourism, Government of India on March to 2003; as the Consul at the Indian Consulate in On the economic front, our engagement with China (for date. The SED mechanism is a reflection of the maturity of 18, 2013. Mr. Wei has written two books named India: Hong Kong from 2003 to 2006 and again as the that matter even that of China with India) started only in the economic engagement between the two countries and is Inside Ganges and India Again: Inside Rajasthan. Wei’s First Secretary and Counsellor from 2009 till 2012. the late 90’s as compared to the Western and Southeast aimed at information exchange, sharing of best practices and Pilgrimage in South India is also due to be published in the Now you are the Consul General of Guangzhou, how Asian countries. Today, China is India’s largest partner working on joint projects across various economic sectors. second-half of 2013. His books are based mostly on his do you plan to integrate your experience of China in in goods trading. Though Indian companies find the interactions with Indians and his perceptions of Indian life your new role? operating environment in China challenging, the economic What are your plans regarding tourism? during his numerous visits to India over the last decade. When I joined the Foreign Service in 1998, I was very engagement between the two countries has been continuous On the tourism front, our attempt has been to encourage keen on working in China. However, I did not anticipate and the trade deficit for India is on the rise. Auto ancillary, Chinese tourists to visit new destinations in the West, East What steps are you taking in the cultural arena? that my stay in China would be so long. However, I have no power equipment, pharmaceutical, ores, heavy machinery, and Southern regions. While the golden triangle (Delhi- On the cultural front, we are working closely with Indian regrets. I have been fortunate to come and work in China transport infrastructure, IT services and training, and Agra-Jaipur) is still very popular, many Chinese tourists are Council of Cultural Relations (ICCR) and the various at the right time (probably everybody says that). Living medical equipment, are areas that are witnessing major willing to travel to new and attractive destinations in India. state governments to bring more Indian dance and music and working in China has enabled me to understand and tractions. China has also become the largest executor of The Consulate has recently partnered with the Guangzhou ensembles to China. We are also actively working with a appreciate the Chinese work culture. Since I have stayed in power projects in India in the last few years. Television Group to telecast more programmes on Indian number of Chinese universities where we have India Chairs this country (including Hong Kong) for almost 10 years, I

am able to communicate with the Chinese in their language. What about Indian enterprises who wish to expand? publicity that the “Advisories” have received has had its clear up some of the misperceptions of the Chinese about This enables me to convey my views and ideas directly to Indian enterprises looking to expand operations within desired effect. Today there is a clear decline in the number India and to encourage the Chinese to have a constructive the Chinese, which could otherwise have been lost in trans- India could also look at China as a source of cheap capital. of trade disputes with more and more traders sending their debate on India and the issues that the country faces. We lation. Over the years, I have made friends and contacts Indian companies planning to have a presence in China are trade queries directly to the Embassy and the Consulates for also regularly organize economic and cultural events in uni- among various central government ministries and depart- encouraged to approach the Consulate for business intel- advice rather than speaking and concluding business with versities to gauge the understanding of the young Chinese ments as well as among offices and bureaus in the provincial ligence, advice, as well as briefing on registration procedures. some unknown person in an on-line chat forum. about India. governments and public/private sector enterprises. Since, I Business chambers planning to lead business delegations to have worked mostly in the economic and commercial areas; China, Indian SEZ’s looking for investors, Indian manufac- How do you plan to reach out to the Indian commu- Please identify some aspects of Chinese tourism I have travelled extensively across the length and breadth turers desirous of finding a technology partner, and the state nity in regions under your Consulate? Is your office and trade from which India can take a cue? of the country and have established good contacts with of- government delegations who are desirous of visiting China approachable and efficient in dealing with issues/ On the tourism front, China offers a very safe ficials in the economic bureaucracy – the Chinese Ministry on study tours of pilot/demonstration projects etc. are all complaints from Indians? environment for both the lone traveller as well as those who of Commerce, the National Development and Reforms encouraged to approach the Consulate. We are always ready Among the seven provinces under the jurisdiction of the travel in groups. The availability of reasonably priced, safe Commission, Development Research Centers, and the to assist them. Indian Consulate, a large majority of the Indian community and good-quality 3 to 4 star hotels, clean and inexpensive Chinese business chambers both at the I also plan to continue to raise the lives in the Guangdong province in the cities of Guangzhou restaurant options, and spirited and friendly tourist guides centre and the provinces. I hope that I issue of market access for Indian pharma- and Shenzhen. The rough estimate of Indians living in the (even if not speaking fluent English) in almost every will be able to capitalise on the experi- ceuticals, tobacco, fruits and vegetables, province of Guangdong is close to 25,000. We also have a city/town in China is another plus point that attract ence gained over these years, as well bovine meat etc. with relevant Chinese large floating population of Indian businessmen; who while foreign tourists to China. An interesting aspect of China’s as my extensive network of contacts institutions. I also plan to interact more residing in Guangzhou and Shenzhen, keep shuttling be- hospitality industry is that women constitute over 60% of and familiarity with working in China with scholars and academicians at Chi- tween Hong Kong/Macau and mainland China. The Con- the workforce. Moreover, tourism-related infrastructure in carrying out my new assignment as nese universities and think-tank groups sulate provides passport, visa and Consular assistance to the is well developed and follows a standard model that has Consul General of Indian Consulate in in order to encourage them to interact Indian community in Guangzhou. For the benefit of the In- been replicated all over China. This makes it easy for a Guangzhou. The Indian Consulate in and forge tie ups with Indian universities dian business community in Shenzhen, we organize a Con- foreign traveller to travel all over in China easily. However, Guangzhou has jurisdiction over seven and think tanks. Tourism is also big on sular camp once every month in Shenzhen. As regards our in China, the emphasis on “looking good” is so strong that of China’s most important provinces in- my agenda. The South of China is well office, we have an “open door” policy and any Indian having most historical sites look as if they have been built in the last cluding Guangdong, Sichuan, Yunnan, connected to Delhi, Kolkata, Bengaluru a specific query/issue can directly approach us and my office five to 10 years while the heritage sites in China look like Hunan, Fujian, Hainan and Guangxi. I and Mumbai. The Consulate will be and staff are always ready to assist them. We also have an of- theme parks. On the other hand, though India has preserved hope that in the coming years, with the working closely with the India Tourism ficer in the Consulate who is designated as the Community its historical sites well, the underinvestment in tourism support and efforts of all the officials Bureau (in Beijing) and will also par- Welfare Officer. He looks into the affairs of the Indian -com infrastructure is a big negative. India needs to encourage and staff of the Indian Consulate in ticipate in leading tourism fairs/expos munity in South China, as well as the interests and welfare more women to join the hospitality industry by providing Guangzhou, I will be able to give my to encourage Chinese travel agencies to of the Indian student community pursuing higher studies in incentives in the form of training. She should also improve best to boost and strengthen India- IndIan companIes plannIng promote travel to India. various Chinese universities in South China. the tourism infrastructure by encouraging the building of China bilateral relations. good quality budget hotels, and do away with touts so as to to have a presence In chIna The Indian Embassy in Beijing and How well is India known in the Consulate’s provide better security to travellers at railway/bus stations In your tenure, do you have any are encouraged to approach the Indian Consulates in Shanghai jurisdiction and how is she perceived by the and popular tourist destinations. plans to start any new practice the consulate for busIness and Guangzhou have posted trade Chinese? or introduce any new changes for dispute advisories on their web- India is well known among the Chinese in the provinces What message do you wish to give our readers? greater cooperation with India? IntellIgence, advIce, as well sites. How does your office plan under the Consulate’s jurisdiction. As regards the Chinese My message to all the readers of this magazine is to The Indian Consulate in as brIefIng on regIstratIon to address the issues of protecting perception of India, there are typically two perceptions work towards supporting the efforts being made by the Guangzhou is well known for its procedures. Indian business interests? based on the age group. The older ones (those in their mid- governments of India and China to promote better and outreach activities, interaction with The reason behind releasing the fifties and over) reminisce India’s historical ties with China, friendly India-China relations. India and China are ancient public, and efficiency of service. I plan “Trade Advisory” and regular updates the Buddhist connection, the silk route, Xuan Tsang’s visit civilizations and developing economies. As nations with to not only continue to build on these achievements, but thereafter is to help protect the interests of the small to India, and the era of Raj Kapoor’s movies; while the over one billion population each, they have a lot of things in also to work on new initiatives to promote greater India- and medium-scale Indian traders or trading firms. The younger ones (over 25 and up to 45 years) think of India as common including challenges and opportunities. For a long China business linkages and people-to-people contacts. My “Advisory” was brought out because of the sudden surge in an IT power, that has a border problem with China, is a pro- time, the people of the two countries have seen and learnt aim will be to encourage more Chinese business enterprises the instances of fraud that were brought to the attention ducer of affordable pharmaceuticals, and a place where the about each other through the window and the writings of to consider India as an investment destination, particularly, of the Embassy and the Consulates during the years 2009 disparity between the rich and the poor is stark, where slums the western world. It is time that we begin to learn about our in the heavy engineering sector. There is an urgent need for and 2010. The “Advisory” does not intend to scare Indian abound everywhere, where things are unorganized but yet shared heritage through the joint efforts of the scholars and Chinese exports to translate into long-term investments. businesses from doing business with China, but wants to has a social stability. writers of the two countries. A significant initiative in this Since capital is cheap in China today and the Chinese educate them on Chinese business culture and encourage regard has already been started with both countries agreeing enterprises are scouting for good investment opportunities them to adopt safe trade practices that would enable them What is the Consulate doing to improve these percep- to produce a joint cultural encyclopedia. Besides, both sides abroad, India could be a preferred destination for Chinese to take requisite precautions and ensure that they do not tions, particularly that of the younger generation? also need to be sensitive to each other’s mutual concerns. As investments. I would appeal to state governments in India become victims to fraudulent practices. The “Advisory” In order to improve the understanding of the younger developing economies, our convergences on major global to visit China to organize investment road shows and is particularly aimed at those who are allured by so-called Chinese about developments in India, our mission in Beijing issues are being increasingly manifest. Today, the larger seminars to attract Chinese investments. China has also “Chinese prices” and want to make quick money, thereby, and the Consulate in Guangzhou have actively made use of region and indeed the world have high expectations from done exceptionally well in the area of skills development and giving scant regard to checking the credentials of the the Chinese social media - Weibo. The Indian Consulate in our growing cooperation. The development of India and I plan to invite Skills Development Institutions (ITIs) in Chinese company or the product quality. We have given Guangzhou has an active Chinese blog where we regularly China can thus be a truly reinforcing process. I look forward India to have tie-ups with Chinese institutions to train more wide publicity to the trade advisories by sending them to all post on all happenings in India that would be of interest to to working with all the stakeholders towards promoting skilled manpower in India. the stakeholders in India over the last two years. The media the Chinese. Our aim is to use our blog postings and help to India-China relations. 

Amir Ullah Khan and Saleema Razvi a surge of dollars into the Indian surprising that the federal government HEALTHCARE IN INDIA economy by way of export earnings, through its annual Economic Survey n India, the debate on trade has been foreign direct investments, portfolio has advocated the liberalizing of and continues to be a debate on glo- investments and Non Resident Indian foreign direct investment (FDI) for Ibalisation. Free trade results in the (NRI) repatriation. This has fuelled services such as health insurance, rural globalisation of production and con- an unprecedented supply of dollars banking and higher education and the sumption. It also allows countries to leading to the steady fall in the value government admits that relaxation in leverage their comparative advantages of the dollar. A large number of foreign FDI policy to this effect would create and produce goods and services that institutional investors (FIIs) are now a more conducive environment for Not in they are relatively more efficient in putting their money into India’s capital trade in services. producing. Countries can thus special- markets. NRIs had already made Healthcare has emerged as one of ise and therefore world production on India the largest recipient of non- the largest service sectors in India. In the whole improves. resident repatriation by sending more 2004, national healthcare spending Globalisation has indeed helped than 70 billion dollars. It is thus not equaled about 5.2 per cent of the nom- developing and poor countries to inal GDP, or about US$ 34.9 billion. Good Health leverage their abundant resources to Healthcare spending in India is expect- produce goods and services that allow In 2004, natIonal healthcare ed to rise by 12 per cent per annum for foreign exchange earnings which spendIng equaled about 5.2 through 2013-18 (in rupee terms) and can be used for essential imports. scale up to about 6.5 per cent of GDP, Besides, free trade has improved the per cent of the nomInal gdp, amounting to US$ 90 billion. Other chances of the really poor countries or about us$ 34.9 bIllIon. estimates suggest that by 2015, health- to conduct business internationally, care spending could contribute to 8 allowing their firms to widen their healthcare spendIng In IndIa Is per cent of GDP and employ around portfolios and enter the large markets. expected to rIse by 12 per cent 11 million people. From a pan-India It is in this context that domestic per annum through 2013-18 (In perspective, presently there are more policies on trade assume significance than half a million doctors employed and the political mindset that prevails rupee terms) in 15,097 hospitals. Additionally there over issues such as import restrictions, and scale up to about 6.5 per are 0.75 million nurses, who look after export regulations, tariffs and duties more than 870,000 hospital beds. Dur- needs to change. cent of gdp, amountIng to ing the previous decade, the number In the recent past, especially in us$ 90 bIllIon. of doctors increased by 36.6 per cent the last 10 years or so, there has been of which an estimated 30 per cent of

Healthcare has emerged as one of the largest service sectors in India. India is committed to injecting huge public funds into health care but services are far from adequate. There is thus a large scope for the sector to attract foreign investment, technology and resources.

medical practitioners hold specialist and every household spends up to 10% to grow by 12 percent annually for the qualifications. of annual household consumption on next five years to reach the six billion According to government esti- an average in meeting health care needs. dollar mark in 2015. mates, 30000 doctors pass out every Two and a half million Indians suffer There is thus a large scope for the year from the 266 medical colleges in from HIV/AIDS. What is worse is that Indian healthcare sector to attract India, including private ones. There annually 22 lakh infants and children foreign investment, technology and are nearly 700,000 doctors registered die from preventable illnesses; one lakh resources. The growing number of in India. A majority of them work in mothers die during child birth, five lakh students attending medical school in urban areas, a few migrate and only people die of tuberculosis while diar- China is indicative of the demand that around 22000 devote themselves to rhoea and malaria continue to take lives exists in the country. Research in medi- the rural population. It is not surpris- across the country. cal devices and surgical equipment is ing therefore that rural health care is The healthcare industry in India, already an important area where in- in a shambles. It is estimated that more which comprises hospital and allied vestment has gone up considerably. than 80 per cent of India’s population sectors, has registered a growth of 9.3 The bio technology, pharmaceuticals accesses private health care though it percent between 2000-2012, com- and drug sectors have also witnessed is often very expensive and of dubious parable to the sectoral growth rate tremendous growth in various clusters

EmErging markEts quality. The situation is particularly of other emerging economies such as across the country. Given that the fed- tragic because the single biggest con- China, Brazil, and Mexico. Growth eral government has declared that the tributor to chronic poverty in India is in the sector is driven by healthcare twelfth plan period (2012-17) is going expenditure on health care, and vari- facilities, private and public sectors, to be focused on health, the excitement ous estimates have shown that more medical diagnostics and pathological around the healthcare segment is in- than a quarter of those who remain laboratories, and the medical insurance deed not surprising. With the cabinet Entry Rules below poverty line for more than five sector. The Indian medical equipment also talking about relaxing FDI rules years are there because of the costs of and devices market was estimated at and the restriction on foreign owner- In today’s global scenario, there is a need to understand how to play the game. healthcare. Thus the single biggest fac- 3.5b dollars in 2009 with a consist- ship we should see a large number of tor contributing to chronic poverty in ent growth of 15 percent per annum. players coming in to India in the area India is expenditure on health care. Market for medical supplies and dis- of healthcare and research.  Marcos Fava Neves Parameters). Emerging markets have characteristics and well-established To put it simply, the health care sys- posables is dominated by the domes- distinct characteristics and they work aspects such as, logistics, retail and tem in India is more or less absent and tic manufacturers, whereas imported merging and developed econo- as entry points for companies willing institutional environment. This a bulk of the population has no access brands dominate the premium and mies differ in speed of growth and to explore the emerging markets. maturity is reflected in the population to quality health facilities. The state high-end medical equipment market. Edevelopment as well as character- “On 16 Parameters” is an indicator that tends to search for differentiated machinery is absent in most parts and The Indian medical equipment and istics and entry norms. Emerging mar- of how the food market of the fast products and services, especially niche health care needs are met by the private devices market is on the growth radar kets offer a chance for companies to emerging companies behaves and how offerings such as healthy products sector which often comprises resources of several multinational companies, set up businesses, whereas developed they lend “go-to-market strategies” and better institutional environment. of dubious quality. The story is stark and imports are expected to increase. Amir Ullah Khan is President of the Global University economies merge, acquire or conquer opportunities. Following is the crux based on the at Saharanpur in UP and Professor of Economics and the data gruesome. At least between Driven by increasing awareness and af- Saleema Razvi is a Research scholar Health Economics market shares of competitors. An analysis of this table shows indicators as mentioned in the index. 2/3rds to 3/4ths of all medical expendi- fordability coupled with an increasing and trade issues at the Indian Institute of The economies can be compared that developed markets are more 1. Emerging markets can´t be gen- ture is spent on privately provided care patient pool, the market is expected Foreign Trade, New Delhi on different parameters. (See: On 16 mature and stable with predictable eralised. A deep understanding of each

Developed Countries Parameter of analysis Emerging Countries Stable gDP Growing Relatively stable Population Growing Relatively stable Urbanisation of population Urbanisation growing fast and emerging of mega-cities Mature or declining Food markets Sales are booming Small effect on consumption income growth and income distribution Huge impact on consumption (still a high percentage of income spent on food) Well educated Consumer profile Being educated More homogenous group Country’s characteristics Different segments of emerging economies, difficult to aggregate High quality and sophisticated Quality (food safety) in markets High level of informal markets and food markets safety under construction High percentage of Food service share in food consumption Smaller participation of expenditure in consumption (expenditure) in food service food service Quite stable retail systems Undergoing huge transformation Limited possibility Expansion of commodity production High possibility

High sensitivity of population Environment and preservation issues Low sensitivity of population and in order to determine entry barriers for the products, the retail strategy for and severe laws, recycling and regulation being built latecomers in these markets. developed markets are more expansion can be adopted. consciousness 8. Emerging economies have a mature and stable with 15. The new companies should Growing faster adoption of bio-fuels Low fast rate of economic growth, which predictable characteristics abstain from reaching out to the leads to surfeit of job opportunities. existing markets since the complexity Healthy, veggies, fruits, Consumption Quantity (protein) In such a scenario, employees change and well-established is huge and the company may get lost. organics, among others companies quite fast. So, companies aspects such as, logistics, Focusing on target segments is a key willing to enter should have a strategy to success. Developed and mature Logistics and transport systems Early stage of development, immature to attract and retain talents. retail and institutional 16. Manuals containing necessary Consolidated, respected and institutional environment Being built, with high transaction costs 9. Competition is different. New environment. this maturity procedures should be made and used as well known local players may come in to these an important source for faster training. markets in form of competitors. They is reflected in the 17. Investing in emerging econo- Figure: On 16 Parameters come faster in emerging markets as population that tends to mies may require other types of in- opposed in mature markets. Since vestments which are not previously the local players are more adapted to search for differentiated planned, such as infrastructure, local market is necessary. Countries dif- adopted for finance purposes as trading 5. An entrant has to adapt to local situations and know the rules of products and services community benefits, corporate social fer amongst and within themselves. in monetary terms is risky because in an deal with family business and family the game, the new entrant will find responsibility programs etc. China, Brazil and India are real “con- emerging economy most people lack managed distribution systems. them a stiff competition and should be In order to grow in today’s global tinents” and differ depending on each income and face inflation, thus making They tend to respond differently to well-prepared. At times, entrants can be faced with scenario, there is a need to understand specific region, urban or rural areas, the recouping of money a challenge. a company offer and ask for more 10. Acquisition of local companies issues such as emerging markets not how to play the game. The difficulties and cultural background. Imagine gen- These issues change business models. services and financial benefits than for may be a strategy to get people and having a cooling equipment-system in are no doubt immense, but the eralising Africa, what a huge mistake 4. Marketing channels in emerging discounts, which is a basic demand of market knowledge, but one needs to be transportation. opportunities are plentiful too.  that would be! economies involve a large amount of large multinational retailers. sensitive to cultural aspects, or else this 13. Finding the right media to com- 2. As opposed to developed distributors and can sometimes be very 6. Companies willing to enter move can backfire. municate with potential consumers is markets, getting information in chaotic. The modern retail systems are should have a motivated sales force 11. Economies can have institu- also required so that efficacy of mes- emerging economies is quite difficult diverse and dual and several variations equipped with modern technology tional restrictions such as entry norms sage is not lost and reaches potential due to a lack of reliable data, official are found within each country. A that allows for data generation and via joint venture or local partners only. customers. Local sources of media may statistics and other sources. So, to segmentation process should be done analysis. It would help them to acquire So, it is recommended that entrants be used, as they can be more effective. have access to information, one has using this variable and a clear multi- information about the market and should use local experts to understand 14. Focusing on the growing to develop own local sources. This is a channel approach (in product and target the different market segments. the regulatory system. segment of food service in emerging unique characteristic. services) should be established by the 7. Companies should try to select 12. Adapting product lines to cities may be a nice strategy to enter. Marcos Fava Neves is a professor at the School of Business, 3. Barter system may be the strategy companies. well and build trust with distributors local logistic systems is also needed. Once consumers are familiarized with University of São Paulo, Brazil. ([email protected])

Go chugging on Buddha’s footsteps

he Mahaparinirvan Express is a special tourist train that with garlands, provided with luggage assistance, and given a Today, Buddhism is associated takes passengers on a spiritual tour through Buddhist welcome gift of a Buddhist guidebook. Security guards are more with countries such as Japan, TIndia, where Buddhism originated more than 2,500 present on the train, and tours are fully guided. years ago. China and Tibet, but the thrill of The train gets its name from the Mahaparinirvana Sutra, Mahaparinirvan Express Route and which contains the Buddha’s final explanation of his teachings. Itinerary following the Buddhist trail through It’s sacred journey includes visits to the most important The train departs from Delhi usually one to two times per the land of its origin, remains an Buddhist pilgrimage sites of Lumbini (where the Buddha was month, depending on the season. It has the following itinerary: born), Bodhgaya (where he became enlightened), Varanasi unforgettable experience. (where he first preached), and Kusinagar (where he passed • Day One - Delhi (afternoon departure from Safdarjang away and achieved nirvana). Railway Station) • Day Two - Gaya (visit Bodhgaya temples) Mahaparinirvan Express Features • Day Three - Rajgir and Nalanda The Mahaparinirvan Express is operated by Indian • Day Four - Varanasi (visit Sarnath, and the holy Railways using carriages from a Rajdhani Express train. This is Ganges river for the evening aarti). The tallest statue a fully air conditioned train offering three different classes of of Lord Buddha in India is in Sarnath. travel (first class, two tier, and three tier). It’s far from opulent, • Day Five - Gorakhpur (visit Khusinagar) unlike India’s luxury tourist trains, but then again pilgrimages • Day Six - Gorakhpur (day trip to Lumbini in Nepal) aren’t normally associated with luxury! Passengers are greeted • Day Seven - Gonda (visit Sravasti)

• Day Eight - Agra (visit the Taj Mahal and Fatehpur Sikri) and return to Delhi by 6 pm. Mahaparinirvan Express Journey Duration The total journey runs for seven nights/eight days. However, it’s possible to travel only on selected parts of the route as long as your reservation is for a minimum three nights. Mahaparinirvan Express Cost and Classes of Travel The fare in a first class air conditioned compartment (1AC) is $160 per person, per night. Two tiered air conditioned class (2AC) costs $130 per person, per night. Three tiered air conditioned class (3AC) costs $110 per person, per night. If you’re unsure about what the different classes of travel mean, this guide to accommodations provides an explanation. The cost includes the train journey, food, road transfers by air conditioned vehicle, sightseeing, Darshan to visit holy places, hotel stay in air conditioned rooms, and entrance fees. Mahaparinirvan Express Reservations You can make a reservation for travel on the Mahaparinirvan Express by visiting the Indian Railways Catering & Tourism Corporation’s Rail Tourism website or at Indian Railways booking offices. More information is available on the website, or from Indian Railways by emailing [email protected] or phoning (91-11) 2370-1100/2370-1174.

Mahaparinirvan Express Information As the journey includes a day trip to Nepal, those who aren’t Indian nationals will need a Nepali visa. This can easily be obtained at the border. Two passport sized photographs are required. Foreign tourists with Indian visas must make sure that these are double or multiple entry visas, so that return to India will be allowed. Mahaparinirvan Express Odisha Special If you’re interested in visiting additional places associated with the Buddha, Indian Railways has added a new service, the Mahaparinirvan Express Odisha Special. This tour includes pilgrimage sites in Orissa (Odisha), as well as important sites in Uttar Pradesh and Bihar. Suggested Reading • Top 5 Spiritual Destinations in India • Celebrating Buddha’s Birthday in India • 10 Must See Buddhist Monasteries in India 

India would, understandably, want game that has conflict written into it? as India accepts China’s reassurances, to know what exactly China has in Having said this, Singh enunciated it cannot afford to remain indifferent mind when it talks of core interests his third principle, that the rise of to China’s rising capability to create today. For its part, China too must China and India is a global public problems for India. be mindful of India’s “core interests”, good. Addressing the China Academy On the question of intention Vs ca- especially because it has grievously of Social Sciences in January 2008, pability, former US President Ronald hurt at least one Indian core interest he saw the possibility of the rise of Reagan had the last word. When asked by enabling the nuclear weaponisation China and India having positive if he could trust his Soviet counterparts of Pakistan. externalities for the world as a whole when they promised to reduce their Clearly, the last of the five because of the new opportunities for nuclear and missile capability, Reagan points raised by Xi requires further development they could bring to the famously said, “trust, but verify”. That elaboration and consideration. Indian international community, especially was precisely Singh’s reply when he anxieties on this score have been other developing countries. was asked if he could trust Pakistan’s enhanced by China’s investment in The fourth principle Singh has former President Pervez Musharraf, strategic assets like the Gwadar Port repeatedly enunciated is that, because and that should be any Indian leader’s in Pakistan. While China cannot be of all the above and, equally, despite response to reassurances offered by blamed, perhaps not even implicated, the above, the relationship between China’s leaders. in the rising trend of India’s South There is, today, another concern Asian neighbours trying to play the that ought to engage both leaders. That so-called “China card”, India cannot While China Cannot be is, how would developments in the remain oblivious to this trend. It global economy, especially the Trans- would, at some point, impact on India’s blamed, perhaps not even Atlantic economic slowdown and the core interests. impliCated, in the rising rise of religious and other extremist Having entered that caveat, India politics in Asia, impact on their own should welcome these five principles trend of india’s south asian rise and of Asia as a whole? for they take cognisance of the new neighbours trying to play Would conflict in Asia, in the and growing economic relationship South China Seas or in West Asia, between the two and their cooperation the so-Called “China serve anyone’s interests at all? Can at the global level. Over the past nine Card”, india Cannot remain China and India afford to remain years, Prime Minister Manmohan reticent observers while the Asia Singh has enunciated his own five oblivious to this trend. it around them burns and remains mired principles about India-China relations, in sectarianism, terrorism, violence and though he has never packaged them Would, at some point, impaCt instability? Don’t they confront, along together into one general statement, on india’s Core interests. with many other Asian economies, as Xi has done. What are the PM’s five a shared energy security challenge? Panchsheel Power principles in dealing with China? Does it serve China’s purpose to Together, leaders of India and China can construct The first principle he enunciated the two would be characterised both unnerve the countries of Southeast on India-China relations related to by elements of cooperation and Asia, playing one ASEAN member a Panchsheel for a new time. the border issue and was stated by competition. In other words, even while off against another? Is a Sino-Japan him at his very first meeting with his there would be space in the world for conflict in the interests of the rest of counterpart, Prime Minister Wen both countries to rise, and even as that Asia? Should they not work together Sanjaya Baru maintain strategic communication India would be happy to be on Jiabao, in Vientiane in November may have beneficial consequences for to build new regional architectures and keep bilateral relations on the board with each of these five points. 2004. Singh told Wen that India the world, these processes would both for sustained economic growth and here is something about the num- right track; harness each other’s com- The fifth point is the only tricky one. was willing to show accommodation offer opportunities for cooperation, regional security? Don’t Asia’s two ber five in India-China relations. parative strength and expand win-win It leaves undefined what China’s on the border question, “but an as on climate change and energy giants have the responsibility to work TAs free powers, the two Asian gi- cooperation in infrastructure, mutual “core concerns” are. Traditionally, accommodation that must take into security, and generate the potential for with other Asian powers, including the ants defined their relationship in terms investment and other areas; strength- Tibet and Taiwan were China’s “core account ground realities.” competition, for markets, resources ASEAN, Japan, Russia and the US to of the famous Panchsheel — mutual en cultural ties and increase mutual interests”, but more recently, Chinese Singh’s second principle, which is and influence. ensure peace, prosperity and stability in respect for each other’s territorial in- understanding and friendship between spokespersons have referred to their often reported in the media as Wen’s The fifth principle articulated by Asia? Many principles of cooperative tegrity and sovereignty; mutual non- our peoples; expand coordination claims on the South China Sea as a observation but was in fact originally Singh is a more general principle of engagement can be crafted from these aggression; mutual non-interference and collaboration in multilateral af- “core interest”. This has already opened coined by Singh and subsequently re- national security, that one country’s challenges.  in each other’s internal affairs; equal- fairs to jointly safeguard the legiti- a Pandora’s Box for China, setting the peated on several occasions by Wen, policy towards another is defined not Sanjaya Baru is Director for ity and mutual benefit; and, peaceful mate rights and interests of developing cat among the Southeast Asian pigeons says that “the world has enough space just by intentions but also capabilities. Geo-economics and Strategy, co-existence. China’s new leaders have countries and tackle global challenges; and facilitating America’s rediscovery for the growth ambitions of both Intentions can change; capabilities are International Institute for Strategic enunciated a Panchsheel for our times. accommodate each other’s core con- of Asia. India, like many other countries”. This at once places in per- more enduring. Thus, it is not what Studies and Honourable Senior Fellow, China’s President Xi Jinping list- cerns and properly handle problems countries that have economic interests spective a question that is often asked: one country’s political leadership says Centre for Policy Research ed a “five point proposal” for guid- and differences existing between the in the Pacific, would like freedom of Is the rise of China followed by India, that ought to guide another’s policy ing India-China relations. These are: two countries. navigation through these seas. two-fifths of humanity, a zero-sum but what one is capable of doing. Even [Courtesy: The Indian Express]

Born in the same cradle the Time To build a fuTure To our pasT two ancient civilisations have followed separate courses, which is natural. But it is time to draw upon the common

past to build a lasting future. PD Kaushik Adviser - Legal oday, China is India’s largest trading Affairs, ICEC partner. Bilateral trade between China and Hark! The TIndia from a modest 3 billion dollars at the beginning of the 21st century soared to about 80 billion dollars in 2012, a phenomenal increase. Leaders of both countries have confidently proposed the goal of increasing bilateral trade to $100 billion by 2015. If that does happen, what does the future hold? Whenever issues pertaining to Sino-Indian Golden era relations, especially issues beyond trade, are discussed, a natural corollary is to focus the attention entirely on the boundary question. People on both sides of the border seemed to have forgotten their heritage. The best way to explain this phenomenon beyond trade is through the current US influence on the population of India and China which is deep- rooted not because of military power or trading prowess but because of KFCs, McDonalds and Hollywood. These soft issues bring people closer than any trade or military power. More Indians know of Bruce Lee, Jackie Chan, and Jet Li than Dong Feng (Chinese ICBM) or Sinopec (top Chinese company in Fortune 500 list). Likewise, more Chinese know about Amitabh Bachchan and Mithun Chakravarty than Agni or Reliance. Such influence is always deep seated and which brings people closer. Hu Shih, a renowned Chinese philosopher once said, “India conquered and dominated China culturally for two thousand years without ever having to send a single soldier across her border.” More recently, this view was reaffirmed by the Chinese Consul in Kolkata, “India was China’s teacher. Chinese people will never forget that.” Likewise, Indians should also not forget that Chinese gave us vital technologies like paper and printing ink, silk, porcelain, etc. Thus, it is important do some soul searching to understand Sino-Indian relations. We have a history of peaceful co-existence for almost 4000 years, except for once in 1962. For once, if we ignore 1962 as an aberration, then there has not been any recorded instance of armed conflict in our entire history. If we look to the past, we find these two great neighbouring

civilisations in Asia, divided by a natural Chinese literature of the third century is also barrier, experienced their golden ages when full of geographic and mythological elements their people-to-people contact was at its peak. derived from India. A renowned historian, Development of ancient philosophical thinking Arthur Waley, contemplated in his book that the in both China and India thrived during the 6th holy mountain man (Sheng-Hsien) described by century BC. Confucius founded Confucianism Lieh Tzu is an Indian sage in mystical trance. In in China and Gautam Buddha established fact, Chinese scholar’s description of life in India Buddhism in India almost simultaneously. It is is the only authentic treasured source available again a historical coincidence that around the outside the western hemisphere. 3rd century BC, after years of wars, the first In fact, traders, missionaries and scholars united dynasty was established in China by from both sides became the bridge between Shihuangdi, first emperor of China, and in the the two civilisations. The contemporary sub-continent, by Chandragupta Maurya. astronomical expertise of the Chinese, as IndIa conquered evident from their records of eclipses and the and domInated Ancient Cultural Relations Chinese philosophy of their statecraft, all point chIna culturally Sino-Indian cultural relations are often to a Vedic origin. Therefore, it is obvious that associated with the spread of Buddhism in Chinese travellers frequently visited India to for two thousand China, but this is far from true. There are renew their educational and spiritual links. years wIthout ever numerous references to China in Sanskrit texts Buddhism strengthened relations between havIng to send and even the Mahabharata refers to China the two civilisations. Kenneth Ch’en in his book a sIngle soldIer several times, including a reference to presents Buddhism in China stated that the development across her border brought by the Chinese at the Rajsuya Yagya of of neo-Confucianism was stimulated by a the Pandavas. References of China are also found number of Buddhist ideas. Certain features of in Manusmriti and Kautilya’s Arthashastra. Taoism, such as its canon and pantheon, were

also taken from Buddhism. Work and phrases Undoubtedly, there is little dispute that in the Chinese language owe their origin trade was the main motivation for early contact to terms introduced by Buddhism, while in between these two civilisations. Kalidasa in his astronomical, calendric, and medical studies, works had mentioned chinamsuka (Chinese Chinese society benefited from information silk) as one the most fashionable and popular introduced by visiting Buddhist monks from textiles among the richer sections of society. India. Introduction of Buddhism is one of the Likewise, Chinese silk also finds mention during most important events in Chinese history. It the Harshvardhana reign. But along with goods, has played a major role in building the great there was also the flow of ideas. Though the West Chinese civilisation. Chinese philosophy has often contended that merchants were not blossomed afresh after the impact of Buddhism. likely to have interest in philosophy or were not The advent of Buddhism meant a new way of life capable of exchanging ideas, this analogy cannot for many Chinese, and a means of reassessing be true for Indian and Chinese merchants. their traditional beliefs for all of them. The It is evident from the published works that doctrine of karma brought spiritual consolation Indian and Chinese merchants were capable of to innumerable people and this concept is well discussing metaphysical questions. Lu Puwei, entrenched in all types of Chinese literature, the compiler of philosophical encyclopaedia Lu from poetry to popular tales. Shih Ch’un Chiu, was a merchant. In fact, trade It is quite evident that India never imposed routes opened the gateway for Hindu culture to it’s ideas or culture by military force, not even pass to China. Indian arts and sciences were also on the small countries in the neighbourhood. carried to China along with Buddhism. Images, In case of China, it would have been virtually rock cut caves and the Chinese fresco paintings impossible to do so since China had been the too exhibited a distinct Indian influence on more powerful of the two even at that time. So, Chinese art. the expansion of Indian culture into China is an example of human understanding and cultural Education cooperation – the outcome of a voluntary quest Educational ties between India and China for learning. Even when Buddhism had ceased is as ancient as the civilisations. The University to be a vital force in the homeland and long after of Nalanda was built in the 4th Century BC. it had lost its place as the dominant religion in The renowned Chinese scholar and traveller India, it continued to Indianise Chinese life. Hiuen Tsang (600-654 AD) stayed in Nalanda

language when pronounced in the Sanskrit Monks and traders brought statues of Buddha, polyphonic manner was likely to sound hurried models of Hindu temples, and other objects of and abrupt, and to chant Sanskrit verses in art to China. Fa-Hien made drawings of images Chinese prolonged the verse so much that the on Tamralipi. Hsuan-Tsang returned with several rhymes were lost. Hence, to make the Chinese golden and sandalwood figures of Buddha sutras pleasant to hear, the Chinese language and Hui-Lun with a model of the Nalanda chInese scholars had to be modified to accommodate Sanskrit Mahavihara. Wang Huan-ts’e, who came to sounds. Consequently, in 489, Yung Ming, India several times, collected many drawings and Intellectuals Prince of Ching Ling, convened a conference of Buddhist images, including a copy of the have been vIsItIng of Buddhist monks at his capital to differentiate Buddha image at Bodhgaya. This was deposited and revIsItIng between, and define the tones of, the Chinese at the Imperial Palace and served as a model tagore’s lIfe, works language for reading Buddhist sutras and for of the image at Ko-ngai-see temple. The most and phIlosophy. a changing the verses. This led to the emergence famous icon of East Asian Buddhism known as of a new theory called the Theory of Four Tones. the “Udayana” image was also reported to have chInese productIon The Chinese sense of realism was so intense been brought by the first Indian missionaries in of gurudev’s that there was hardly any mythology in ancient 67 BC. However, this influx of Indian art was famous play China, and they have few fairy tales of their incidental and intermittent, and destined to chItrangada, own; most of their fairy tales were originally be absorbed by Chinese art. One of the most brought to China by Indian monks in the first famous caves in China – Ch’ien-fo-tung, Caves opened to packed millennium. Buddhists used of the Thousand Buddhas, – houses at lanzhou them to make their sermons more was painted with murals and unIversIty In 2012. Nalanda University agreeable and lucid. The tales furnished with numerous a full chInese eventually spread throughout Buddha statues and sculptured transcrIpt of the country, assuming a Chinese scenes from the Jatakas. University and left an elaborate Jawaharlal Nehru in his work, the appearance conformable to their rabIndra sangeet description of the excellence and Discovery of India, commented new environment. For example, Science & Astronomy was released purity of monastic life practiced that Sanskrit scholarship must the stories of Chinese plays such A major Buddhist influence at the central in the university. Likewise, have been fairly widespread in as, A Play of Thunder-Peak, A on Chinese science was reflected conservatory of I Tsing (634-712) mastered China. It is interesting to note Dream of Butterfly, and A Record in the scientific thought musIc for the fIrst medicine at Nalanda. Indian that some Chinese scholars tried of Southern Trees were all of itself. Buddhist concepts, mathematics and logic were to introduce Sanskrit phonetics Buddhist origin. such as the infinity of space tIme the same year. cultivated by intellectuals from into the Chinese language. A Indian art also reached China. and time, and the plurality China and Sanskrit treatises on well-known example of this is painting and art criticism like that of monk Shon Wen, who Sadamga (six limbs of paintings), had lived at the time of the Tang Vatsayan’s Kamasutra (erotic dynasty and had tried to develop art), Chitralaksana (marks of an alphabetical system along paintings), etc., formed the Hiuen Tsang these lines in Chinese. foundation of Chinese art during Thus, educational ties between Tang and Sung dynasties (600-1250). The golden the two civilisations brought people closer and age of Chinese culture during the mighty Tangs became the bridge to span the gaps and for the renowned and brilliant Sungs was the direct outcome of better understanding. This not only positively chInese scholar the educational alliance that developed between influenced development of art and culture on and traveller India and China across centuries. both sides but also became a reason for the Sanskrit played an important role in the flourishing trade and commerce. hIuen tsang development of Chinese language. Phrases and (600-654 ad) words coined by Buddhist scholars enriched Literature & Fine Arts stayed In nalanda the Chinese vocabulary by more than 35,000 The literary activity of Buddhist scholars had unIversIty and words. Even today, words of Buddhists origin a permanent influence on Chinese literature. left an elaborate are widely used in China ranging from the In a recent study Chinese scholar Lai Ming folklore of peasants to the formal language of mentioned that a significant feature in the descrIptIon of the the educated class without even realising their development of Chinese literature has been the excellence and foreign origin. The word used in the old Sanskrit “the immense influence of Buddhist literature purIty of monastIc for Chinese emperor is “deva-putra”, which is an on the development of every sphere of Chinese lIfe practIced In exact translation of “Son of Heaven” in Chinese. literature since the Eastern Chin period (317 Likewise, chana in Chinese means kshana in AD).” The Buddhist sutras were written in the unIversIty. Sanskrit (instant), t’a finds its roots in stupa combined prose and rhymed verse, a literary for pagoda, mo li from mallika for jasmine, etc. form unknown in China at the time. Chinese

of worlds and time-cycles or Hindu Kalpas before the T’ang period. Numerous Chinese (Chieh) had a stimulating effect on Chinese translations of Indian mathematical and inquiry, broadening the Chinese outlook astronomical works such as Po-lo-men Suan fa and equipping it to investigate scientific (Arithmetical rules) and Po-lo-men Suan King problems. For example, the Hindu doctrine are mentioned in the annals of the Sui dynasty. of pralayas, or recurrent world catastrophes in There is definite evidence of Indian influence on which sea and land were turned upside down Chinese astronomy and calendar studies during before another world was recreated to go the T’ang dynasty. During this period, Indian through the four cycles, namely differentiation astronomers were working at the Imperial (ch’eng), stagnation (chu), destruction (juai), Bureau of Astronomy which was assigned to and emptiness (kung) – were later adopted prepare accurate calendars. Yang Ching-fang, a by NeoConfucianists and was responsible for pupil of Amoghavajra (Pu-k’ung), wrote in 764 the Chinese recognition of the true nature of that those who wished to know the positions of fossils long before they were understood in the five planets and predict what Hsiu (heavenly Europe. Again, the Indian doctrine of Karma mansion) a planet would be traversing should (tso-yeh), or metempsychosis, influenced adopt the Indian calendric methods. Five years Chinese scientific thought on the process of before that, Amoghavajra had also translated an kfcs, mcdonalds biological change involving both phylogeny and Indian astrological work, the Hsiu Yao Ching ontogeny. Buddhist iconography thus contains (Hsiu and Planet Sutra), into Chinese. and hollywood. a biological element. During those times, there were three In the 1960s and these soft Issues Buddhism introduced a highly developed astronomical schools at Chang-an: Gautama 1970s bollywood brIng people closer theory of logic, both formal and dialectical, as (Chhuthan), Kasyapa (Chiayeh), and Kumara movIes struck an than any trade or well as epistemology. Tantric Buddhism reached (Chumolo). In 684 one of the members of China in the eighth century and the greatest the Gautama school, Lo presented Empress emotIonal chord mIlItary power Chinese astronomer and mathematician of his Wu with a calendar, Kuang-tse-li, which was In the hearts time, I-hsing (682-727), was a Tantric Buddhist in use for three years. Later, in 718, another and mInds of the monk. The work of Indian mathematicians was member of the school, Hsi-ta (Siddhartha), chInese and people also taken eastward by Indian Buddhist monks presented the Emperor a calendar, Chiu-che- on the street hum and professional mathematicians. li, which was almost a direct translation of Evidence reveals that works on Indian an Indian calendar, Navagraha Siddhanta of the tunes of songs astronomy were in circulation in China well Varahamihira, and which is still preserved from these fIlms among the T’ang period collection. It was in even today. In use for four years. In 729 Siddhartha compiled recent tImes movIes a treatise based on this calendar which went their golden ages almost at the same time when large. His naming of his only son as Yin-Hua lIke 3 IdIots and the on to become the greatest known collection goods and ideas were exchanged freely between (meaning India-China) shows the extent of of ancient Chinese astronomical writings. the people on both sides of the Himalayas. his love for India and China. His death on the LIfe of PI have also This was the first time that a zero symbol had battle lines, transformed a mortal Indian into been well receIved. appeared in a Chinese text, but, even more Glimpses into Modern Sino- a Chinese legend. In his condolence meeting importantly this work also contained a table of Cultural Relations those in attendance sang – sines, which were typically Indian. I-hsing (682- The end of the golden period in both From across the Indian Ocean 727) was associated with the Kumara School countries ended the centuries old ties because You came to North China, defying the bitter cold and was very influenced by Indian both civilisations suffered alien invasions and For the world of tomorrow, astronomy. Indian influence is also political instability and later experienced a long And spent four autumns here, fighting a bitter evident in the nine planets he introduced colonial regime. China suffered more because fight. into his calendar, Ta-yen-li. The nine planets on one side the West was occupying their land And then at the end of the long dark night included the sun, moon, five known planets, and on the other it suffered Japanese oppression. The stream of your life ceased to flow; and two new planets, Rahu and Ketu, through The rich ancient cultural heritage on both sides Oh, beloved Comrade Kotnis Hua, which the Indian astronomers represented the became a thing of the past and was reduced Your giant image ascending and descending nodes of the moon. to ruins. Will through our actions, every day, Similarly, Chinese traditional medicine Dr. Dwarkanath Kotnis, whose mortal Remain untarnished in our minds forever. was also influenced by Indian Ayurveda. remains rest in the North China Martyrs’ Alternatively, Chinese alternative form of Memorial Cemetery in Hebei Province, Cultural exchanges continued during the medicine famously known as acupuncture also sacrificed his life in the service of the Chinese days of struggle for self-governance. Nobel influenced Indian combative research studies. people during the Sino-Japanese war. As a part laureate Rabindranath Tagore is another Indian In fact, there are a lot of published works which of the 1938 medical team of five Indian doctors, who is revered and loved by all. Since 1911, highlight peaceful coexistence of the two he stayed on in China working in mobile clinics Chinese scholars and intellectuals have been ancient civilisations of the world who flourished to treat wounded soldiers. He is one of the visiting and revisiting Tagore’s life, works and because of mutual cooperation and experienced Indians who is most revered by the Chinese at philosophy. A Chinese production of Gurudev’s

famous play Chitrangada, opened to packed established in Shenzhen University, Jinan the broad houses at Lanzhou University in 2012. A full University and Fudan University. contours of IndIa- Chinese transcript of Rabindra Sangeet was The broad contours of India-China cultural chIna cultural released at the Central Conservatory of Music cooperation was laid down in the Agreement on for the first time the same year. Cultural Cooperation signed in May 1988, which The Reformer cooperatIon was In the 1960s and 1970s Bollywood movies provided for an executive Cultural Exchange eng once said he had three vices: laId down In such as Do Bigha Zameen, Awara and Sree 420 Programme (CEP) for implementation. In “I drink, I spit, and I smoke.” the agreement of Raj Kapoor and Noorie struck an emotional 2010 Chinese Premier Wen Jiabao and Indian DCompared to the vices of his on cultural chord in the hearts and minds of the Chinese Premier Manmohan Singh agreed to cooperate predecessor Mao, these were not very cooperatIon and people on the street hum the tunes of songs in a gamut of cultural fields including exchange interesting. Unlike Mao, Deng was from these films even today. In recent times of visits of performing artists, officials, writers, a family man with loving children sIgned In may 1988, movies like 3 Idiots and the Life of Pi have also archivists and archaeologists, organizing and grandchildren. He spent the whIch provIded been well received. In 1986, a film delegation cultural festivals, film festivals and exchanges last 10 years of his life trying to shed for an executIve from India had visited China and since 1988 in the field of mass media, youth affairs power. If the story of revolution is cultural exchange both countries have been bringing their people and sports. While young China expresses a one of armies battling across a stormy together through structured Cultural Exchange great desire to know Buddhism, Bollywood landscape, the tale of reform—in some programme Programmes. and Yoga, young India admires the Chinese circumstances also a saga—is a story of (cep) for In the last 30 years or so, both countries economic miracle. meetings, memos, and nuanced signals ImplementatIon. have made remarkable progress. In 2003, Prime Lately, both countries have emerged as in editorials in the official press. For In 2010 chInese Minister Vajpayee had committed to build powerhouses of the world economy and face this reason, a biography of Deng is premIer wen an Indian style Buddhist temple in Luoyang, similar challenges of development. Both inevitably a drier document than one Henan province, which was inaugurated in countries together comprise two-fifth of of Mao, often verging on general JIabao and IndIan May 2010. In February 2007, the Xuanzhang humanity and yet they both lag behind the West political history and the study of premIer manmohan memorial hall was inaugurated at Nalanda. in economic and social development in the 20th public policy. But not if the biography sIngh agreed to In June 2008, two joint stamps were released, Century. However, the western hemisphere has is written by one of his own – his st cooperate In a one depicting the Mahabodhi temple at concluded that 21 Century belongs to Asia, daughter Deng Rong. Bodhgaya and the other depicting the White largely to the two nations – China and India. Though small in stature, Deng, gamut of cultural Horse temple at Luoyang. A Centre for Indian Indeed, the future stands with the two who died in February 1997, possessed fIelds studies was set up in Peking University in neighbours today just as it did in ancient times. the courage of several men. It was this 2003. Chairs of Indian Studies have also been Undoubtedly, history repeats itself. The two bravery which helped him to defeat nations had come close with the opening of the outdated leftist dogma, initiate trade routes in ancient times. It had paved the reforms and open China to the outside way for exchange of ideas and development of world and catapult millions of Chinese knowledge, advancement of literature and fine into prosperity. arts, explorations of new frontiers of science And it is this daring and resolve in the face of overwhelming Sichuan, Deng turned to revolutionary thought early, and his and metaphysical realms. Ultimately, when the odds that is captured in probably the best book on the résumé as a Communist is almost as long as Mao Zedong’s. civilisational interactions and intercourses had late leader. Deng Xiaoping and the Cultural Revolution – a Deng rose quickly through the party ranks once the moved beyond trade, the impact was far more Daughter Recalls the Critical Years provides an observant, Communists seized power in 1949, becoming general deep rooted and widespread in society, aptly personal insight into the life of Deng as seen through the eyes secretary in 1955. Deng’s pragmatic ideas for economic termed as the golden period. of his fourth child. development, however, often put him at odds with Mao, who Today the trade routes have reopened. Now Deng Xiaoping’s greatest contribution to modern China emphasised egalitarian policies and revolutionary zeal. it is the time to look beyond trade. Intense and came when this revolutionary was well into his 70s, and the Deng’s remark about the irrelevance of colour to a cat’s increased interactions and intercourses beyond backlash against the Cultural Revolution had propelled him mice-catching ability came during one of their feuds over trade will help to revive the golden period to the top of China’s ruling elite. economic policy in the early 1960s. Mao once complained once again. Both India and China have vibrant Ascending to power in 1978, Deng ridiculed the Cultural that Deng treated him “like a dead ancestor” and later cultures and people. Buddhism, Hieun Tsang, Revolution slogan that held it was “better to be poor under quipped, “Which emperor authorised that?” when Deng Tagore, Dr. Kotnis, Nalanda, yoga and cinema are socialism than rich under capitalism.” The blunt, practical ordered the turnover of collective lands to individual peasants only symbols of our long tradition of exchange. Deng offered instead: “Poverty is not socialism.” He to help relieve the famines of 1959-62. They are testimonies of our shared heritage. The encouraged the creation of a market economy and capitalist- Perhaps the most remarkable turns of Deng Xiaoping’s momentum has been set and the pace can only like enterprises, and by the early 1990s his reforms had helped career were his amazing comebacks from three political increase in the 21st century. While writing this lift an estimated 170 million peasants out of extreme poverty. purges. Deng’s most glorious year was 1984, when he reached piece, I suddenly realised that both countries Yet he refused to abolish, either because of temperament 80 years of age. China’s food supply hit 400 million tonnes are like the wings of a mythical phoenix and or politics or both, the power of the Communist Party over of grain, making the nation self-sufficient. That same year between them is the greatest mountain range the lives of ordinary Chinese citizens. To do so would have Deng successfully negotiated an agreement with the British which acts as its backbone. Both the wings must meant abandoning the Marxist-Leninist-Maoist ideology on government to return Hong Kong to Chinese control in complement each other to gain pace and fly which the People’s Republic of China was founded in 1949. 1997, the year Britain’s 99-year lease on much of the territory into the 21st Century. I strongly believe that the Born in 1904 to a prosperous landowner in a village 65 was to expire. Deng left China a more stable and prosperous phoenix shall fly!  miles from Chongqing in the south-central province of nation than at any time in the 20th century. 

Nie Yuanzi, who was secretary of the party and government, were put in a the mud.” A draft of the editorial was EXClusivE Down mEmoRy lanE: DEng Xiaoping Communist Party’s general branch very difficult position by the sudden whipped together overnight by Chen of the philosophy department. The anarchy. Boda, and published the next morn- poster attacked the University’s party May 29. Liu Shaoqi, Zhou Enlai, ing without prior notice to the Central Committee, plus the Party Committee and Deng Xiaoping, the three Politburo Committee. That night, the Central of the Beijing Municipal Government. Standing Committee, summoned People’s Radio Station broadcast the Instigated and planned by Kang Sheng, all of the concerned departments to poster of Nie Yuanzi and her six col- this was the notorious “First Marxist- discuss developments in the Cultural laborators. A Daughter’s Leninist Poster”. It launched the Revolution. It was decided to send Liu Shaoqi, Zhou Enlai and Deng Cultural Revolution. one work group under Chen Boda to Xiaoping were completely taken by sur- The poster threw Peking University the People’s Daily, Peking University. prise. In the days that followed, People’s into an uproar. My sister Deng Nan, Zhou Enlai telephoned Mao Zedong in Daily issued a series of provocative edi- who was a student there, after reading, Hangzhou, telling him of the decision, torials, reports and articles. The situa- immediately phoned my mother. “Nei and requesting approval. A formal tion veered sharply downward, and the Journey Yuanzi is a bad person,” Mama said. request, signed jointly by Liu Shaoqi, movement spread swiftly throughout “She behaved badly in Yan’an. Don’t Zhou Enlai and Deng Xiaoping, was the land. tell anybody I said so!” formally dispatched by telegram to On June 3, Liu Shaoqi hastily con- Deng Rong recalls the critical years of her father, She was reflecting what my father Mao on the 30th. His reply came the vened an enlarged session of the Stand- thought. He was very much against this same evening: “I agree to this course ing Committee of the Politburo to Deng Xiaoping (1904-1997). sudden assault. of action”. discuss how to deal with the situation, The storm had begun. No one and invited responsible members of Deng Rong , daughter of Deng Xiaoping (China’s reformist could stop it. A thousand more posters Liu Shaoqi waS not aware related ministries and commissions to went up at the University expressing of Mao’S intention, nor waS attend. The meeting reached a general leader who pioneered ‘socialism with Chinese characteristics’ a broad diversity of opinions. Posters consensus on Eight principles to gov- criticizing the deans of nearly every Deng Xiaoping, nor waS the ern participants in the Cultural Revo- and promoted socialist market economy) pens her father’s college and middle school and voicing high-ranking party LeaDerS. lution: distinguish between internal declarations of revolt proliferated and external matters; keep confidential experiences in her book, Deng Xiaoping and the Cultural throughout the city. After June 1, a nor were they prepareD for matters secret; do not put up posters in Revolution. The book, first published in China 2000, has flurry of posters flew in all of Beijing’s the thunDercLap eventS, the streets; no linking of revolutionary schools and academies. An irresistible groups in different organizations; no been translated and published in other languages. It is being surge spread like the plague. The schools which rapiDLy foLLoweD, anD parades and demonstrations; no large were chaotic. Revolts multiplied and Mao’S coMpLeteLy irrationaL denunciation meetings; no surround- translated into Hindi by ICEC. We bring our readers excerpts: became more intensive. In some schools ing of the homes of accused persons; the principals and teachers excoriated, thoughtS anD DeeDS. and no beatings or vilifications. even beaten. Most of the capital’s schools and On May 28, the Central Commit- While the Central Committee top academies were virtually paralyzed. tee officially established a Cultural leaders were busily trying to cope with It was decided to send work teams to Trouble Begins at Home Revolution Leading Group. On the in- the confusion, the movement suddenly them, or any place where trouble erupt- structions of Mao Zedong, it was head- changes. On June 1, Mao Zedong stated ed – quickly, like fire brigades. ao Zedong was not in They shared the responsibility nor was the high-ranking Party lead- ed by Chen Boda, with Kang Sheng as his approval of Nei Yuanzi’s poster. Deng Xiaoping said the Eight Prin- Beijing, but he ordered the for general work in the Central ers. Nor were they prepared for the advisor. Jiang Qing and Zhang Chun- He directed the Xinhua News ciples should be disseminated immedi- Mconvening of an enlarged Committee, but in many respects, thunderclap events, which rapidly fol- qiao were vice-leaders. Yao Wenyuan Agency to broadcast it in its entirety, ately. They should be announced at a session of the Politburo, to be chaired their ideas were not in harmony with lowed, and Mao’s completely irrational was named a member. These people, and ordered its publication by all huge mass meeting. We must delve to by his successor, Vice-chairman of the his own. Naturally, he was most angry thoughts and deeds. And when they who formerly had been scheming in newspapers and periodicals. He said: the heart of the matter, he said. Central Committee and the President with the higher-ranking Liu Shaoqi. finally did realize what was happening, private, could now openly play major “This marks the commencement of The Beijing Municipal party Com- of the People’s Republic, Liu Shaoqi. In keeping with his goal of “con- they couldn’t understand it. It was this roles. In full armor and war paint, they the smashing of Peking University’s mittee promptly dispatched work Liu didn’t realize that everything tinuing the revolution under the dic- “slow-wittedness” on their part which took the stage. reactionary fortress.” teams to a number of colleges and Mao did at that time, and many, many tatorship of the proletariat” so as to made them “unable to keep up” with Mao’s fundamental principle was People’s Daily on June 1 immediately middle schools. But because persons things, which displeased and angered prevent “revisionism” and a “return of developments, and commit “errors” “smash first, then build”. He believed published an editorial entitled behind the scenes were backing the re- him, were not simply brought on by capitalism”, Mao had already made up which, of course, resulted in their be- that “only chaos under the heavens “Sweep Away All Ox Demons and bels, not only were the work teams un- the immediate matters of Peng Zhen, his mind. He decided to replace Liu ing drowned in the mad floodwaters of can bring stability throughout the Venomous Spirits”. able to stop the spread of the turmoil, Luo Ruiqing, Lu Dingyi and Yang Shaoqi by Lin Biao as his designated the “revolution”. land.” From his vantage point away The editorial called on the masses they found it increasingly difficult to Shangkun. successor as leader of the communist On May 25, the day before the from the scene of action, he found to “sweep away the ox demons and ven- control the situation. Liu, Zhou and After the failure of the “Great Leap party. Lin always made a point of pos- meeting scheduled to criticize Peng, the destruction and turmoil in Beijing omous spirits smothering our ideology Deng repeatedly to analyze the numer- Forward” in 1958, and particularly after ing as being assiduously “faithful” to Luo, Lu and Yang, a large poster eminently satisfactory. and culture”, to “squeeze the juice out ous complications that were emerging. the rectification of the rash policies in Mao and all of his theories. was put up on the campus of Peking But in Beijing, Liu Shaoqi, Zhou of the so-called ‘experts’, ‘scholars’, ‘au- Many important policy questions the 60’s, Mao started being dissatisfied Liu Shaoqi was not aware of Mao’s University. It was signed by seven Enlai, and Deng Xiaoping, responsible thorities’ and ‘venerables’ of the bour- could not be decided because Mao was with Liu Shaoqi and Deng Xiaoping. intention, not was Deng Xiaoping, persons, including a woman named for running the major affairs of the geoisie, and drag their prestige through not in Beijing. On June 9, Liu, Zhou

courtesy: www.postmastersart.com courtesy: www.postmastersart.com

that victory? After all, our country is a dictatorship of the proletariat led by the Communist party. The vast majori- They didn’t know that their meth- the Cultural Revolution Group under ty of the teachers are good. I don’t agree ods were basically at variance with Mao Lin Biao and Jiang Qing. Deng Xiaoping and his family that all the teachers are bad!” Zigong’s intentions. Or that the clique In July, the situation was tense. The I’ve reported these words in detail in the Cultural Revolution Group was Central Committee convened three because they show two things: First, even then gathering itself to spur on the meetings, on the 13th, the 19th, and the group which had gone to Peking Uni- work team, should make distinctions. that Deng Xiaoping ideologically and students and support their rebellion. 22nd, to discuss the work teams. Chen and Deng traveled to Hangzhou and versity, now sent work teams to a num- Your job is to educate the kids, help as a matter of policy rejected the theory For Jiang Qing and her gang thought, Boda, speaking on behalf of the Cul- reported to Mao Zedong. From the ber of colleges, academics and schools. improve their ability to analyze. Have of “rebellion”. Second, that he didn’t see a state of utter confusion provided the tural Revolution Group, said the work 10th to the 12th, Mao conducted two Liu and Deng hoped in this way they beaten anyone? Hitting shows the pint of the political movement Mao best stage they could come forward on teams suppressed democracy and threw meetings where the Cultural Revolu- the Party could maintain leadership you have no brains, that reason isn’t Zedong had launched, today nothing and perform. cold water on the masses. He demand- tion was discussed. They were quite of the movement and halt the turmoil your side. of going along with in word or deed. The Cultural Revolution was con- ed that they be withdrawn. informal, and touched on every aspect, and restore order. They supported “Criticisms should be well pre- Because of his criticisms of the way trived from top to bottom. Lin Biao, Liu Shaoqi, responding angrily, including speculation that it might go the work teams, and met separately pared. Facts must be checked, and pre- the work teams were performing, the Jiang Qing, and the rest of their clique got into a heated argument with Kang on for another half year or so. But there with various members of the team to sented in a calm reasonable manner. turmoil in the schools and in society grabbed the “revolutionary” enthusi- Sheng. Deng Xiaoping, usually so were no specific proposals on how it keep tabs on what was happening and Some people may be a part of a ‘black generally subsided a bit. Anarchy was asm and naïveté of the students, in- restrained, jumped to his feet. should be conducted. provide guidance. gang’. Most are not. If everyone who halted. On June 28, he and Liu Shaoqi flaming them with a lot of demagogic Pointing a finger at Chen Boda, As to the work teams, Mao said it On June 4, Deng met with the said anything wrong were marked bad, convened an enlarged session of the flummery. As a result, the work teams he shouted: “You fellows say we’re wasn’t good to send them too quickly. work team, which was operating in the there wouldn’t be any good people. standing committee of the Politburo. sent in by the Central Committee were afraid of the masses. Go and see for They weren’t prepared. It was better to Girls’ High School affiliate of Beijing Don’t call a struggle meeting if there They stressed that the movement unable to calm things down. In fact, in yourself! Pull out the work teams? let things bubble for a while and have Normal University. They talked about isn’t sufficient evidence. Don’t permit must be orderly, and called for specific a number of schools they were hotly Nothing doing!” some pitched battles. That would clar- the current wave against the teachers any torture in disguise, or putting on principles easier to enforce. opposed by the “revolutionary masses”, The open clash between the Central ify the situation. Then the work teams accused of being “ bourgeois academic dunce caps. Later, you should apologize Although completely unprepared and driven away. Committee and the Cultural Revolu- could be sent in. authorities”. for things you’ve done wrong. for his sudden insane movement, Liu Because of their different attitude tion Group, from ideology to language, Liu, Zhou and Deng returned to “If they really are cultured, you “Political questions must be solved and Deng made rational decisions, cor- toward the work teams, the students grew white hot. Beijing. Zhou was due to go abroad. should welcome them,” Deng said. in a political manner. There are plen- rect decisions. Like the vast majority of split into two factions: the “conserva- The turmoil continued for more He entrusted responsibility for guiding “Girls’ High has a pretty fair record in ty of good Party Committees in the Party and government functionaries. tives” and the “rebels”. These were, in than a month. In some schools Red the movement to Liu Shaoqi and Deng math and physics. Good schools are schools. Most of the principals and as- They hoped the schools would return essence, a manifestation of the oppos- Guard units were formed. Meetings Xiaoping. Starting from 6th June, the famous; everybody knows about them, sistant principals are good, too. What to normal, that the students would go ing stands between the top leadership excoriating the schools’ leaders, the new Beijing Municipal party Commit- they have standing. It takes good teach- sense would it be to wreck the Party, back to class, and that the capital would in the Central Committee headed by “black gang”, the “ox demons and ven- tee, learning from the experience of the ers to cultivate good students. You, the and the Youth League? Would you call be peaceful again. Liu Shaoqi and Deng Xiaoping, and omous spirits” grew in intensity. Some

victims were tormented and beaten. Liu, Deng, Zhou Enlai, and other Zedong in the Cultural Revolution! ly, I don’t know either. I believe many our school’s pro-work team faction. As their eagerness to see Chairman Mao, Work team advocated clashed with high leaders spoke to the students and After grandly swimming across the comrades in the Central Committee, we listened, we wept. Deep inside we people in the rear scramble atop desks those opposed. Factionalism gave rise urged moderation. They sounded rather Yangtze at Wuhan on July 18, Mao and many members of the work teams, could sense the opposition and frustra- and chairs. to the formation of factions. weak and helpless. These old veterans returned to Beijing. don’t know either.” tion behind the words spoken by my “Long live Chairman Mao!” they There were no more classes in high who had devoted their lives to the Mao shunned Liu Shaoqi, who Liu, Zhou and Deng, although father’s generation. shouted emotionally. schools and colleges. Debates went on people’s revolution were flabbergasted came to report to him, on the excuse, accepting responsibility, were speaking I remember, too, when the meeting The solemnity and heaviness that day and night. Members of the Cul- who had devoted their lives to the he needed rest. But he listened to from their hearts. was ending, how Mai Zedong suddenly had marked the start of the meeting tural Revolution group visited all the people’s revolution were flabbergasted reports by members of the Cultural As one of the Red Guard represent- appeared on the presidium. He bore an was instantly converted into a sea schools, fanning the flames, urging re- by the “revolutionary rebels” and their Revolution group. atives from my school, I also attended. I aura of incomparable greatness as he of joy. From that day on, all wraps were bellion. Liu and Deng had no choice twisted ideas. From the following day till 23, in remember it very clearly. A hush fell on waved a greeting to the huge assemblage. off Mao Zedong’s Great Proletarian but to go to the schools personally and Mao Zedong had instigated the response to Mao’s instructions, Liu that board presidium; you could have The audience went wild. Young Red Cultural revolution. Implacably it reason with the students. great Proletarian Cultural Revolution. convened a meeting to report on the heard a pin drop in that spacious hall Guards excitedly jumped and cheered, rolled into the next stage: “To rebel I remember one time when Papa He supported the rebellion. While progress of the Great Proletarian Cul- of ten thousand. We were members of tears streaming down their faces. In is justified!” went to a college to join in the discus- “all was chaos under the heavens” in tural Revolution. There were strong sion and answer students’ questions. Beijing, he was in Hangzhou by the disagreements. The Cultural Revolu- tion Group asserted the work teams sent by the Central Committee were Down with Liu, Deng, Tao! courtesy: http://english.cri.cn suppressing the students. Mao said he felt very badly by what n 1967, the movement had al- and began preparations for huge mass better to check through your things he found in Beijing. It was cold, quiet. ready been in existence for over a denunciation meetings, intending to again and again, and be prepared for Some people were even suppressing the Iyear. Chairman Mao had started it, thereby hasten Mao’s support of their the worst.) student movement. This was wrong, he pushed its development, supported the approach. Our furnishings were simple, no said. It must be changed immediately. rebellion of the “left” factions, criticized On July 15, the Central Commit- luxuries, no special frills. Mama had On July 24, Mao called a joint and eliminated all “ reactionary” forces tee General Office submitted a request a few bottles of perfume given to her meeting of the Politburo Standing impeding the movement’s expansion, for instructions to the Cultural Revo- by Russian friends when she was in the Committee and the Cultural and established new “revolutionary” lution group regarding proposed de- Soviet Union. They had never been Revolution Group. He said the work governing bodies. All achieved success nunciations of Liu Shaoqi. Chen Boda, opened. My two sisters and I took teams had a bad effect; they hindered exceeding his expectations. If that was as head of the Group, put a check be- them to the bathroom and poured the movement. He ordered that they his goal, he should have been satisfied. side Liu’s name, and added the names: them down the sink, carefully opening be removed. Wasn’t his aim to guarantee that “Deng, Tao and their wives.” the taps and flushing them away. The With the work teams thus labeled, China would not go revisionist, to pre- In preparations for a mass meeting mixture of the water and the perfume Liu and Deng, who had deployed serve forever the revolutionary spirit denouncing Liu Shoaqi, Jiang Qing, must have caused some sort of chemi- them, of course had “committed and a revolutionary line, to inject by kang sheng and Chen Boda, on July cal reaction, for the drain gurgled and an error”. revolutionary methods fresh into or- 18 ordered a search of Liu’s home, spewed up a lot of white bubbles. On July 29, at a meeting of ten ganizations, personnel, and even high and decreed that he be deprived of Looking back, the incident was thousand called by the Beijing governmental authority? his freedom. Our old orderly Wu laughable, and very stupid: we got Municipal party Committee in the But, as Mao, himself often said the Hongjun called our mother to a hall- rid of perfume but kept the bottles. It Great Hall of the People, the work movement kept accelerating, like an way in the rear of our house and said wouldn’t have been too bad if the re- teams were officially dissolved. over-loaded truck hurtling forward at softly: “They searched Liu Shaoqi’s bels found bottles filled with perfume Liu Shaoqi, Zhou Enlai and Deng place today, and went off with a but if they found empty bottles they Deng Xiaoping and his granddaughter full speed. Nothing in the world could Xiaoping all spoke. resist the fierceness of its spring, the whole truckload of stuff. I hear they’ll could have claimed we made lavish use “It must be made clear that the surge of its impetus. Not even Mao be coming here tomorrow. Better get of perfume in a typical affluent bour- shining waters of West Lake voicing dispatch of the work teams to the col- himself. Its rhythm, its direction, could your things in order, fast!” geois manner! Fortunately, the bottles Other central committee leaders and concepts opposed to those of the leges and middle schools by the Bei- no longer be controlled – even more so People today cannot imagine how escaped the search party’s notice. Jiang Qing and members of her group leaders in Beijing. jing Municipal party Committee was because it was an incorrect movement frightening it was to have your house My greatest regret is that we de- were also there. The hall was crowded, On June 21, he said the Cultural done in accordance with the decision based on erroneous ideology and a searched. If a rebel faction found some- stroyed photos we were afraid the re- slogans shook the heavens. Student Revolution was a political struggle, of the Central Committee,” Deng said. wrong appraisal. Because of its flawed thing they called “criminal evidence” bels would seize upon as “criminal evi- emotions ran high. a class struggle. This is not the time “Some comrades say old revolutionar- nature, it could only stagger along in the house of an innocent person it dence”. They showed various members Beneath the blinding floodlights, to send work teams into the schools, ies are faced with new problems. That on a twisting path beyond the will of might lead to his death. Although we of our family together with Peng Zhen, Jiang Qing screeched: “learn from the he said. Let there be more upheavals for certainly is the case.” any individual. children had heard a lot about these Luo Ruiqing and Yang Shangkun, young Red Guards! Salute the young a while. Zhou Enlai said: “The majority of Mao wanted the criticisms of Liu searchers, we had not taken part in and pictures of Mama when she was Red Guards!” In a letter to Jiang Qing, dated July the comrades in the work teams are and Deng to be different from the criti- them ourselves, nor had we seen them a young student at Peking University. With Wang Li, then a member 8, he wrote: “Complete confusion leads good. Old revolutionaries are indeed cisms of Peng Zhen, Luo Ruiqing, Lu in operation. After Liu Shaoqi’s house We consigned all of them to the flames. of the Cultural Revolution group, to complete stability. This task today faced with new problems.” Dingyi and Yang Shangkun. This dis- was searched, we knew we had to pre- They are gone forever. translating, Chen Boda made a speech for the entire communist party, for To the huge audience Liu Shaoqi pleased Lin Biao and the Cultural Rev- pare. We examined everything careful- The next day, July 19, the rebel fac- in his incomprehensible Fujian Dialect. the entire nation, is to fundamentally said: “You’re not very clear on how to olution group. They wanted immediate ly. In those troubled times there was no tion in Zhongnanhai summoned Papa He looked very proud of himself, destroy the rightists.” conduct the ‘Great Proletarian Cultur- complete overthrow of Liu and Deng, limit to your trepidation. (Whether or and Mama to Huairentang, which was absolutely elated. Another “battle cry” by Mao al Revolution’. You’re asking us. Frank- not you were being investigated it was next door, saying they needed to ques-

tion them. After my parents left, mem- nothing. So they came to where we leave empty-handed. man Mao asking him to see him. Please overthrow Deng. mon Liu Vanguard” and proposed that bers of the rebel faction came to our children lived. Again a thorough search The house search meant that Papa forward it for me.” On August 1, Papa’s secretary Wang the rebels assemble a huge mass denun- house and began to search. ended in failure. was formally “overthrown”. On July 29, In his letter to Mao Zedong, Ruilin, and his bodyguard Zhang ciation meeting on Tiananmen Square. They went first to my father’s office My brother Feifei was home that “revolutionary masses” in Zhongnan- Papa said: “ When we met in May, Baozhong, were both transferred. A At the same time they argued the re- and his reception room, then to our day. They asked him what he was do- hai in the name of his Party branch de- Chairman, you said I could write to new “secretary” was dispatched. bel factions in Zhongnanhai, site of living quarters. They searched high and ing. He said he was reading Journey to nounced Papa, and gave him three days you directly if it became necessary. The first thing he did was to sum- the Central Committee and the State low, but found nothing. the West (a Chinese classical novel). In within which to present a “request for This morning, July 29, Party branches mon Mama to his office. A slogan on Council, to organize criticism and de- Papa took no notes at meetings, fact, he had in his pocket the cards my punishment”. It announced that from in several organizations held meetings the wall read: “Leniency to those who nunciation sessions against Liu Shaoqi, or any place else, ordinarily. He never father played bridge with. Luckily, they that day on, Papa and Mama had lost at which they exposed and denounced confess; strictness to those who refuse.” Deng Xiaoping and Tao Zhu. wrote out his speeches in advance. At didn’t search Feifei or they would have their freedom of movement. me for errors and crimes. They ordered The “secretary” sternly demanded that Today, more than 30 years later, I most he jotted a few words on a slip of discovered criminal evidence – Deng The slanders and denunciations me to submit requests for punishment Mama expose my father. remember the situation very well. Our paper. He did write on documents is- Xiaoping’s playing cards! (I remember were more than Papa could bear. within three days, and thoroughly “Comrade Xiaoping never tells the family already knew what was coming, sued to him, inscribing his comments one poster which listed among Papa’s He wrote a letter of Wang Dongxing reveal how I committed the crimes of family anything about his work, or re- and we were ready. Mama instructed and handling the documents to his sec- “crimes”: “He liked to play bridge and as follows: opposing the party, socialism, Mao garding Party matters,” Mama said. “I us children not to leave the house, no retary to be returned the same day he enjoy himself.”) “You are no doubt aware of the Zedong Thought, and Chairman Mao. know nothing about them. As to docu- matter what happened. received them. He retained no docu- The rebel faction demanded that meeting of my Party branch this morn- They also imposed certain restrictions ments, the ones that require immediate The Zhongnanhai rebels swarmed ments. His office was always clean and we produce our money and our de- ing. In addition, the Foreign Lan- on me. I am truly at a loss as to what attention he disposes of the same day. into our home. They took Papa and neat. Except for few books, there was posit books. They thought our family guages Institute wants me to hand in to do. I sincerely hope for a chance The rest he sends back to the General Mama out to the garden and surround- nothing in it. was rich. It never occurred to them that a confession before July 30. My Party to seek your instructions personally. Office. If you want to see them, you ed them. Rebels pushed their heads A half-day’s search produced not because we had a large family with lots branch has given me three days. It is I know this request may not be can look at them there.” down and forced them to bend at the even a straw for the rebel faction. “Not of expenses, we didn’t have a penny put only reasonable that I should request appropriate, but I have no other way Clearly the “secretary” couldn’t fish waist, demanding that they confess. a single note,” the searchers fumed. away, in fact we owed the Office 200 instructions from Chairman Mao and to express the feelings in my heart. If anything out of Mama. He brought his Roars of “Down with them!” shook “How can a general Secretary operate Yuan we had borrowed. Instead of un- the Central Committee on how to deal you are too busy, Chairman, perhaps inquisitions to end. the air. A string of shouted accusations that way!” earthing evidence of Deng Xiaoping’s with such matters. Phoning you is not some other comrade can come and talk The searches were over. The next followed, and a Babel of voices yelled They couldn’t leave with absolutely corrupt life-style, the rebels had to convenient. I enclose a letter to Chair- with me.” step was the denunciation meetings. questions. I remember it clearly. Dur- Mao Zedong did not receive On August 5, to celebrate the first ing the meeting, a girl rebel, who had Deng Xiaoping again. It was already anniversary of Mao Zedong’s poster been brought in from Shanghai to courtesy: www.chinatopfamily.com impossible to divert the surge to “Bombard the Headquarters”, Xie Fu- work in the Central Committee Sec- zhi and Qi Benyu went to the “Sum- retariat, screeched in a voice that was piercingly shrill. Mama’s eyeglasses had been removed. With her head down, she tried to steal a glance at Papa, but she couldn’t see clearly. Papa was rather deaf. Standing half-bent, he could hardly hear anything, and could answer none of the questions. He tried to offer an explanation, but the words were barely out of his mouth when he was rudely interrupted. The rebels said he had a bad attitude, that he was feigning ignorance to avoid replying. Again there was a clamor of shouts and criticisms. The rebels had rigged up a loud- speaker in the garden, and were broadcasting the proceedings at the mass denunciation meeting in Tiananmen Square, to let Papa and Mama hear. My two sisters and I were in room, pressed close to the window curtains. My sisters’ hearts in their throats when they heard the wild shouts. They didn’t dare look at the cruel scene. I stood on ao the table and peeked out through an Deng Xiaoping’s political career under m mao Zedong and Deng Xiaoping in 1960. opening between the curtains. I said I wanted to see; I wanted to see it all, to engrave it in my memory forever!

courtesy: http://asiasociety.org/

When the denunciation session ended, Mama helped Papa back to the house. He was very pale. I quickly poured him a glass of water and took him by the arm to lie down and rest. (Thus ended that day’s noisy confusion.) I heard later that our ordeal was relatively “civilized”. The sessions against Liu and Tao were much crueler. Liu Shaoqi was savagely beaten. After the denunciation session, and the house having been searched it could truly be said that Papa had been completely “overthrown.” My parents were under virtual house arrest. Although we children could continue to live at home we were not allowed into the north wing where they lived. Fortunately, there were no rebels camped in our compound, and we frequently managed to slip into our parents’ quarters. Papa, though quiet, silent, unsmil- ing, showed not a shred of agitation or dismay. Thanks to his steadiness, none of us was particularly discouraged, though we seldom left the house. We were aware that many of the people we knew were much worse off. It sounds Deng Xiaoping meets with British prime minister m strange to say, but compared to them seen him in a long time. He was much the lane. After looking around to make argaret Thatcher in september, 1982. we had no complaints. thinner. The infectious smile we had sure no one was near, Young Kong Some things that happened in our known since childhood was gone. But slipped him the cigarettes. “Comrade most difficult period our family will -al he still stood ramrod straight. We knew Fuchun says they’re for comrade Xi- we would all go to the same place. Our ways remember. he had been charged with involvement aoping,” he whispered. old Grandma, Papa’s stepmother, lived back to her village. There’s no one there it to us. She and Papa wanted us to take We lived near Huairentang in a in the “February Countercurrent”. We When Mama and Papa saw the with us. If we children had to move to look after her. Do you want her to along everything we could carry. small lane containing the homes of didn’t want to get him implicated in cigarettes, they didn’t say anything for to our schools, what would happen to die? You’ll have to tie us up and drag us In the end, we won. The rebels noti- four families from north to south. Li our troubles as well, and deliberately a long time. In days of trouble, their her? She had been with us since Libera- away, otherwise we won’t go!” fied us they had found two rooms in a Fuchun was in the first, Tan Zhenlin avoided him. old comrades had not forgotten them! tion. At her age we couldn’t leave her The rebels shouted, we shouted one-story building near Zhongnanhai. was in the second, we were in the third, His eyes lit up when he saw us. His A year earlier Papa had sent Peng with nowhere to go. Liu Shaoqi’s chil- back. They got tough, we got tougher. They ordered us to “clear out” within and Chen Yi was in the fourth. All were frown vanished. Calling our names, he Zhen oranges. Today, Li Fuchun sent dren were younger than we were. Driv- We yelled with all our might, tears two hours. Each of us, in turn, slipped old Army veterans, old comrades. Our strode over. He bent from the waist, as cigarettes to Deng Xiaoping. How the ing them away was brutal. We couldn’t streaming down our cheeks. Unable into the north wing to say goodbye relations were very close. The children if in a bow. world has changed. be like them. We couldn’t let others to do anything with us, the rebels left to our parents. Mama hastily brought grew up together, and played together “Is everybody well?” A little more than a month later, manipulate our lives! temporarily. more things from her room and gave like brothers and sisters. We were stunned for a moment. on September 13, Old Wu suddenly Our minds made up, we steeled And then we really wept, crying them to us. There were tears in her eyes. After the Cultural Revolution Then we realized who he was referring came rushing in. He said Liu Shaoqi’s ourselves for whatever would come. aloud. All of the unhappiness we had When she handed me something, her broke out, with its plethora of posters to. My eyes filled with tears, children had been driven out of their Before long people from the rebel felt, all of the anger we had suppressed hands felt burning hot. and slogans, every one of the families “We’re all fine,” I quickly replied. home, driven out of Zhongnanhai! faction and the Central Committee since the day Papa was criticized, plus Papa was in a corridor in the rear. I was kept busy answering charges, and “That’s good, that’s good,” Uncle The three middle school students were General Office came. In an ugly man- our latest misery over the impend- quickly kissed him and left. We children had no time to be concerned about Chen Yi said. allowed to take one bedroll each and ner they ordered us to return to school, ing separation from our parents, now were his greatest love. I didn’t dare look anyone else. We were even less inclined Again his face fell. He walked a bicycle, and were forced to return and ordered Grandma to go back to gushed forth in an irrepressible flood. at him too long. I knew that he was to go out after Papa was dismissed. We slowly deeper into the lane. to their schools. The maid was given her village. They gave us two hours to Since leaving was inevitable, strong, fearless, that he rarely showed didn’t want to meet people. We were very moved. We didn’t charge of the little girl who was in pri- “get out of Zhongnanhai!” we phoned Big Sister Deng Lin to joy or anger. But to be separated from One day my big sister Deng Lin know this was the last time we would mary school and compelled to take her Papa and Mama, under house arrest come home from school. We girls the children who had been constantly and I walked to the end of the lane, and see Uncle Chen Yi alive. away. Old Wu urged us to prepare. in their rooms, could not come out, began going through our things at his side, perhaps never see them saw Uncle Chen Yi and his bodyguard Another time, our orderly Old Wu Only Deng Nan and I were at home but my sister and I agreed with the re- in the west wing. Mama got busy again, would be an enormous blow. coming toward us. We guessed from came back. He gave Mama a pack of then. We talked it over with Mama and bels: “We’ll leave, but you have to find in the north rooms. We examined No political misfortune could floor his depressed expression that he had cigarettes for Papa. He said he had met agreed: We would not be driven out as us a place to live. We absolutely refuse every nook and cranny. Every time him. But could he withstand a final just been reading posters. We hadn’t Young Kong, Li Fuchun’s bodyguard in the Liu children were. If we had to go, to return to school. Grandma can’t go Mama found anything useful, she gave separation from his loved ones? 

How many offices do you have in Chinese speaking and some speak decentralised but empowered system, Huge brand respect China? How many more do you both, Chinese and English. We have so it is not as though everything want to open? translated our content into Chinese you do in a province requires a in China In China we are present in more so that we are able to impart training central approval. The provinces are than 100 locations. Our head office is in the language that the students can run like cities with their own little in Shanghai and we have large centres understand. Students are our end– autonomous businesses and the leaders in locations like Chongqing, Qingdao, customers. in the provincial levels have lot of Wuxi, Suzhou, Haikou, Chengdu, power to develop the province. Hence Changzhao, Zhangjiagang, Jiaxing Can you give some tips to IT we don’t think that the leadership NIIT will etc. We are currently in the process of entrepreneurs who wish to do change at the centre will have any expanding these centres as well. The business in China? telling effect on us as we work closely government has announced 20 hot Chinese can’t work in a chaotic with the provincial governments. spots. These are basically cities which system. In our line of work, which have been marked as potential IT continually requires new inventions As an organisation have you outsourcing locations in the country. and creativity, we experience that the encountered any kind of corrup- be all It is our intention to be in all the 20 in Chinese slow down. Actually they tion hindering your operations? the next three-four years. get quite foxed. Hence, a standard Not at all. It all goes back to the system needs to be laid down. In context. The context that is very How has NIIT’s experience terms of starting operations, in relevant to China and her economy. been in terms of bureaucratic our business, it takes three to four The business is that we are in, is a very over challenges and adjustment with months. Educational licence is important service to that country. We Chinese culture? required to open new centres, and are training their people to make them Building talent is a priority for then physical infrastructure needs to more skilled. So we are not trying to most countries in the world and defi- be set up. Recruitment and training sell or buy anything from the Chinese nitely for China. Hence, they are help- of staff comes next. Finally, we start government. Hence, we have not China’s ful to organizations which are build- had any experiences with corruption ing talent for them. We are not in an as an organization. I don’t have any industry where we are competing with the opportunity size is personal experience about it either. the Chinese. We are helping them very large at a 1.4 billion to become more talented. Therefore, people location. so we What is your strategy for secur- hot spots what we are doing is in the same direc- ing your place and fending off tion as the Chinese government and have to be much bigger competition from local players? the provincial governments. Hence, The key thing about us is that we there is no hindrance. than we are today. are offering value and our courses As the head of Career Building are all based on very rich content. It How many people are currently the admission process. As regards is hands on in terms of their ability Solutions of NIIT, G Raghavan, employed in the China offices promotion, we do a lot of student- to train students. Besides, we carry has been associated with of NIIT? based activities such as internet the benefit of 30 years of being in We have about 200 people marketing, college seminars etc to the industry and those benefits get China as a consultant to the employed, 96-97% of whom are attract students. I must admit that reflected in our content and the Chinese with only a handful of Indian more than 90-95% of our students join methodologies that we use. Besides, Government of Wuxi New managers. We try and recruit people the course with us with the objective the need is so large that in many of the locally so that they feel comfortable of getting a job. We assist them in centres we have partnership with the District. Present across 100 and produce their best. There are placements. provincial governments, in some other locations already, Raghavan some positive points about Chinese places we work with universities and employees; they are hard working, Do you see your business getting colleges which use our curriculum. We hopes to expand NIIT’s presence they are disciplined and are thorough affected because of new policies have a high brand respect in China. in what they do. But they require a that might come from the new in China on a much bigger scale. properly laid out system to work. In leadership? Are you happy with the net absence of a standard system, it is not Developing human capacities has profits you get from this part of He shares with Urmila Rao, NIIT’s possible to get the best output from always been a priority for China. If the world? business strategy, his vision for Chinese workers. anything is reinforced it does not get No! However, when I say ‘no’ it diluted. So, we do not anticipate that doesn’t mean that I am sad. I’m just further expansion and the mantra How do you overcome the the policies of the central government saying that the opportunity size is very language barrier in day to day leadership will affect this trend. As of large at a 1.4 billion people location. of success. operations? now it’s only fair to say that time will So we have to be much bigger than we Language, at times, is an issue. show. The other aspect about China is are today. Hence, in that respect I’m But most of our employees are that it operates through a very highly not satisfied 

|52| India-China Chronicle . June 2013 June 2013 . India-China Chronicle |53| Steamy Stuff

or all those momo fans back home, let me take you popular breakfast dishes of China – baozi, literally meaning through an amazing journey through the steamy world bags. Imagine kulcha balls stuffed with juicy fillings and voila Fof dumplings! you have your baozi. Fillings can range from spicy pork to Anybody visiting a Chinese restaurant must have ordered leek and mushroom or none at all, in which case the bread is dumplings some time or the other – like any foreigner visit- known as mantou. The best part of it is that this scrumptious ing an Indian restaurant must have ordered naan or Indian bag of joy costs just RMB 1-2 per bun. An authentic and bread. But of course, we desis know that Indian bread does fulfilling treat for those on a shoestring budget! not just mean naan – but covers the whole range of chapa- So after your morning stroll, when your tti, roti, naan, butter naan, kulcha, stuffed kulcha, parantha, stomach starts growling again, it is time to can cost anywhere between RMB 10 and 20. Deep-fried ji- it tastier. The xianrou yuebing (fresh meat moon cakes) are stuffed parantha…..The list can go on if one was to cover the meet the jiaozi. The jiaozi is the most com- aozi are hard to find here, but if the jiaozi is fried in an iron typical of the south, and taste like our neighbourhood store entire country’s bread preference! Needless to say then, mon of all dumplings available here, and pan, then it becomes what is called guotie, another popular patties but with a Chinese touch. Theyuebing or moon cake in a country as large as China, there must also be a is eaten generally with a sauce of red chilli dish in Shanghai. Jiaozi occupies a special place in the Chi- cannot be strictly considered a dumpling – but it is a must try variety of dumplings that have been developed paste and red vinegar (most dumplings are nese platter as part of the Chinese New Year eve rituals where snack in Shanghai. Moon cakes are generally made during the over centuries for food connoisseurs to revel eaten with this accompaniment). Vegetarians the whole family sits together to wrap the filling with the skin mid-autumn festival and mostly have a sweet red filling. in. Here’s an introduction to some that are need not be concerned as jiaozi with leek, and eat them at midnight, thus making dumplings the first Last but not the least, one cannot forget the desserts. readily available in Shanghai. eggs and sticky rice fillings are also avail- meal of the year. Tangyuan, or sweet rice dumplings, are small chewy balls If you stroll out in the morning, you able. Da Niang’s Dumplings and Qi Xian Hard-core jiaozi lovers cannot escape the lure of the made of glutinous sticky rice. Eaten specially during the will find vendors behind little stands with Dumplings are some of the famous dump- xiaolongbao. Thexiaolongbao delicately handled by master lantern festival, they are often filled with sweet red mung huge baskets placed on top of a steamer. ling chains in Shanghai. Depending on the chefs have tender, translucent skin. For consumers, what paste – but have other filings as well (especially savoury These baskets contain one of the most store and the filling, eight jiaozi dumplings makes the xiaolongbao special is the tasty soup that oozes fillings in the North). onto the tongue when one bites into it (be careful – the These are just a few among the many different varieties soup is hot!). One of the most popular fillings used is a mix of the “goodie bags”. As you can understand, it is not easy to of minced pork, crab and roe. Though the dumpling chains write about such delicious food and not feel hungry. So I am mentioned above do offerxiaolongbao , visitors must not miss off to gorge on some hot, steaming dumplings and hope you the ones available at Nanxiang Dumplings, an old shop in find some good ones on your next visit here as well… Yuyuan Garden, where the queue of buyers could easily get longer than 50 metres on weekends. While the jiaozi is of northern origin, the xiaolongbao is a southern invention. Another southern dumpling is the huntun (Wonton), which is mostly dipped in soups. Shanghai cuisine boasts of a special type of huntun – the xiao or the small huntun, with pork filling, which is often had for breakfast. These dumplings are boiled and often put into chicken stock, along with small amounts of fried egg, dried shrimp, black fungus, fresh coriander leaves and red vinegar. Sumelika After this ‘balanced diet’, a bit of indulgence with the Bhattacharyya Shanghai delicacies of shengqian and roubing is forgivable. Chronicle Bureau, Shanghai Shengqian is similar to a pan-firedbaozi , but the frying makes

|54| India-China Chronicle . June 2013 June 2013 . India-China Chronicle |55| INFOCUS | CHINA | PROVINCE PROFILE Yo! Yunnan Yúnnán has some of the most magical and diverse scenery in China and is endowed with rich deposits of minerals. Yunnan is the Southwestern-most province in China, with the Tropic of Cancer running through it.

ANJANI KUMAR JHA part of the province. Yunnan is rich in natural resources and has the largest ocated in the far southwest diversity of plant life in China with of the People’s Republic of approximately 17,000 or more of the lChina, Yunnan province spans 30,000 species of higher plants that are approximately 394,000 sqkm (152,000 found in China. square miles) and has a population of Yunnan also has around 600 rivers to about 142 minerals, is famous Percentage of Gross Industrial 46.3 million (2011), comprising some and lakes, which provide an annual for its rich natural resources such as Output (percent) 26 ethnic groups. The largest minority water supply of 222 billion cubic aluminum, lead, zinc, copper and 1990 2000 2011 ethnic group in Yunnan is called “Yi”, meters with a projected hydropower nickel. which accounts for about 11 percent of reserve at 103 GW, and an annual Yunnan has 12 airports and has Light 52.4 50.5 29.0 the total population. The capital of the exploitable capacity of 90 GW. The shaped an aviation network that Industry province is Kunming and the province hydropower plants in Yunnan produce is linked both domestically and Heavy 47.5 49.5 71.0 shares its borders with Myanmar, Laos electricity which accounts for almost internationally. In transportation and Vietnam. 20.5 percent of the country’s total too Yunnan has positioned itself as a Industry The ethnic minorities in Yunnan electricity, thus making the province hub through which raw materials are Source-Yunnan Statistical Yearbook 2012 account for about 34 percent of its the second in China, in electricity transported to other inland provinces. total population while the major ethnic production. The light industries in Yunnan are The major industrial outputs in groups are Yi, Bai, Hani, Zhuang, Dai related to processing of farm produces Yunnan are sugar, cigarettes, cloth, steel and Miao. Rich Mineral Resources and other natural produces, whereas and related products, hydropower, raw Yunnan is called a bridge or a most of its heavy industries are related coal and cement and they rank among Located in the mountains passageway connecting Southeast Asia to the processing of raw materials. As the top produces in China. Cigarette The province is situated in and South Asia by land. The roadways regards the heavy industries the total industry in one of the biggest in Yun- a mountainous area, with high in Yunnan stretch for over 167,000 output has increased considerably in nan, and accounted for 15 percent of elevations in the northwest while the km, of which super highways account the past decade due to the high growth the total national output by volume in Southeast has low elevations. Most for 2,500 km placing it at the top in rate of the steel, electrical and cement 2011. of the population lives in the eastern western China. The province, home industries. The electricity industry is an im-

|56| India-China Chronicle . June 2013 June 2013 . India-China Chronicle |57| INFOCUS | CHINA | PROVINCE PROFILE A Divergence from the Plan Prashant Kumar points was to ‘maintain peace and tran- reported in an article by Masahiro quility and to prevent border disputes Matsumura, an international relations he recent visit by the Indian from affecting overall relationship’. professor at St. Andrews’ University, Foreign Minister Mr Salman Hence, the move by the Peoples Liber- Scotland, (circulated by Project Syndi- TKhurshid to Beijing has ation Army (PLA) was a ‘u-turn’ from cate), that Jinping did not order the ra- expectedly brought the state of Sino- the Chinese President’s stated goal. dar lock on Japanese vessels circling the Indian relations into sharp focus. Perhaps the Xi Jinping led new ci- disputed islands by Chinese naval forc- Especially as it came on the heels of vilian leadership in China was testing es, but merely approved after it had al- the news of Chinese incursions into the strength of new proposed relation- ready been ordered. As Mr. Matsumura India and was bound to raise eyebrows ship, one which stemmed out of the quite rightly concluded, “Control after in India specially as the visit had no new plan vis-à-vis India. China could the fact is no control at all”. It could tangible results. have been trying to test India’s reaction, have thus been that this incursion into The problem as we know was about to decipher how much it can get away India had been a move that was waiting the relatively deep incursion of upto with and then make some appeasing for the stamp of the central communist 19 kms inside the Indian Territory by statements to mollify Indian establish- party leadership. the Chinese Peoples Liberation Army ment’s sensibilities. This once again Hopefully this breach of an estab- (PLA) and the erection of lished boundary was just an- tents by the Chinese army other ‘localized dispute’ as well inside the Indian bor- Prime Minister Manmohan der. While the Chinese Singh put it. However, if it have long retreated, it took was not, the implications threats of the visit cancella- are worrisome for both In- tion’s and envoy summons, dia and the world. If the not to mention, an entire Chinese government actual- week, for this to happen. ly has little control over the This incident was clearly world’s biggest armed forces, portant economic pillar of Yunnan, tonnes of tobacco and more than 380 Power a divergence from the his- it puts a strain on global and and plays a key role in the “West-East billion cigarettes each year. More than The power industry of Yunnan is toric plan set out by the regional stability. The recent electricity Transmission Project”. In 2.3 million farmers in the province are the most competitive industry and new leader of the People’s attempt by the commission the area of minerals Yunnan is one of engaged in tobacco cultivation. The hydropower is the focal point of Republic. It wasn’t too long to colonize international the major production bases of copper, tobacco industry plays a driving role in development in Yunnan’s industry. The ago, when the new Chinese waters in the South China lead, zinc, tin and aluminum in China. the economy and social development province is extensively populated with president Xi Jinping,soon Sea has already put a few Gejiu city is well known as “the king- of Yunnan. six major river systems comprising after assuming office, had countries on alert. On the dom of tin” with its reserves ranked almost 600 rivers. These extensive laid out a plan for improving China’s showed India to be a ‘soft state’ and other hand, if this was an indication of first in the country. Mining systems and variations in elevation relations with India. The five point bring down its credibility in the global perhaps what China does after it builds Yunnan’s major trade exports in- The province is rich in natural re- offer Yunnan a massive hydropower plan, regarded by many, as a shift in community and weaken its claim for a the hope for a better relationship, then clude chemicals and related products, sources, and one can find a complete potential, with an estimated potential Chinese foreign policy, was an indica- place in the Security Council. China every country should be wary of over- base metals and related products, to- range, wide distribution, and large re- of 97 million kilowatts of power. tion of a growing realization that these could also have been testing how far tures of friendship from this emerging bacco, vegetables, fruits and cereals etc. coverable reserves of high value miner- The province has a power generating two countries cannot survive at odds it can go before Indian public opinion superpower. But if this was just a test Owing to its geographical proximity, als. Another major resource in Yunnan capacity of 470,000 million kilowatt- with each other and a working, func- reaches the tipping point. Even this did to see India’s resolve and its power on ASEAN is the province’s largest trad- is coal, which serves as a leading form hour, accounting for 25 percent of tional relationship was needed. not seem to have happened, other than the international relations front, India’s ing partner, and has accounted for over of energy used in the province. It is esti- national generation capacity. The Thus, the incursions into India beg on certain news programs with perpet- response had been clearly wanting 57 percent of its exports in 2011. Be- mated that Yunnan has a coal reservoir power industry in Yunnan plays an two questions. One, whether China’s ually angry anchors. Clearly, China is and China has provided a good hard sides ASEAN, the major export mar- of 67 billion tonnes, with 23 billion important role in Yunnan’s economic stated intentions differ from what they beginning to realize that it can get away lesson in international politics and kets include India, Hong Kong, Japan tonnes already unearthed. growth and also contributes to the actually believe is the way to deal with with quite a lot. diplomacy. But did anyone listen?  and the US. Over the past few decades Yunnan’s economic and social development in India? And two, that whether China’s But a better understanding could mining industry has greatly expanded. south and East China. military establishment (the PLA lead- emerge from the second hypothesis Major Industries Today Yunnan is one of the key mineral Yunnan which is known as ‘the ership) is truly controlled by its civilian that the Communist Party is truly not bases in China and the number of peo- place south of the colorful clouds’, or government? in control of the PLA. It is well known Tobacco ple employed in this particular indus- ‘the place south of Yunling (cloudy I ask these questions for two rea- that Xi Jinping has no real military un- The tobacco industry is one of the try either directly or indirectly is over 1 ridge) Mountain’, is thus a land of var- sons. The first is obvious. The move by derstanding other than what he learned most important industries. Yunnan has million. Among the large and medium ied and rich history, ethnic groups, the Chinese army into Indian Terri- from his father’s (Mr. Zhongxun) re- the largest production base in China sized enterprises in Yunnan, 27.9 per- landscapes, culture, natural resources tory is a clear contradiction to the plan lationship with the Chinese Military Prashant Kumar is Director, Bureau of Research on for tobacco, turning out 800,000 cent belong to the mineral sector. as well a flourishing economy. set out by Xi Jinping. One of his main Commission. In recent months, it was Industry & Economic Fundamentals, New Delhi

|58| India-China Chronicle . June 2013 June 2013 . India-China Chronicle |59| Chinese he India China Economic and Cultural Commission and Ambassador Lalit Man Council organized the First Abid Singh, former foreign secretary of India. First Abid Spring Hussain Memorial Lecture on February Mr. Khurshid said, “We can nearly double Hussain T18, 2013 at India International Center, New India’s contribution to global GDP, and Festival 2013 Delhi. On the occasion Mr. Salman Khurshid, so we first need to look for national Memorial External Affairs Minister, delivered the lecture challenges”. Speaking on the issue of Iran, India China on “Regional Cooperation in Asia: National the minister indicated that while India will Lecture Economic and Challenges and Global Opportunities.” Other abide by global consensus on non-proliferation India China Cultural Council prominent speakers included Mr. Montek (of nuclear arms), trade talks with Iran has Singh Ahluwalia, Deputy Chairman, Planning not stopped.  Economic and (ICEC) Cultural Council (February 25, 2013 (February 18, FICCI auditorium) 2013 at India International Center, New Delhi)

ndia China Economic and Cultural Council help in further consolidating our relationship. (ICEC) organized the “Chinese Spring Both India and China have made efforts to Festival 2013” at FICCI auditorium on preserve their ancient culture and we should FebruaryI 25, 2013. Speaking on the occasion, do more to protect and value our art and Mr. Wei Wei, Chinese Ambassador in India, heritage. Culture has served as the basis for expressed the hope for a bright future for India- our shared history since ancient times and we China relationship. “A number of exchanges should use this capital to further enhance mutual in political, economic and cultural fields are understanding.” going to be organized throughout the year of Chinese artists embellished the evening 2013,” Mr Wei Wei announced at the event. The with performances in dance, music and martial Festival was inaugurated by the Union Minister arts followed by Indian performances of Indian for Culture, Chandresh Kumari Katoch. In her martial Arts (gatka) by Baba Deep Singh of speech she said, “We hope that this celebration Ranjeet Akhara and Bhangra by a group named inasthana Today – Viewing China will serve as a platform to build stronger bridges ‘Bhangra Nights’ from Maharaja Agrasen from India’, a book, written by Launch of and bonds between our two societies and Technical Education Society.  P.S.Deodhar, President of India China ‘Cinasthana EconomicC and Cultural Council (ICEC) about China in relation to India was Today’ unveiled by Mr. Mani Shankar Aiyar, Member he Federation of Import Export Organ- experiences of working in China and said India of Parliament, in New Delhi on February (February 6, 2013 isations (FIEO) organized a workshop in should learn from China’s export policies. Be- 6, 2013. Cinasthana Today emphasizes Workshop association with India China Economic sides, the speakers also provided an insight into on Chinese culture, economy and the New Delhi) on doing Tand Cultural Council (ICEC) on February 20, Chinese culture including the ‘do’s and don’ts’ need for India and China to maintain good 2013 with the objective of familiarising Indian while working with Chinese people. During the bilateral relations. Business entrepreneurs from the merchandise and service Q&A session with the panel speakers participants The occasion was also marked by a sectors about the growth and opportunities in raised queries about issues faced by exporters and panel discussion on “India-China Relations with China China. Speakers at the workshop shared their the panel provided the relevant information.  beyond Politics and Business” which stressed on better relationship between the two Federation of neighbours who have similar life philosophies Import Export and cultures. At the launch Mr. Mani Shankar Organisations Aiyyar said though numerous books have been published by European authors on ancient and modern China, ‘Cinasthana (February 20, 2013) Today’ presented China differently, thus helping Indians to get the right perspective of that country. 

|60| India-China Chronicle . June 2013 June 2013 . India-China Chronicle |61| EXHIBITION DATE VENUE EVENT PROFILE CONTACT PERSON

1 Shanghai International 05 – 07 May 2013 Intex Shanghai In this international expo all kinds of kitchen Shanghai Golden Commercial Central Kitchen Equipment’s & Shanghai, China equipment and accessories and latest and Exhibition Co. limited Technology Exhibition advanced fast food equipment, baking Event Manager equipment and refrigeration equipment will Tel: +86-21-64396190 be displayed. It will prove to be beneficial for Fax: +86-21-50131761 Exhibitions&Trade the large restaurant enterprises and chains to improve and enhance their knowledge. In India • In China 2 China Keqiao International 06 – 08 May 2013 China Textile City China (Keqiao) International Textiles Fabrics Shanghai Gehua Exhibition Textile Expo International Convention & Accessories is a landmark textile market Service Co. Limited EXHIBITION DATE VENUE EVENT PROFILE CONTACT PERSON & Exhibition Center and world famous enterprises Cooperation Mr. Du Jieli Shaoxing,China that aims at Internationalization of Brand Tel: +86-575-84135583 1 International 03 – 05 May Chennai Trade International Machine Tools Expo is one of the prime machinery and Conventions & Fairs (India) specialization rule, with support from the Fax: +86-575-84112271 ShowsMachine Tools 2013 Center, Chennai, automation sector trade shows in India with an extensive range of drilling Private Limited township of textile of Shaoxing county. Expo India and boring machines, grinding tools, electrical appliances, software solutions, Mr. Nikhil Behl forging equipment and other related items International exhibitors, from Tel: +91-22-28398000 3 China (Shanghai) International 08 – 11 May 2013 Intex Shanghai This event will introduce advance technologies Worldwide Exhibitions Service Belgium, Italy, Germany and Spain will also be participating with leading technology Fair and application and provide an excellent Co. limited domestic companies. opportunity to the exhibitors to showcase Event Manager 2 LED Expo 04 – 06 May Nehru Centre, LED Expo Mumbai concentrates on the Electronic & Electrical Industry. Products Mex Exhibitions Pvt. Ltd their products and services. Technologies Tel: +86-21-32224777 2013 Mumbai, and services related to this sector will be exhibited in the event. It will help in Tel: +(91)-(11)-46464848 used in environment protection, food safety Fax: +86-21-32224770 Maharashtra, India the growth of the electronic industry and the companies related to it to expand Fax: +(91)-(11)-41071644 management and services for promoting investment and talent development will also be 3 Agri Power Expo 04 – 06 May Bhavani Niketan Agri Power Expo 2013 will concentrate entirely on the agriculture, electrical Bine Agri Power Pvt. Ltd displayed. 2013 Ground, Jaipur, and battery industries and offer information regarding them. Attendees will Tel: +(91)-(141)-3927676 Rajasthan, India get to experience a large number of products and services along with the latest 4 China international Municipal 09 – 11 May 2013 China Import & Export China International Municipal Equipment Expo China Municipal Engineering advancement and technological development. More than 4000 visitors are Equipment Expo Fair Pazhou Complex is a premier exhibition for municipal building Association estimated to visit and connect with above the 120 exhibitors who will exhibit Guangzhou, China and construction industry in China. The event Ms. Vicky cai their products. will provide a platform to meet professionals Tel: +86-20-28966618 4 POWER-GEN India 06 - 08 May Bombay Exhibition POWER-GEN India & Central Asia is the leading event that concentrates on Inter Ads Exhibitions Private from the related industries. & Central Asia 2013 Center (BEC) the power industry. The show is scheduled to be held for three days and will Limited 5 Guangzhou International 09 – 11 May 2013 China Import & Export The exhibition is organized by Guangzhou Guangzhou Grandeur Mumbai, India provide the experts and professionals of the industry with a platform to discuss Mr. Avnish Seth Exhibition for Steel Fair Pazhou Complex Grandeur Exhibition Services Co., Ltd and will Exhibition Service Co. Ltd about the future of the sector and share their experiences Over 7,000 people Tel: +91-124-4524200 Constructions and Metal Guangzhou,China focus on building materials, mainly steel and Mr. Adrian Chan from all around the globe are expected. Building Materials metal. It is a great opportunity for construction Tel: +86-20-28945348 5 Bangalore 10 – 19 May St. Joseph Indian This trade show will give an opportunity to experts in the fields of Banking and National Consumer Fair companies, architects and developers to get International 2013 High School financial services, Automobiles, Home Appliances, Furniture, Health, Fashion, Event Manager acquainted with world class technology. Trade Fair Beauty, Fitness, Garments, Electronics and travel and tourism to build good Mob: +91-9362644442 business opportunities. . The importance and value of health care, fitness and 6 China (Shanghai) International 13 – 15 May 2013 Shanghai Everbright The 3rd International Synthetic Leather Expo China Plastics Processing beauty products will also be highlighted. synthetic Leather Expo Convention & Exhibition aims at bringing an enormous development in Industry Association 6 International 17 – 19 May Punjab Trade Industrial goods and latest and advanced machine tools will be highlighted. Paramount Exhibitors Center the synthetic leather industry. The exhibitors Event Manager industrial Expo 2013 Centre, Ludhiana, Technical experts will make the automobile industries aware of the latest Mr. Harish Arora Shanghai, China have designed new technology aided Tel: +86-10-51672380 & Conferences India products and services and the positive and contemporary changes in this field. Tel: +91-172-2274801 equipment and materials for the professionals. 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Mr. Harish Arora 7 China International Scientific 15 – 17 May 2013 China International The 11th CISILE (CISILE 2013) with a total China Instrument Energy Expo India The event would be showcasing innovation and projecting more than 9 Tel: +91-172-2274801 Instrument & Laboratory Exhibition Center floor area of more than 25,000m2 will exhibit Manufacturers Association & Conferences themes including switches and switchgear, cable, conductors and insulators, Mob: +91-9814211848 Equipment Exhibition Beijing, China newly developed analytical and testing Mr. John Xiao Ludhiana generators, motors and transformers, LED and lighting, instrumentation and Fax: +91-172-4699303 instrumentation, optical instrumentation, Tel: +86-13-88395063 automation, electrical, electronic components, batteries, renewable energy as laboratory equipment, measuring Fax: +86-10-88395130 well as power electronics. instrumentation, specialized instrumentation 8 India Auto Expo 23 – 26 May Chennai Trade This four day show will have experts and professionals of the industry and will Vijay Shanthi Exhibitions and chemical reagents from all over the world. 2013 Centre, Chennai, offer them a platform to share and explore their experiences and ideas about Pvt. Ltd Technical seminars and business talks will also Tamil Nadu, India the sector. The attendees will also get information about the industry and be Tel: +(91)-(44)-45556060 be held. able to discuss about the latest technological advancement More than 200 8 Central China (Hefei) 16 – 19 May 2013 Hefei Lakeside This expo will provide a platform to the leading China Machinery Industry exhibitors will put their products on display and help people to experience the International Equipment International Convention experts related to equipment manufacturing Federation new development.. Manufacturing Exposition and Exhibition Center industry and provide a scope to get familiar Mr. Shen Lijun 9 India International 23 – 25 May Palace Ground India International Home Textile Exhibition is a platform for the leading SS Textile Media Pvt Limited Hefei, China with the latest manufacturing technologies and Tel: +86-371-66619431 Home Textile 2013 Bengaluru, India suppliers and buyers who plan to target the domestic as well as international Event Manager advanced techniques required for making this Fax: +86-371-66619430 Exhibition markets. Tel: +91-80-25544711 industry more advanced. 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Event Manager experts will help in exploring unique ways of Tel: +86-21-61698300 It will host a number of seminars and conferences to disseminate necessary Tel: +91-44-30744444 merging traditional and trendy retail model Fax: +86-21-61698301 information and will exhibit products and services like the Structural Steel, Fax: +91-44-30744445 and e commerce of footwear and leather goods Steel Framing Machinery, Roll Forming Roof Machinery, Space frames, Tensile industry. This show aims at enhancing trade Fabric Architecture, Green Roofs Technology, Roof Waterproofing and other information exchange new equipment and technologies and global network in the field of market distribution. 11 BACE EXPO 24 – 26 May Marine Drive ACE Expo Kochi will attract more than 70 exhibitors and 3000 visitors from Ask Trade & Exhibitions ( Building 2013 grounds, Cochin, building and construction sector to share the platform with the industrial Private limited 10 China International Ceramics 29 May – 01 June China Import & Export Ceramics China will be concerned with the Unifair Exhibitions Service Architectural Kerela, India stalwarts and discuss about the latest tools and technologies used in Tel: +(91)-(44)- Industry Exhibition Fair Pazhou Complex ceramic industry and showcase materials, Co. Ltd Construction and construction and building industry. Electrical engineers, architects, civil 43856156/43856157 Guangzhou, China machinery and tools. The event will open up Mr. Bonnie CHAN Engineering Trade contractors, fabricators and government officials will participate in this show Fax: +(91)-(44)-24864135 trade opportunities and lead to cooperation Tel: +86-20-83276369 Show Kochi) and try to build strategic alliances. between Chinese and Italian companies

|60| India-China Chronicle . June 2013 June 2013 . India-China Chronicle |61| MISSING PIECES It is time was excited to know that Sobha Renaissance Information In such an optimistic situation, India and China can rap- Technology (SRIT) of India had entered into a joint idly evolve into ICT innovation superpowers with active sup- Iventure (JV) with Yunnan Sunpa Image Tel Tech Co. Ltd port of western companies who benefit from their rise as they (Sunpa) in China to form a new entity called Sunpa Sobha deepen their presence in both the giant Asian markets. In a Software (China) Ltd. Headquartered in Kunming, Sunpa pessimistic situation India and China may fail to realise their Sobha Software (China) Ltd. will have operating branches in ICT innovation potential due to restrictive domestic policies, Beijing, Shanghai, Guangzhou, and Shenzhen. This is the first lack of easy access to venture capital, and a culture averse to JV between India and China in Healthcare ICT. risk. This can lead to a scenario where Indian and Chinese During Chinese Premier Wen Jiabao’s visit to India last firms will compete head to head against the backdrop of pro- year, his first stop was not the political capital New Delhi but tectionist government policies that will restrict market access the ICT hub Bangalore. Addressing a crowd of 4,000 ICT in their respective countries. professionals, the Premier shared his vision of promoting a In the coming decade, Indian and Chinese ICT companies new era in Sino-Indian cooperation. “You are number one in will thus end up competing with their western rivals not only software. We are number three in hardware,” he said. “If we put in their respective home markets but also in other emerging these together, we will be the world’s number one in both.” It markets such as Africa and Latin America. India and China is not difficult to gauge the impact if giant neighbours of Asia need to invest significantly to upgrade their countries’ IT in- seek to combine each other’s reciprocal strengths in ICT. The novation infrastructure in order to motivate western MNCs example of Sunpa Sobha Software (China) Ltd. should go a to shift their strategic R&D activities to both these countries. long way in fulfilling this vision. For instance, China needs to urgently improve its intellectual According to a recent Forrester report titled “How India, property regime. India has done better in this area. China Redefines the Tech World Order”, over the next five The hardware & software approach thus stretches from years markets in India and China, will account for nearly 40% the economic to the political sphere. To merge these two of all personal computers (PCs) and a significant share of all sides would clearly be a very potent combination for a new mobile telephones sold worldwide. Production sectors in world order. Yet, if this has to occur, India’s soft power with both the countries stand to gain enormously from this poten- its focus on services, the free flow of information, strong civil tial growth. Chinese businesses have been slower in establish- society and resilient democracy must acquire the discipline, ing bases in India. The most significant investment so far has focus and determination to implement the pro-growth poli- come from Huawei & ZTE, both members of India China cies that have allowed China to boom. While across the bor- Economic & Cultural Council (ICEC), who are seeking to der, China’s traditionally rigid authoritarianism must soften take advantage of India’s software talent, and have thus estab- enough to allow for the innovation, creativity and flexibility lished a research-and-development (R&D) institute in Ban- that the next stage of development requires. galore. While in India both the production and consumption Just as the first India-China joint venture (SP Chemicals, of consumer electronics are still relatively low, the country’s China and India’s Bhoruka Industries) has been established vast population and rising middle class make it a hugely im- in a third country Australia, for oilseed crushing and in New portant potential market. At the same time Indian IT compa- South Wales for an edible oil refining plant, several Indian & nies like NIIT, Aptech, Infosys, AIIT, Tata Info Tech (TCS) Chinese ICT companies can also establish their JV in other also have an active presence in China. The need of the hour is countries (besides India & China), if they can understand for SMEs of Indian ICT sector and Chinese ICT sector to set their strength and act with wisdom. Otherwise they will up bases in each other’s countries. They should not only look both suffer in their competition with each other. The choice at each other as markets but also as R&D centres. is theirs to make. Innovation in ICT is another arena where India & China can work together. In 2010, Chinese companies have filed a record 313,854 patents making China the second largest pat- ent filer in the world right after the US with 326,945 patents. Similarly, the Indian government has also set up the National Jagat Shah Innovation Council to discuss, analyse and help implement The writer is Chairman, India China Economic & Cultural Council (ICEC), strategies for inclusive innovation in India and prepare a Gujarat Roadmap for Innovation 2010-2020.

|64| India-China Chronicle . June 2013 Fly across the Himalayas and reach the land of a thousand pleasures

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