1Assistant Professor, Faculty of Business Management & Research, Integral University, Lucknow, Uttar Pradesh, India
2Dean, Faculty of Business Management & Research, Integral University, Lucknow, Uttar Pradesh, India
*Corresponding author e-mail: shuja7865@gmail.com
Online published on 30 June, 2016.
In this study, we attempt to analyse the trends in trade relations between India and China, especially in agricultural commodity since 2004. In this analysis, we use the concept of trade intensity, long-term trend analysis and statistical than test that is time horizon during 2004 to 2011. Overall results show that the liberalisation process has led significant changes, and growth rate of India and China's trade has been higher the world trade growth. Second, India's trade growth rate with China during later period (2009–2013) substantially has been felt declined.
The composition of India's agricultural commodity basket reflects meagre changes, and result carries with domination of exports especially agricultural commodities, which does not have a positive sign in long-term. Further analysis shows that position of balance of trade is also not favourable for India. Thus, there is a need to take immediate steps for improving the balance of trade position.
Agricultural commodity, Trade intensity, Revealed comparative advantage, Balance of trade and Liberalisation
