|
India and Egypt to deepen trade cooperation |
 |
India and Egypt have agreed to explore possibilities of exchanging industrial know-how and formation of joint venture in diverse fields of commercial activities to take their bilateral trade volume to a new high.
The identified areas for such cooperation and heightened trade include, among others, textiles, iron and steel, cement, building materials, automotive and its components, chemicals, petrochemicals & fertilisers, drugs & vaccines, communication and IT, new and renewable energy and organic fuel for industrial use, infrastructure, housing and real estate development projects.
This was discussed during a bilateral meeting between Mr Kamal Nath, Union Minister of Commerce and Industry, and Mr Rachid Mohammed Rachid, Trade Minister of Egypt, here today. The meeting was attended by Mr G.K. Pillai, Commerce Secretary; Mr Ajay Shanker, Secretary (Industrial Policy & Promotion); senior officials from the Ministry of Commerce and Industry and a large business delegation from both the countries.
During the discussions, Mr Nath welcomed the Egyptian proposal for exploring the possibility of entering into a Framework Agreement on Economic Cooperation which will provide opportunity to the two countries for greater interaction in the field of trade and investment. He said that both countries could benefit by cooperating in the field of pharmaceuticals and possibilities of setting up of joint ventures should be explored to exploit the markets in West Asia and Africa. Mr Nath also welcomed the Egyptian proposal for Indian Industrial Zone in Egypt exclusively for Indian companies to attract Indian investments targeting domestic market as well as contiguous international markets in Europe, Africa and West Asia.
Mr Nath informed the Egyptian Minister that India has allowed foreign equity participation up to 100 per cent, through automatic route, in the textiles sector and suggested that Egyptian manufacturers / exporters of readymade garments could source their requirements of fabrics from India.
Egypt’s aim: Speaking at the bilateral meeting, the Egyptian Minister Mr Rachid stated that the objective of the business delegation visit was to boost bilateral trade and investment between Egypt and India, encourage opportunities between private sector on both sides, and strengthen a new platform for economic cooperation, including a proposed free trade agreement between the two countries.
Egypt is India’s largest trade partner in North Africa accounting for 40 per cent of India’s trade in the region. In terms of value, India’s trade turnover with Egypt has grown nearly nine-fold in 2006-07 as compared to 2000-01.
India imports a diversified product basket from Egypt comprising of oil, inorganic chemicals and fertilizers (crude).
|
