India expects China to keep prices of COVID-19 medical supplies stable, supply chain open: Indian Envoy in Hong Kong

India expects China to keep prices of COVID-19 medical supplies stable, supply chain open: Indian Envoy in Hong Kong
India has expressed concern over the soaring prices of medical supplies like oxygen concentrators and other essential medical supplies being procured from Chinese manufacturers by private Indian traders to deal with the COVID-19 surge in the country.

India’s Consul General to Hong Kong Priyanka Chauhan called on China to help stop the sharp increase in prices of such essential medical items and restore the normal frequency of cargo flight services to maintain a steady supply chain as these are slowing arrivals of medical goods to India. Chauhan said in an interview with a Hong Kong-based newspaper that our expectation at this point is that the supply chain should remain open and product prices should remain stable. Pointing out the lack of government level support from China, Chuahan said, there has to be a sense of governmental level support and efforts.

On the need for more government-level cooperation between China and India during the pandemic for more of a guarantee on price stability and supply chain, Chauhan said that India would be open to discussing the issue to see if a better mechanism could be agreed. China’s efforts have been largely confined to private companies and donations from the Red Cross and Red Crescent societies, while other nations have pledged government help.
Her comments came in the backdrop of efforts by private Indian traders to source much-needed medical supplies, especially oxygen concentrators from China to fight the second wave of COVID-19 amid nearly quadrupled prices and a disrupted cargo operation from China to India. Importers from India are also lamenting the delays in delivery of supplies despite full payment in advance at a higher price.

Observers say that in absence of any sort of government level support, Chinese businesses have hiked the prices unreasonably giving reasons of high demand and lack of raw material which may not be completely true. In this regard, Chauhan said, “Even if there is a little bit of supply-demand pressure, there has to be some stability and predictability to product prices.”