Adding ‘Fire’ To Smoke: India All Set To Export The Best Tobacco To China As Two Countries Sign Trade Protocol
India signed a trade protocol on Monday (22 January) to export tobacco leaves to China, which is home to the largest smoking population in the world with approximately 300 million smokers, reports Indian Express.
The protocol was signed between India's Commerce Secretary Anup Wadhawan and Zhang Jiwen, Vice Minister of General Administration of China Customs (GACC).
“Quality tobacco on par with international standards is available in India at competitive prices and there is good potential for export of Indian tobacco to China. The revival of the phytosanitary protocol with China will pave the way for revival of Indian tobacco exports to China and prove economically beneficial to Indian farmers,” said a statement by the Indian Embassy in Beijing.
While China accounts for around 20 per cent of the world’s population, it is responsible for 45 per cent of the world’s cigarette consumption. Revenues from tobacco products brought in around $160 billion in profit and tax to government treasury in 2016, according to the latest available data.
Hindi-Chini Bhai Bhai?
It was reported in November 2018 that India would start exporting raw sugar to China from this year (2018). Such deals are crucial for the economy since India runs a massive trade deficit of around $60 billion with China, which is also its biggest trade partner.
“The recent period has thus seen significant progress in market access for a number of agricultural and allied products from India. The Commerce Secretary requested the GACC to expedite market access for other products like okra, soybean, bovine meat and dairy products,” added the Embassy statement.