India should not try to replicate China, says US expert

Talking about the lessons to be learned from the Chinese growth, he said India should not ignore the consequences of 8220;a singular preoccupation with BOP Balance of Payment surpluses.8221;

Rosen, who is also a visiting fellow at Peterson Institute and Adjunct Associate Professor at Columbia University, said this while delivering a talk on 8220;Revaluation of Chinese currency and its implications for India8221; organised by the Aspen Institute-India.

Referring to the impact of a likely appreciation of Chinese RMB by 15-20 per cent by December 2009, he said India could immensely benefit from the hardening of the currency 8220;if it get its trading infrastructure in shape in time.8221;

India, the US expert said, should also try to develop systems to deal with sudden adjustment in pricing of Chinese goods as a result of currency appreciation.

Rosen further said while Indian exporters would benefit from appreciation of RMB, the imports from China would become expensive.