When Defence Minister George Fernandes met Jiang Zemin, Chairman of China’s powerful Central Military Commission, in Beijing last month, Jiang reportedly remarked — in typically cryptic style — that he would like to see both the nations ‘‘climb higher and look far’’.It is now up to Prime Minister Atal Behari Vajpayee, expected to visit China in June, to take bilateral ties to new heights despite the historical baggage, with Beijing now signalling ‘‘mutual accommodation’’ to New Delhi.There are indications that Vajpayee, who will meet for the first time the new Chinese leadership headed by President Hu Jintao, may find Beijing more accommodating on the decades-old border dispute issue. The two sides are expected to push towards resolving the Line of Actual Control (LAC) in the western sector (Aksai Chin).That China is interested in sorting out the border dispute was conveyed to Fernandes by Guo Boixiong, Vice-Chairman of the Central Military Commission. Deputy Chief of General Staff and senior in hierarchy to Defence Minister Cao Gangchuan, Guo told Fernandes that China had resolved border issues with 12 of its 14 neighbours — those remaining were India and Bhutan.And he apparently suggested that both sides needed to be pragmatic and that New Delhi should show flexibility in the eastern sector (Tawang), which would be reciprocated by Beijing in the western sector.Guo also suggested “mutual accommodation” to Fernandes apart from “mutual respect and benefit”, which are enshrined in the 1954 Panchsheel Agreement.Fernandes, for his part, refrained from raising contentious issues in the official meetings, but pushed for enhanced economic engagement. He told his interlocutors that New Delhi wanted bilateral trade to double in the next five years.Bilateral trade figures, which stood at Rs 9,991.59 crore in 2001, jumped to 15,780.09 crore till December 2002 with Indian exports shooting up from Rs 3198.40 crore to Rs 6104.21 crore. However, both sides are still to sign the bilateral trade promotion and protection agreement as Beijing does not want a third party arbitration in case of trade disputes.While New Delhi is aware of the “all-weather” relationship between China and Pakistan, Vajpayee will focus on building a durable economic relationship with Beijing. He knows that a strong economic component in India’s relations with China could benefit political relations and perhaps even create a better climate in India for resolving the border dispute on the basis of LAC.For instance, if the border issue is resolved, India could look at a gas pipeline from Central Asian republics via Chinese Xinjiang region and Ladakh. Even the trade route from the Chumbi Valley-Siliguri corridor could be opened if China were to recognise Sikkim as part of India.The two sides have common ground on terrorism with Beijing facing problems from Uighurs in Xingjiang province and New Delhi in Jammu and Kashmir. That both sides are desirous of working towards better ties was amplified by Jiang, who told Fernandes that despite aberrations the two countries had civilisational bonds.It was evident during Fernandes’ visit that China wanted better ties with India and sought cooperation on high seas to tackle piracy and narcotics. In fact, China even came forward to offer helping Indian athletics and sports by sending coaches — something they have been doing for Pakistan.However, it is for Beijing to make concrete gestures to India and correct its tilt towards Pakistan as the latter has tremendous security ramifications for New Delhi. This will also assure Vajpayee, who had to cut short his visit to Beijing as India’s Foreign Minister in 1978 following China’s invasion of Vietnam.