Chinese President Hu Jintao visited Viet Nam, Laos, India and Pakistan on November 15-26. Shortly before he began this diplomatic flurry, Beijing Review reporter Yan Wei spoke with the Indian Ambassador to China, Nirupama Rao, about recent developments in Sino-Indian relations and the similarities and differences of the two emerging economies.

Beijing Review: How do you characterize Sino-Indian relations at present? What do you think will be the major issues to be discussed during President Hu Jintao's visit?

Nirupama Rao: India-China relations have achieved sustained development across a wide range of areas. Bilateral trade is increasing, while there is growing investment by Indian companies in China, and vice versa. A large number of Chinese companies are undertaking large-scale projects in India. Involvement in cultural matters, science and technology, education, water resources, agriculture, health, anti-corruption programs, banking and financial services, public security and the fight against drug-trafficking is being deepened. Defense exchanges are becoming more frequent, including high-level exchanges. Similarly, there is good cooperation in international and regional forums. Overall, the bilateral relationship is maturing with both sides increasingly appreciative of each other's interests and aspirations.

President Hu Jintao's visit is an important and significant event for a number of reasons: It is the first visit of a Chinese head of state to India in a decade and the first in the 21st century; it is the first top-level visit either way since the two sides agreed to establish their strategic and cooperative partnership in 2005; and the visit is taking place in the "Year of India-China Friendship." The visit will provide an opportunity for President Hu to witness the developments that have taken place in India since his last visit over 20 years ago. It will also be an opportunity for the Indian leadership to hold wide-ranging discussions with him. The two sides will exchange views on bilateral relations as well as on issues of mutual interest in the regional and global arena with the aim of promoting comprehensive, all-round development of relations.

When Premier Wen Jiabao visited India last year, the two countries announced plans to build a strategic and cooperative partnership for peace and prosperity. What progress has since been made? How will President Hu's visit strengthen this partnership?

During the visit of Premier Wen Jiabao in April 2005, the two countries reached a consensus to redefine the bilateral relationship as a strategic and cooperative partnership for peace and prosperity. This was an important milestone. During that visit, a number of important agreements were signed. These include the Agreement on Political Parameters and Guiding Principles for the Settlement of the India-China Boundary Question, the first agreement between the two sides on the boundary issue that marks the conclusion of the first stage of bilateral negotiations. The two sides had also agreed to share hydrological data on the Sutlej/Langqen Zangbo River, set up a film cooperation commission, establish a finance dialogue and a joint task force to determine the feasibility of an India-China regional trading arrangement (RTA). Progress is being continuously made in all these areas. Bilateral trade will surpass $20 billion this year; construction of an Indian-style shrine in central China's Luoyang City has commenced and is progressing very satisfactorily; meetings of the finance dialogue and the joint task force on the RTA are being held; and negotiations between special representatives of both governments to work out a framework for the settlement of the boundary issue based on the Political Parameters and Guiding Principles are continuing apace. All these developments are helpful to further enrich, expand and deepen the bilateral strategic and cooperative partnership.

Frequent and regular high-level exchanges are an important aspect of our bilateral strategic and cooperative partnership. President Hu's visit is a significant milestone in the development of this partnership. The visit will provide a further impetus to diversification and deepening of bilateral relations.

As rapidly developing countries with surging energy demands, how can China and India cooperate in the energy field?

For two fast-growing developing economies, the need for clean, affordable and reliable sources of energy is a primary concern, more so when both countries have to depend increasingly on fuel imported at high cost to their respective economies. In January this year, India and China signed a memorandum of understanding to encourage collaboration in joint exploration and production initiatives for oil and natural gas resources in third countries through joint commercial enterprises and joint bids for specific proposals. Both sides have worked together in this sector in several countries.

Fossil fuels, though, are only a part of the larger energy mix. We need to seriously start looking at cooperating in developing alternative non-conventional and renewable sources of energy, like solar energy, hydroelectric power, wind energy and nuclear energy. As major consumers of energy, as neighbors and developing economies, India and China can maximize benefits by sharing experiences in research and development and search for viable energy sources.