UAE-India aim for strong trade ties

 
Stronger business and economic ties between the UAE and India were on the agenda yesterday when Economy Minister Sultan bin Saeed Al Mansouri met Indian Minister of Commerce and Industry Kamal Nath in Dubai.

The dialogue centered on further balancing the already excellent relations between the two countries, a ministry statement said. A key issue was the improvement of private sector relations, particularly the enhancement of industrial sectors.

Indian representatives encouraged UAE companies to invest further in their country in areas such as food processing and storage and infrastructure development. Al Mansouri affirmed the existence of various significant investment opportunities in India. The attendees also discussed the development of India’s airports and the resolution of certain banking issues, as well as the enhancement of India’s small- and medium- sized businesses.

Another important topic discussed was food security, the statement said. Both parties discussed trade policies on food commodities such as Basmati rice, and the setting of monthly UAE supply requirements to ensure that the country acquires sufficient supplies of basic food items.

The group explored the possibility of holding meetings in either country every six months to follow up on the matters discussed and focus on new areas.

Al Mansouri said: “We currently maintain very healthy relations with India; bilateral trade between our countries, excluding India’s crude imports, is currently at Dh69.78 billion and is expected to grow further by 30 per cent in 2010. Both our countries are witnessing rapid economic growth, so forming a strong partnership to leverage our unique strengths will help attain our mutual goal of sustainable development.”

India is in the middle of an economic upsurge, highlighted by a stable eight to nine per cent annual growth; climbing foreign exchange reserves; steadily expanding foreign direct investments; and a burgeoning capital market. The country has thus evolved into the second fastest growing major economy in the world. Nath discussed the factors that have contributed to this achievement and enhanced India’s contacts with UAE Government and business leaders during his tour.

Nath’s agenda included speeches at a luncheon meeting discussing India’s economy and business prospects hosted by the Emirates Banker’s Forum 2008, and a special event hosted by the Dubai Chamber and the Federation of Indian Chambers of Commerce and Industry.

“The productive talks I have had with business and industry will hopefully attract more investments and joint ventures that will help boost India-UAE trade to more than Dh91.82 billion in 2010,” Nath said in the statement.