China prefers talks with India to settle toys ban issue

China prefers dialogue with India to resolve the issue of India's bans on Chinese toys, instead of going to multinational organizations like WTO. India banned Chinese toy imports for six months in January but relaxed the terms soon after.

China can drag India to the World Trade Organisation (WTO) over the ban on Chinese toys here, but "we believe in resolving the issue through talks", a Chinese minister said in New Delhi on Thursday.

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"We can go to international agencies over this issue. But instead of going to multinational mechanisms like the WTO, we believe in first resolving the issue with India through talks," Chinese vice minister of Commerce Zhong Shan said.

He was speaking to reporters after a meeting with Commerce Secretary G K Pillai.

India banned Chinese toy imports for six months in January, but later allowed such imports provided they were accompanied by quality certificates from internationally recognised laboratories and agencies.

However, Pillai brushed aside concerns over the Chinese minister's remarks, saying, "We have explained to them the background under which Chinese toys were banned. And this will employ even for domestic manufactures."

The Chinese officials will also meet India's director general of safeguards to discuss the issue.