Twenty six pacts worth $22 billion! That was the sum and substance of the pacts signed between the businesses of India and China on Saturday, the major ones accounted for by the Adani and Bharti groups, coinciding with Prime Minister Narendra Modi’s visit here.
The pacts were signed against the backdrop of Prime Minister Modi calling upon Chinese companies, at a meeting of the India-China Business Forum here, to invest in India and seize, what he termed as a “historic opportunity” awaiting them across the vast border.
Besides some noted captains of India Inc, the Who’s Who of the Chinese industry was also present in good number at the packed event, including the chairs of Huwawei, Dongfang Eletric, Hareon, Shanghai Urban Construction, Baosteel, Alibaba, Trina, Chint, Saic Motor and Shanghai Media.
In his speech, the prime minister recalled the visit of President Xi Jinping to India and said it had provided the backdrop to renew the partnership between the two sides, notably in the business space, while hoping to see it grow in the years to come.
“I have lot of hope from the relationship which President Xi and I are trying to build. During his visit to India in September 2014, Chinese investments worth $20 billion were committed,” the prime minister said.
“We signed 12 agreements covering industrial parks, railways, credit, leasing, with cumulative investment of $13 billion,” the prime minister added even as more than double such deals — in numbers and quantum — were lined up during his visit to China’s commercial capital.
“We are very keen to develop the sectors where China is strong. We need your involvement. The scope and potential, the breadth and the length of infrastructure and related developments is very huge in India,” he said, while also giving a brief of his “Make in India” initiative.
Giving a brief description of the pacts signed on Saturday, the Indian Embassy in Beijing said in a statement that there were 26 of them valued at $22 billion.
“These MoUs span a wide range of industries, including renewable energy, power, infrastructure, steel, small and medium industries and are a reflection of strong interest of Chinese companies to invest in India and contribute towards ‘Make in India’ initiative,” said the mission.
“They will also facilitate cooperation between Indian and Chinese companies in the film and entertainment industry and will help in making more Chinese friends and audiences aware of India’s strength in this area,” the mission said in a statement.
The Adani Group, signed pacts in the areas of power, ports, special economic zones, industrial parks and gas power generation. Specific pacts were for sister relationship with a Chinese port, and possible financing of Mundra Power Project, and for a special zone in the same port city.
Bharti Group’s pacts were for received financing commitment of up to $2.5 billion from two Chinese banks to primarily diversify its global portfolio and invest in the growth of data networks across its operations that now span 20 countries.
These apart, the Welspon Group inked two pacts in the area of solar power and an integrated steel project in Gujarat, Infrastructure Leasing and Financial Services also signed a similar number of agreements in the area of financing, one of them specifically for a thermal project.
These apart, two agreements were signed by the Confederation of Indian Industry and one agreement each by the Essel Group, the Sun Group, Axis Energy Ventures, Government of Gujarat’s mines department, Autolite, Jindal Steel, Infosys, Wipro, GMR, NIIT and Aarvee Associates.