It appears that the Chinese leadership is keen to resolve the border issue and also take up several issues of commercial importance

President Xi Jinping of China is expected to visit India sometimes next week. His exact itinerary and the entourage that is expected to accompany him have been shrouded in mystery! Full details have not been made public, and it is not known, if Foreign Minister Wang Li or his assistant Liu Jianchao will be part of the delegation.

However, press reports do indicate that as President Xi Jinping plans to arrive at Ahmedabad, in his first leg of the tour. He will be accorded a special welcome by Prime Minister Narendra Modi himself. After spending a few hours in this city, both are expected to return to New Delhi, on the same day, to continue their discussions.

It appears that the Chinese leadership is keen to resolve the border issue and also take up several issues of commercial importance. In fact, during the recent preliminary visit of Dr Nirmala Sitharaman, Commerce Minister to Beijing, her Chinese counterpart had shown keen interest in signing several memorandum of understanding (MoU). Indian exports to China were valued at $14.8 billion as against imports from that country amounted to $50.9 billion during 2013-14.

India needs to make up this deficit of over $36 billion by exporting products and services. This could be possible only it is able to have market access to sell Indian pharmaceutical products, meat, fishery, oil meal, IT products and services, and a host of other items. It is well known that China imports a huge quantity of meat and India would be able to serve in this area. India can export high quality meat at competitive prices.

China, on the other hand, while being aware of the intense competition for supplying high speed trains from Japan, also has shown its serious intention to offer these, and for which it has proven experience of building some 12,000 kms of high speed trains in the country itself. China has shown that it is a serious contender for this project, and will be in a position to offer their services in terms of technology, infrastructure work, and even in setting up proper railway academy to train personnel.

President Xi Jinping may also offer very competitive terms for this railway system. One of the MoUs will also cover Chinese desire to set up two industrial parks, one each in Gujarat and Maharashtra, involving a capital outlay of over $5 billion.

However, commercial business relations can only be strengthened if there is peace around the border. Both China and India have a few issues that need to be resolved; if truly President Xi Jinping and Prime Minister Modi want to move forward with their sole intention of establishing a new era in relations.

To our mind, the following are the major issues that both leaders have to seriously talk it out and resolve:

a) tension in the Sino-Indian border should be eliminated and PLA need to be restrained in their incursions that occur from time to time

b) China must formally accept the de facto situation of Arunachal is a part and parcel of India; it will refrain from issuing "stapled visas"

c) China must also show its sincerity in returning the illegally ceded territory by Pakistan in POK

d) China must now agree to support India to become a Permanent Member of UN Security Council

e) China must now actively support India in securing the NSG membership

f) China must promise that it will no longer provide any nuclear knowledge, product or services to Pakistan

g) China must extend reciprocal arrangement, in terms of processing time, to set up Indian offices in China to a maximum of 6 months, whereas actual experience by even international firms show that Chinese processing time takes 2/3 years for completion

h) Finally, China must show it truly wants to revive Panch Sheel policy in letter and spirit.

The axis of India, China and Russia, in political and commercial collaboration will help in the development of all the three countries and bring all round prosperity and peace in the region. It will also make it possible for all the three nations to get the benefit of the mammoth gas pipeline that has recently been signed between China and Russia.

If both the leaders are serious, a new era of friendship can bloom.

(AK Ramdas has worked with the Engineering Export Promotion Council of the ministry of commerce. He was also associated with various committees of the Council. His international career took him to places like Beirut, Kuwait and Dubai at a time when these were small trading outposts; and later to the US.)