China's state-run media has warned that the country has made a mistake by ignoring the talent science and technology experts from India have to offer. It says that some high-tech firms are turning their attention from China to India due to the latter's relatively low labor costs.
"China cannot afford to risk a decline in its attractiveness for high-tech investors," the opinion piece in Chinese daily Global Times says.
It cites the example of US-based software firm CA Technologies which recently disbanded its operations in the country and is relocating to India. It also calls upon China to follow the example of USA's IT hub Silicon Valley, where a considerable number of software developers are from outside the country.
"US-based software firm CA Technologies has disbanded its almost 300-person research and development team in China while setting up a team in India with some 2,000 scientific and technical professionals over the past few years, Chinese news portal caijing.com reported recently. With a sufficient young talent pool, India is becoming increasingly attractive," reads the opinion piece.
The daily adds that while China has increased research spending and creating a favorable investment environment for high-tech firms to enhance its innovation capability, the talent pool is not large enough to meet the demand for the rapid expansion of innovation capability.
"In Silicon Valley, a considerable number of software developers working there are born outside the US. China should also strive to attract more foreign talent into the country as it aims to build itself into a world-class research hub.
A total of 1,576 foreigners were granted Chinese permanent residence in 2016, registering an increase of 163 percent from the previous year. It seems that China is aware of the importance of tapping into international talent. However, China has made the mistake of ignoring Indian talent, and instead has attached a greater importance to talent coming from the US and Europe."
“Some reports claim that the cost of employing an Indian engineer is just half the cost of hiring a Chinese worker, which means Indians could see their revenue more than double if they came to work in China,” it said.
“Some enterprises in Southwest China’s Guizhou Province provide convenience for Indian talent in terms of housing, insurance and transportation and could enjoy a much better standard of living in Guizhou cities than in Bangalore,” it adds.