Boycott chinese products || EFFECT OF CHINESE PRODUCTS IN INDIAN MARKET

INCREASING IMPORTING

In last 20 years importing from CHINA has increased 45 times

Mostly india dependent on china for lots of goods, what is reason behind this dependence ?

As we see in market there many products those have a label of Made In China. Arise a Question why India import these products from china rather than produce in india or import from another country !

                                                 

Because India doesn’t have the technology and structure for produce these goods at low cost and at Chinese level products. India also have substitute of some Chinese products but its prices are very high as compare to Chinese, if import from another country it also have same problem of cost. That’s why mostly Indians buys Chinese products.  As we see in given below chart our demand for Chinese products increases rapidly.

YEARS	IMPORTING FROM CHINA (figures in us $ billion)
2000	1.717
2001	2.094
2002	2.603
2003	3.738
2004	6.073
2005	9.829
2006	16.047
2007	24.700
2008	34.668
2009	30.61
2010	41.25
2011	55.48
2012	54.14
2013	51.64
2014	54.24
2015	58.26
2016	59.43
2017	68.1
2018	76.87
2019 JAN-NOV	68

  

TRADE COMPARISON BETWEEN CHINA – INDIA

◊.  Main imported goods from china

1.   Machinery

2.   Equipments

3.   Iron

4.   Steel

5.   Metal

6.   Text Tile

7.   Medical Optical

 ◊. Main exported goods to china

1.   Cotton

2.   Organic Chemicals

3.   Mineral fuels

4.   Ore

According to Commerce Department in 2019-20  annual trade between India and China worth 5,49,801 crore Rs.

In this trade India export to china worth 1,10,000 crore Rs.

But India import from china worth 4,40,000 crore Rs.

Its means India lost a loss of 3,30,000 crore Rs. In this annual trade. It is a huge difference.

                        

MEDICINE DEPENDENCE

70% API and 75% Anti-Biotic imports from China

India is one of top medicine exporter but companies which are produce medicine, purchase 70% API (raw material) and 75%   necessary antibiotics from China. According to a report in 2018-19 financial year Indian firms have purchased Active Pharmaceutical Ingredient (API) and medicine worth $240 crore dollor.

CHINESE SMARTPHONES IN INDIA

Chinese smart phones covered  72% Indian market

Undoubtedly Chinese smartphones have played a major role in delivering smartphones to almost every corner of India. The biggest reason for the increasing demand for Chinese mobiles in Indian market is high performance in cheap price. A good Chinese mobile contains 4 GB RAM and high processor, high capacity battery,camera as well as big storage space in just 8k to 15k Rs. Sometimes their sales increase so much and their stocks runs out. On the other hand its competitor companies provides mobile in high cost with same features, so buyer grab the opportunity to save the money by purchase Chinese mobile which are available at low cost.

Some Chinese brands mobile which are leading in the market :-

1.    Xiaomi
2. Vivo

.       3. 1plus

.       4. Realme

.       5.  Oppo

        6. Lenovo
        7. Huawei

        8. Tecno
        9.  Gionee

0THER INFORMATION

➣  Last year china signed 23 deals for $500 crore with Indian tech-startup.

·  ➣The market size of SOLAR POWER in the country is 37,916 MW, in which Chinese companies have 90% share.

·   ➣Telecom equipment market ₹12000 crore With china holding 25% share. In conformity with telecom companies if they purchase equipments from another country, their cost will increase 10% - 15%.

·   ➣The television market in india is ₹25000 crores, Chinese company has a share of 42% - 45% in the smart television market and 7% - 9% in the non smart tv market. Non Chinese televisions are 20 to 40 percent costly.

·  ➣The Automobile components market in the country is Rs. 4.27 lakh crores, in which Chinese companies account for 26%.

·   ➣The market size of Steel in the country is 108.5 MT, of which Chinese goods account for 20%.