November 16, 2007 (LPAC)--Indian and Chinese collaboration is taking greater and greater strides forward. In 2007, the trade between the two countries has exceeded 27 billion and is expected to top $30 billion mark by the end of this calendar year. According to the Chinese envoy in Delhi, Sun Yuxi, the $40 billion bilateral trade target set for 2010 is likely to be reached next year in 2008.

There are also indications of an overall attempt by both the nations to develop security understandings. Today, the Indian and Chinese officials, who met for the annual defense dialog in Beijing earlier this week, announced that the Indian and Chinese armies will conduct their first war games in China, sometime next month. The exercise, is to be based on an `anti-terror scenario in a mountainous region', will see the participation of about 100 soldiers from each side. China's mountainous Chengdu military region has been mentioned as a possible venue for the event.

Bimal Jhulka, joint secretary in the defense ministry headed the Indian side at the talks and Qian Lihua, director of the foreign affairs office of the Chinese defense ministry, led the host delegation.