Looking to expand in China: Tatas

K J M Varma
Beijing, Dec 17 (PTI) With Chinese Premier Wen Jiabao
promising to remove trade barriers to Indian goods, the Tata
Group on Friday said it is looking to expand its businesses in
Asia's largest economy, which accounted for about 6 per cent
of its overall turnover in the previous fiscal.
"Last year, the Tata Group's turnover in China touched
USD 4 billion, amounting to about 6 per cent of its overall
business," said B Muthuraman, the Chairman of Tata
International and vice-chairman of Tata Steel, two major
subsidiaries of the Tata Group, according to the official
state English language newspaper, China Daily.
Fifty per cent of Tata's turnover in China was derived
from its auto businesses, led by sales of luxury cars like
Jaguar and Land Rover after the acquisition of the brands from
British car-maker Jaguar and Land Rover in 2008, he said.
The group is now poised to expand its other businesses in
China, he said, adding that it has already ventured into areas
like steel, consulting, IT outsourcing and hotels.
What is more, TCS has emerged as the largest Indian
software business company servicing Chinese state-run groups.
Besides the Tatas, a number of other Indian companies
based in China are looking to ramp up their business, as the
countries have set a USD 100 billion target for bilateral
trade by 2015, compared to record trade worth USD 60 billion
registered this year.
Wen, who concluded a three-day visit to India today, has
promised to address the trade imbalance by providing more
market access to Indian companies, especially those in the IT,
pharma and agro-products space.
Muthuraman hoped that China would be more receptive to
companies like Tata becoming involved in China's economy in
the context of Jiabao's visit. He noted that Tata set up a
joint venture with Zhejiang Tea Import & Export Co Ltd in 2007
to manufacture and market green tea in the country.
He said he believes his company needs to accelerate the
pace of development to keep pace with China, as global
economic power shifts from the West to the East.
"India and China represent the future. We will become two
of world's three top economies over the next 20 years. So
there is a need for India and China to understand each other
on the business front," he said. MORE PTI