Abstract: Bilateral Revealed Comparative Advantage (BRCA) and Constant Market Share Analysis (CMSA) have been used to study the nature and trend of trade flows in the region. A commodity level analysis of trade data has been done in the study using SITC and HS data from United Nations for the period of 1990-2014. It was found that; South Asian exports to India and China is more because of expansion Effect, while India’s export to China and China’s exports to India is more because of Competitiveness Effect during the period 1990-2014; India and South Asia have different export specialization structure in their export basket to China and China and South Asia also have different specialization in their exports to India as China has specialisation in four SITC products while South Asia has specialisation in just one SITC product; India has stronger trade ties with Sri Lanka, Nepal, Bhutan, Maldives compared to China and China has stronger trade ties with Pakistan and Bangladesh compared to India; India is more competitive than China in overall South Asian market in the sectors; Animal, Chemicals, Food Products, Fuels, Minerals, Vegetables and Transport. China is more competitive than India in overall South Asian market in the sectors; Footwear, Glass, Hides & Skin, Machine & Electronics, Metals, Plastic & Rubber, Textile & Clothing, Wood and Others. Almost same is the distribution of sectors between India and China if compared in the rest of world. India & China are more Export Competitive in the rest of the world than in South Asian countries; China is more competitive than India in South Asian countries like, Pakistan, Bangladesh, Sri Lanka and Maldives except Nepal and Bhutan where India is more Export Competitive than China.
Keywords: BRCA, CMSA, Trade, China, India, South Asia.
Title: India-China-South Asia Trade Relations (1990-2014): A Comparative Analysis
Author: Salahuddin Ayyub
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
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