Zee Media Bureau

New Delhi: The Cabinet on Wednesday approved in principle a memorandum of understanding (MoU) between India and China for setting up industrial parks in the country.

The details of the agreement will be available only after the memorandum is signed, said Ravi Shankar Prasad, Minister of Law and Telecom while addressing the press.

According to reports, China is interesting in investing in India especially in agro-processing, tourism and manufacturing.

Under the memorandum, China is likely to set up industrial parks in three states of India in UP, Haryana and Andhra Pradesh.

As per sources, China will participate in setting up of the industrial parks in the country.

Another report suggests that China had offered to set up industrial park in Nashik in Maharasthra.

Recently, a study by PHD Chamber of Commerce revealed that China had emerged as India's biggest trading partner in the current fiscal replacing the UAE and pushing it to the third spot.

India-China trade has reached USD 49.5 billion with 8.7 percent share in India's total trade, while the US comes second at USD 46 billion with 8.1 percent share and the UAE third at USD 45.4 billion with 8 percent share during the first nine months of the current fiscal, the study also revealed.