India and China are working closely to achieve $10 billion worth of bilateral trade in the next two years, a target set by the leadership of the two countries, a senior Indian diplomat said in Beijing on Monday.

Speaking at a road show in Beijing to announce the holding of the largest-ever 'Made in India' show in Shanghai and Beijing next month, the deputy chief of mission of the Indian Embassy, Debnath Shaw said the political leadership of India and China have recognised the fact that bilateral trade was nowhere near their potential and more needs to be done.

Thus, the holding of MII from October 14 to 19, a joint effort of the Confederation of Indian Industry and the Indian missions in Beijing and Shanghai, is an attempt to help propel Indo-China trade and investments and also arrange a venue for the entrepreneurs to meet and know each other, he said.

The MII, to be attended by 500 Indian businessmen, including some top CEOs would be a follow-up of Prime Minister Atal Bihari Vajpayee's visit to China in June, Shaw said.

Speaking at the function, CII's deputy director-general Gurupal Singh said the MII would be the largest-ever of its kind to be hosted by the premier Indian trade body in a foreign country.

He said there was a lot of interest in MII show in China amongst Indian business community, which is reflected by the large number of Indian participation in a rage of sectors, including steel, information and communications technology, health and automobile.