India envoy seeks more pharma exports, China investment for closer ties

China opening its market to Indian products, especially pharmaceuticals, coupled with investments in New Delhi, will be “good for the larger country-to-country relationship”, envoy Vikram Doraiswami said on Saturday.

“Obviously, we would like to be able to export more to China. There is nothing unreasonable about suggesting that, particularly in areas where we believe we have a competitive advantage, such as pharmaceuticals,” the Indian ambassador said.

The envoy made these remarks during a panel discussion on Protectionism and Global Economic Governance at the World Peace Forum organised by China’s Tsinghua University here.

“For instance, we’re one of the world’s biggest exporters of pharmaceuticals to advanced markets,” he said, answering a question on India-China trade and investment ties.

Trade and commerce constitute an important component of India-China relations. China has overtaken the US to emerge as India’s largest trading partner in 2025-26, with bilateral trade reaching $151.1 billion. However, the country’s trade deficit with Beijing widened to an all-time high of $112.16 billion during the period, according to the Indian Ministry of Commerce data.

India’s exports to China rose 36.66 per cent to $19.47 billion during the last fiscal year, while imports increased 16 per cent to $131.63 billion.

The trade deficit swelled to an all-time high of USD 112.6 billion in 2025-26 as against $99.2 billion in 2024-25. India has long been demanding that China open its IT, pharmaceutical and agriculture sectors, which are the country’s strong areas.

Doraiswami recently held talks with Wang Liping, Director General of the Department of Asian Affairs, Ministry of Commerce of China, to discuss initiatives to step up trade ties.

The envoy expressed hope that Chinese partners will work with India to ensure that firms producing high-quality generic medicines, which are exported to the US and other places, can be exported to the Chinese market as well.

“We think there is a balance of advantage for both countries, including value for China and of course, value for the relationship,” he said.

Answering a question on a balanced policy between exports and investments, Doraiswami said, Chinese investments are also “good for the larger country-to-country relationship”.

The envoy, in an apparent reference to the recent easing of restrictions by the Indian government on Chinese investments, said the relationship between the two countries is moving towards “normalisation”.

“India has taken steps to re-establish opportunity for Chinese businesses to invest in the Indian market,” he said, adding, “Indeed, the policy environment has been specifically changed in the last few months to facilitate greater Chinese investment.”

Doraiswami also invited Chinese businesses to invest in India, and said the Indian embassy is willing, not just to help make the investment happen, but also to listen to their concerns.

“That I think is good for the economics of the relationship. It is also good for the larger country-to-country relationship,” he added.