New Delhi, Sep 21 (UNI) India has been out-traded by China in the South Korean market, says an analysis by Federation of Indian Chamber of Commerce and Industry.
Though India's exports to Korea rose by nearly four times from 1.25 billion dollars to 4.62 billion dollars, yet it marked only half a percentage point increase in India's share in Korea's total imports from 0.8 per cent to 1.3 per cent between 2002 and 2007.
On the other hand, China's exports to Korea recorded a robust increase from 17.4 billion dollars to 63 billion dollars during 2002-2007, accounting for around 18 per cent of Korea's global imports, the apex chamber points out.
In the last five years, China's exports to Korea registered consistently high rate of growth between 26 and 35 per cent as against fluctuating fortunes of India since 2003.
In 2007, it was not only China but three Asean countries --- Indonesia, Malaysia and Singapore ---also surpassed Indian exports to South Korea, the analysis says.
Petroleum and petro-products constituted 55 per cent of India's total exports to South Korea. If this share is excluded, India's export figures drop to just over two billion dollar and its share in South Korea's total non-oil imports comes down steeply to a mere fraction at 0.6 per cent in 2007, notes the study.
But the apex chamber says there are enormous opportunities for expanding exports from India to South Korea through free trade agreement being negotiated.
The 12th round of negotiations on comprehensive economic partnership agreement between the two countries will be held during 22-25 September in Seoul.
UNI SAA SR AS1401