Research On The Competitive And The Complementary Of Sino-India Trade In Agricultural Products

In the process of globalization,regional economic integration has become a new model of cooperation between countries."The Belt Road " is an important part of China's thirteen five plan,but also the new normal to explore the new situation of agricultural development an important measure.China and India with a large agricultural country,and are representative of the BRIC countries,and the trade volume of agricultural products between the two countries is growing.By 2016,China is India's largest trading nation India is China's ninth largest trading partner.With further progress "along the way"strategyto continue to promote the two countries economic and trade,political relations have continued to improve,the development of bilateral trade in agricultural products also received a rare opportunity for development.This will help expand the scale of agricultural exports,maintain agricultural stability and food safety.But there is a difference between the level of agricultural development of both countries.China has a relatively high level of agricultural mechanization.And the level of agricultural development in India is relatively backward.Moreover,the trade imbalance in the development of instability and coexistence between the two sides.China's agricultural trade is always in a state of deficit,and there is a further expansion of the trend.China is a labor abundant country with the less arable land,so China is mainly concentrated exports of labor with comparative advantages of agricultural products.India is a country with rich in land resources which arable land accounted for more than 60%of the land area and agricultural land occupies a resource-based comparative advantages.The differences in resource endowments have formed a strong complementarity between the two countries'agricultural products.Therefore,in the process of "The Belt Road "continuous development,we will explore how to further expand the scale of China-India agricultural trade.It is crucial for China to learn how to effectively avoid tariff and non-tariff barriers and improve the level of agricultural development between the two countries.So as to reduce dependence on agricultural products in developed countries.Based on panel data of bilateral agricultural trade from 2001 to 2015 and with reference to the data of SITC.REV.3,present paper takes qualitative and quantitative approaches to analyze the competitiveness and complementarity of China-India agricultural trade based on OBOR.First of all,on the basis of summarizing the theory of trade and combing domestic and foreign literature.And the next we will analyze the development process of China-India agricultural trade and the current situation of China-India agricultural trade and the influence of China's agricultural trade in the background of construction.Prelominary,present paper concludes that China and India share a complementary relation in the field of agricultural trade.Furthermore,based on SITC.rev.3 data from 2001 to 2015 in agricultural products,present paper calculates several trade indexes including RCA,IIT,TII,TC,TCI.In addition,present paper analyzes China-India agricultural trade by quantitative approach.Results are as follows.First,most agricultural trade takes place crossing different sectors.Second,agricultural trade concentrates on several sectors.Third,Chinese agricultural products are not very competitive.Fourth,bilateral agricultural trade has supplemented each other.India has a strong comparative advantage over China in terms of agricultural products.China has a disadvantage in the trade of agricultural products in India,and its competitive advantage is obviously low.With successfully advanced of The Belt Road,we should try our best to turn the two countries' competitive advantage and complementarity into trade gains.So as to achieve a win-win result.Last but not the least,based on research and analysis,present paper provides some advice for agricultural products trade and the processing ofThe Belt Road.In general,we should consider this issue from the perspective of government and enterprise.In the first place,China should strengthen political mutual trust.Next,the department of government should be committed to establish the Free Trade Area of China-India.Secondly,we should optimize the agricultural industry structure and build agricultural products logistics system.By making use of moderne-commerce to achieve the expansion of the types of agricultural trade.