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After Modi-Xi meeting, China agrees to settle border dispute soon, demarcate LAC

Chinese President Xi Jinping after his talks with Prime Minister Narendra Modi committed to resolve the border dispute with India at an early date to improve peace and cooperation between both countries

india Updated: Sep 18, 2014 17:19 IST
HT Correspondents
HT Correspondents
Hindustan Times
Xi Jinping,Narendra Modi,India-China ties

Chinese President Xi Jinping on Thursday committed to resolve the border dispute with India at an early date to improve peace and cooperation between both countries.

"China has the determination to work with India through friendly consultation to settle the boundary question at an early date," Xi said after summit talks with Prime Minister Narendra Modi in New Delhi.

"We also have the sincerity to work with India to maintain peace and tranquility in the border areas before we are finally able to settle the boundary question,"he said.

Since the border is not demarcated there will be certain incidents, Xi said, adding that both sides are capable of effectively managing the situation through border-related mechanisms so that they do not have a large impact on bilateral relations.

Modi in his one-on-one meeting with the visiting Chinese president said India was "seriously concerned" about the repeated incursions along the border.

"This is an important understanding, which should be strictly observed. While our border related agreements and Confidence Building Measures have worked well, I also suggested that clarification of Line of Actual Control would greatly contribute to our efforts to maintain peace and tranquility and requested President Xi to resume the stalled process of clarifying the LAC. We should also seek an early settlement of the boundary question," Modi told the media in the presence of the Chinese president.

The latest incident India was referring to was the fresh incursion by the Chinese army in Chumar area, even as talks were on between both the leaders.

Watch:Xi gets ceremonial reception at Rashtrapati Bhawan

As many as 1000 soldiers of the Chinese People's Liberation Army (PLA) reportedly encroached 500 metres into the Chumar area. The stand-off in Demchok in Ladakh where Chinese nomads, Rebos, had pitched their tents is also continuing.

India also expressed concern over China's policy of issuing stapled visas to Indian citizens from Arunachal and at the dispute over trans-border rivers.

President Xi also said China would support India becoming a full member of the Shanghai Cooperation Organisation (SCO) - a regional security body whose largest members are China and Russia.

China promises $20 billion investment

Xi promised to invest $20 billion in infrastructure and manufacturing projects in India over the next 5 years. 12 agreements were signed in the meeting between both leaders including on projects to set up industrial parks in Gujarat and Maharashtra and speeding up the existing rail network in the Chennai-Bangalore-Mysore sector.

China also agreed to give Indian companies and products - especially including those made by the pharmaceutical, farming and fuel industries - greater access to Chinese markets. This will help India reduce the trade imbalance between the two countries.

Both sides pledged to improve people-to-people contacts and cultural ties. The year 2015 will be celebrated as a 'Visit India' year in China and 2016 will be celebrated as 'Visit China' year in India.

Read: Indian-Chinese companies sign 24 MoUs worth $3.4 billion


Earlier while talking to newspersons after a ceremonial welcome at the Rashtrapati Bhawan President Xi Jinping urged both countries to pursue developmental goals together."For both our countries development is top priority. We share the same developmental goals, same developmental philosphies," he said.

Delhi: Chinese President Xi Jinping presented with a model of 'charkha'/ spinning wheel at Rajghat

"We are the two largest developing economies, and two biggest markets. In an increasingly multipolar world our strategic and economic ties are important. Together we can bring prosperity to 2.5 billion people of Asia and opportunities to rest of the world,"he added.

President Xi spoke to reporters after a ceremonial reception at the Rashtrapati Bhawan . Later the Chinese president along with his wife Peng Liyuan, paid tributes at the samadhi of Mahatma Gandhi at Rajghat.

(With inputs from Jayanth Jacob in Delhi and agencies)

Read: 100 Chinese soldiers enter Chumar

First Published: Sep 18, 2014 09:45 IST