Shanghai

The municipality of Shanghai is one of China’s most dynamic and economically advanced areas. Shanghai with an area of 6340.5 square kilometers borders Jiangsu and Zhejiang provinces on north & west, East China Sea on the east and Hangzhou Bay on the south. The Yangtze River also forms northern border of the city. Shanghai is located centrally along China’s coastal line. Shanghai is called’ Hu’ or ‘Shen’ for short and was constituted as a county only in 1292. In 1685, Qing Dynasty set up its customs office in Shanghai. By the mid-19th century, the city evolved into a major trading port.

 

Shanghai overtook Singapore as the world's biggest container port in 2010 by handling 29.05 million TEUs. The city handled about 500000 TEUs more than Singapore in 2010. Shanghai's container throughput totaled 25 million TEUs in 2009, the world's second-largest. Shanghai's cargo throughput hit about 650 million tons in 2010, which is biggest in the world. The city handled 590 million tons of cargo in 2009. International Port posted a 17.26%YoY increase in cargo throughput and 16.27%YoY rise in container throughput. Shanghai Port for the first time realized a tax revenue flow of 300 billion yuan in2010, taking up one fourth of the country's total. Tax revenue actually collected by Shanghai Port was RMB 263.758 billion in 2010, up 34.9 percent year on year; and that transferred out for transit transport was RMB 61.27 billion, up 47.9 percent. 

 

With a GDP growth rate of 10.5% in 2009, the Pudong district of Shanghai has set annual GDP growth target for 2010-15 period at 12 %. Over the past two decades, Pudong's GDP has jumped 67 times while the fiscal revenue has surged 122 times.

 

Following State Council’s announcement in 2009 to build Shanghai into an international economic, financial, trade & shipping centre by 2020, nine key industries were specifically identified and the target output values was set for realization by 2012 . The nine industries are Renewable energies, Civil Aviation Manufacturing, Advanced Engineering Equipment, Bio-pharma, Electronic Information Products, New Energy Automobiles, Maritime Engineering Equipment, New Materials and Software and Outsourcing. To monitor execution and supervise implementation of the above mentioned initiatives, Shanghai Municipal Government has set aside a special fund of RMB 10 billion.

 

The overall objective is to develop a modern service industry and advanced manufacturing industry in the city while increasing the profile of service sector in Shanghai’s economy to beyond 70%. The Central Government’s decision of bringing Shanghai into the forefront of China’s economic development will considerably strengthen Shanghai’s position both in China as well as internationally particularly from the point of view of development of logistics and the integration of the Yangtze River Delta Region. Shanghai is poised to play an extremely important role in China’s economic growth in future.

 

In 2010 Shanghai hosted the biggest ever Expo in the history of World Expos. 

 

 

 

·           Party Secretary -  Mr. Yu Zhengsheng

·           Mayor –Mr. Han Zheng

·           Chairman of Standing Committee of Shanghai People’s Congress – Mr. Liu Yungeng

·           Chairman of People’s Political Consultative Conference – Mr. Feng Guoqin

 

Shanghai at a glance   

 

 

In 2010 Exports from Shanghai reached US$ 180.78 billion, up by 27.40% from the corresponding figures of the previous year. Imports reached US$ 188.09 billion, up by 38.50%. In 2010, actual FDI was US$ 11.12 billion, up by 5.50% from the corresponding figures of the previous year.

 

By June 2011, GDP of Shanghai reached US$ 143.19 billion. Total foreign trade reached US$ 207.88 billion out of which Exports were US$ 98.19 billion & imports were US$ 109.69 billion. Actual FDI reached US$ 6.01 billion while contracted FDI was US$ 9.72 billion.

 

 

President of India H. E. Smt. Pratibha Devisingh Patil visited Shanghai on May 29-31 2010 as part of her State visit to China from 26-31 May 2010. This was the first visit by any VVIP from India in Shanghai since 2003. The outcome of the visit acknowledged the fact that India - China relationship has gone beyond its purely bilateral aspect and has a global dimension.  She addressed the Indian Community in Shanghai on 29 May 2010 at a Community Reception hosted by Ambassador Dr. S. Jaishankar. She visited the China pavilion & India Pavilion at World Expo Park and had a meeting with Party Secretary of Shanghai Mr. Yu Zhengsheng . She unveiled the bust of Rabindranath Tagore in a brief ceremony in downtown Shanghai to mark 60 years of establishment of diplomatic relations between the two countries. She also gifted a statue of Buddha to Jade Buddha Temple to highlight the cultural contacts that have existed over the millennia between our two ancient civilizations. On 31 May 2010, President attended an India-China Business Forum to encourage businesspersons from both countries to promote bilateral economic exchanges.

 

 

 In 2010, India’s total trade with Shanghai stood at US$ 6.04 billion, up by 35.12 % from the corresponding figures of the previous year. Exports from India reached US$ 2.19 billion, up by 66.79%. Imports by India reached US$ 3.85 billion, up by 21.99 %.  

 

By June 2011, India’s total trade with Shanghai reached at US$ 3.99 billion. Exports from India reached US$ 1.59 billion and Imports by India reached US$ 2.4 billion.

 

The principal items of export from India to Shanghai were non-metal mineral products, ferrous metal, metal ores and metal wastes, textile fabrics (woolen fabrics excluded) and organic chemicals. The main items of import from Shanghai to India included office equipment and auto data processor, power machinery and equipment, General Industrial Machinery and Components, electric power machinery and components and organic chemicals.

 

By December 2010, actual accumulated FDI from India into Shanghai stood at US$88.06 million in 100 projects, accounting for 0.75% of total actual FDI in Shanghai. 

 

Many prominent companies from Shanghai are present in India & doing business with a large cross section of India companies in various sectors such as Power generation, infrastructure development and cellular technology. This includes Shanghai Electric Corporation Limited, Shanghai Urban Construction Group (SUCG), Baosteel, Shanghai Yong Guan Commercial Equipment Co. Ltd, Shanghai Centrifuge Institute Co. Ltd., Shanghai Zhenhua Port Machinery Co Ltd, ZTE Corporation etc.

 

 

Nearly 90 Indian Companies have a business presence in Shanghai. Apart from IT majors like Tata Consultancy Services (TCS), Infosys, Wipro, Satyam, HCL, NIIT and Aptech, major industrial houses like Larsen & Toubro, Reliance, Raymonds, TATA, BEML, Thermax, TVS, TAFE, Mahindra Yueda, SAIL, Sundaram Fastners, Jindal, Aurobondo Pharma, Sun Pharma and Dr. Reddy's Laboratories have offices in Shanghai. Around 10 Indian companies based in Shanghai have set up their manufacturing units in the Eastern China region. There are four PSUs namely Air India, BEML, Bharat Heavy Electricals Ltd,( BHEL) & Engineers India Ltd. (EIL) in Shanghai. Air India operates four weekly flights from Shanghai to Delhi & Mumbai. There are six Indian banks namely State Bank of India, Punjab National Bank, Canara Bank, UTI, ICICI and Union Bank of India based in Shanghai, out out of these, SBI and Canara Bank are doing branch operations while others are at representative office stage. SBI has receieved approval for and has commenced trading in RMB in March 2010. CII has been in Shanghai since 2003.

 

The Shanghai Diamond Exchange, set up in 2000, has a significant number of Indian merchants. India is the second largest exporter of Diamond after Belgium accounting for 18% of total exports of diamonds to China. Diamond contributed around 3.50 % of total exports from India to China, which is a 16 % year-on-year increase from 2008.

 

 

The total number of Indian nationals residing in Shanghai is estimated at about 4000. In the last two years, there has been a significant increase in the number of Indian companies setting up their offices here. The Indian community is a mix of entrepreneurs, professionals employed by Indian and global multinational corporations, service personnel, senior business executives and traders. The Indian Association Shanghai is the apex body for the Indian community in Shanghai and regularly organizes cultural & sports events and gatherings during Indian festivals. There are around 32 Indian restaurants in Shanghai.

 

 

Shanghai has 11 national level SEZs and it is a major international port. The names of the SEZs are as follows-

Minhang Economic And Technology Development Zone, Hongqiao Economic And Technology Development Zone, Caohejing New Hi-Tech Development Zone, Jinqiao Export Processing Zone, Sunqiao Modern Agro Park, Songjiang Export Processing Zone, Lujiazui Financial and Trade Zone, Waigaoqiao Free Trade Zone, Qingpu Export Processing Zone, Minhang Export Processing Zone & Zizhu Science Park.

 

 

Shanghai is both an international metropolis and a place reminiscent of the city’s rich historic and cultural past. The city has various interesting tourist spots which include parks, gardens, museums, churches, temples, towers etc. Shanghai is home to buildings and structures of various architectural styles. The Bund, located by the bank of the Huangpu River, has a rich collection of early 20th century architecture, ranging in style from neoclassical to the art deco. Nanjing Road & Fuzhou Road are also famous landmarks of Shanghai since that period. A number of areas in the former foreign concessions are also well preserved, most notably the French Concession. Shanghai has retained some ancient sites such as the Yuyuan Garden, an elaborate traditional garden in the Jiangnan style; Longhua temple, the oldest Buddha Temple in Shanghai renowned for its annual fair; Jade Buddha temple, one of the most famous Buddhist temples of Shanghai which houses the beautiful white Jade Buddha statue that was brought from Myanmar in the nineteenth century. The Lujiazui Financial and Trade Zone on the eastern side of the river, known as ‘Pudong’, hosts the tallest buildings in Shanghai, the Jinmao Tower & World Financial Centre. The Oriental Pearl TV Tower is the tallest TV tower in Asia and all time favorite with the visitors.

 

 

India participated in the six month long world expo (01 May- 31 October 2010) with a self built pavilion on 4000 sqr mtrs. of land. Within the broad framework of the Expo theme, the India pavilion explored the concept “Cities of Harmony”. The most striking feature of the pavilion was the huge bamboo dome inspired by Sanchi Stupa, which was the world’s largest bamboo dome. Besides the extensive use of bamboo, the India pavilion used a number of other green technologies. Inside the dome an attractive display using graphics, paintings, and photographs was used to depict the story of India in eight sections. 

 

The pavilion received 5.39 million visitors. The President of India, Smt. Pratibha Devisingh Patil visited the India pavilion during her visit to Shanghai in May 2010. A number of other dignitaries including King Gustaf of Sweden, President of Finland, President of Nepal, and Mauritius, PM of Fiji, Former Prime Ministerof Japan, Mr Yasuo Fukuda and Ministers and provincial leaders from a large number of countries also visited the Expo. Chinese premier Wen Jiabao also visited the India Pavilion along with Mr. Wang Qishan, Vice Premier; Mr. Yang Jiechi, Foreign Minister; Mr. Yu Zhensheng, Party Secretary & Mr. Han Zheng, Mayor of Shanghai and other high ranking officials. 

 

 CEOs of some of India’s most successful global companies representing sectors as varied as steel, automobiles, engineering, mining, real estate, pharmaceutical, infrastructure, textile and IT; dignitaries like Dr. R.K. Pachauri Chairman of Intergovernmental Panel on Climate Change (IPCC ) , Ex-Chief of Army Staff Gen V P Malik also visited the Expo. Ms. Indra K. Nooyi, CEO & Chairman of PEPSICO Inc. & Mr. Laxmi Mittal, CEO of Arcelor Mittal also visited the India Pavilion.

 

One of the largest ever business delegation from India led by Minister of State for Commerce & Industry, Mr. Jyotiraditya M Scindia was in Shanghai from 17th  August to 19th August 2010 on occasion of National Day of India at Shanghai World Expo . An India Business Forum was also held on this occasion on 19 August 2010. The 90 member strong Business Delegation had members from CII, FICCI, ASSOCHAM and NASSCOM and was led by Mr B Muthuraman, Vice Chairman of TATA Steel and Vice President, Confederation of Indian Industry (CII) . From Chinese side over 300 busienss persons participated in the Forum.

 

Expo was a massive exercise in building public relations & positive image of the country. The Consulate facilitated prominent mainstream media as well as local and international media for detailed coverage of India’s participation in the Expo. Two separate projects were undertaken by the Shanghai Media Group (SMG) as part of their coverage of India Pavilion. The SMG TV team made a documentary called “Innovation Expo – India Episode”. A 2-member delegation from Shanghai Morning Post was also sent to India in March for their special coverage on India Pavilion in the Expo. India received prominent coverage during a ceremony organised by the SMG at the Bund to mark 100 days countdown of the Expo.

 

Consulate organised visits by media groups from Taiwan, Japan (NHK TV), Sina.com, Nanjing Daily, France 24 Beijing, to India Pavilion during this period. Consulate also provided inputs to various local media for Expo Special issues (Wen Hui Daily, CBN TV, China Daily, CCTV Expo Channel, Sunlian Life Weekly, World Knowledge Magazine (Beijing) etc.) These special issues besides promoting India and Indian Pavilion in the Expo also covered various promotion activities and exchange activities of India during the Expo period as well as business opportunities between India and China.

 

As part of their coverage of India pavilion, Consul General was interviewed by prominent newspapers including Oriental Outlook Weekly (a Xinhua publication), China Business News Special Expo Publication, and Shanghai Daily. Consul General was one of the two CGs to be interviewed for the Dialogue Forum of CCTV 9 for their special edition on Expo. This was live interview from Beijing. The Shanghai Media Group did an exclusive half an hour interview of Consul General on India’s participation in the Shanghai World Expo.