Key border agreement to be inked as Manmohan, Li hold talks

The Indian cabinet approved the blueprint of the BDCA ahead of the prime minister's visit. The BDCA puts together existing mechanisms for maintaining peace on the border. It will not solve the border issue for which talks are going on for several years.



The source indicated India's unhappiness at the issuance of stapled visas. Several agreements are set to be inked, including on culture.

The adverse trade issue would figure in the talks. India is seeking market access to pharmaceuticals, IT among other items.

China and India are discussing setting up an industrial cluster in India and a Chinese team is scouting in India for possible sites to set up the special economic zone. The idea would be to sell the goods produced to China or third countries, which would also help in restoring the balance of trade which is heavily skewed in China's favour.