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China's Wang Yi meets Indian PM, president

Chinese Foreign Minister Wang Yi ended his two-day visit to the Indian capital to build relations with the newly-elected Indian government on Monday.

NEW DELHI: Chinese Foreign Minister Wang Yi ended his two-day visit to the Indian capital to build relations with the newly-elected Indian government on Monday.

He called on both India's Prime Minister Narendra Modi and President Pranab Mukherjee on Monday evening.

Talks between Mr Wang and his Indian counterpart Sushma Swaraj have done much to boost ties between Beijing and the new government in New Delhi.

India's Foreign Ministry said it was a "productive and substantive" step towards stronger relations, with all bilateral issues being discussed.

The two Asian economic giants are targeting annual bilateral trade of US$100 billion by 2015 while India seeks greater access to the Chinese market, to reduce the current US$40 billion trade deficit with China.

Gautam Bambawale, senior bureaucrat at the Indian Foreign Ministry, said: "I must say that our external affairs minister Sushma Swaraj did talk about Chinese investment into India, and how to promote Chinese investment into India, including through possible industrial zones or industrial parks that could be established here."

The border dispute between the two countries was also raised in the delegation level talks.

Relations between both sides have remained sensitive following a brief war in 1962.

Syed Akbaruddin, spokesperson for the Indian Foreign Ministry, said: "There was an understanding that respect for sensitivities and aspirations of each other was essential for expansion of bilateral relations."

Both countries signed the Border Defence Cooperation Agreement to ensure peace along the Line of Actual Control last year.

The agreement was largely the result of a three-week stand-off in April, when India accused Chinese troops of intruding into its territory along the Himalayan border.

Earlier this year, Mr Modi had gone as far as to warn China to shed its "expansionist mindset" in the region.

The two-day visit by the Chinese foreign minister to New Delhi barely a fortnight after the new Indian government came to power is a clear indication of China's desire to set aside differences and work towards a strategic consensus.

The Modi-led government's priority is to get the economy back on track, using Chinese investment to bolster that goal.

A map for achievable and mutually beneficial targets is being worked out.  

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