Indian Prime Minister Manmohan Singh said his government would offer a duty-free tariff preference scheme for the least developed countries (LDCs) to spur trade and commerce.
"The objective of our partnership is to co-operate with all African countries, within the limits of our capacities and capabilities, in their efforts towards achieving economic vibrancy, peace, stability and self-reliance.
“Towards this end, it is our intention to become a close partner in Africa's resurgence," he said in his opening address at the two-day India-Africa Forum summit in New Delhi on Tuesday, 8 April 2008.
Under the scheme, India will unilaterally provide preferential market access for exports from all 50 LDCs, 34 of which are in Africa. The scheme will cover 94% of India's total tariff lines.
Singh said the scheme would offer preferential market access on tariff lines that comprised 92.5% of global exports of all LDCs.
Some of the products of immediate interest to Africa that are covered include cotton, cocoa, aluminium ore, cashew nuts and ready-made garments.
He said India would also undertake the development of critical projects over the next five to six years, against grants in excess of US$500 million.
The Prime Minister said India would also strengthen local capabilities by creating regional and pan-African institutions of higher education, especially in sciences, Information Technology and vocational education and investment in research and development in renewable forms of energy, and agricultural development.
“We will enhance opportunities for African students to pursue higher studies in India.
“As an immediate measure, we propose to double our long-term scholarships for undergraduates, post graduates and higher courses and increase the number of training slots under our technical assistance programme from 1100 to 1600 every year,” he said.
Africa-India trade has surged significantly, from US$5.5 billion in 2002 to US$30 billion last year.
Leaders of 14 African countries, including several presidents, are here to explore deeper trade relations with India, which is now the world's fourth largest economy.
Article published courtesy of BuaNews
