Inclusion of New Markets from LAC Integral to India’s Growth Strategy: Scindia Leads WEF Discussions on Inclusive Growth Visit to Focus on Deepening Economic Ties with Latin American Region

Press Information Bureau

Government of India

Ministry of Commerce & Industry

29-April-2011 14:19 IST

Inclusion of New Markets from LAC Integral to India’s Growth Strategy: Scindia Leads WEF Discussions on Inclusive Growth Visit to Focus on Deepening Economic Ties with Latin American Region

Minister of State for Commerce and Industry Shri Jyotiraditya Scindia, led the discussions in the plenary session on the theme of “Achieving Inclusive Economic Growth” at World Economic Forum( WEF), Latin America in the Rio-Di-Janerio on April 28th, 2011. Strongly pitching for percolation of fruits of growth to the common man Shri Scindia said that, “There is an urgent need to give a boost to manufacturing sector so as to increase employment opportunities for the large young population in the developing countries.” He further said, inclusion of new markets particularly from Latin American countries is integral to India’s strategy for inclusive growth. He said that the regions of Asia, Latin America and of Africa are fast emerging as growth engines of world economy.

On the margins of World Economic Forum Shri Scindia had a meeting with Mr. Alessandro Texeria, Deputy Minister of Development, Industries and International Trade Brazil, Mr. Luis A Moreno, President Inter-American Development Bank, Mr. Roberto Rodrigues, Director Getulio Vargas Agribusiness Centre Brazil and Dr. Luciano Coutinho, President Brazilian Development Bank.

The Minister of State is on a ten day tour to Latin American countries (LAC) as a part of India’s diversification and focus LAC scheme. Along with Brazil he will also visit Uruguay and Argentina. He will meet the senior Ministers and National Bank officials during his visit. The Minister is leading a high powered business delegation. Shri Scindia will be addressing the joint business meetings during the visit.

Latin American countries figure prominently in India’s market diversification strategy which has yielded good results during the global financial crisis and in its aftermath. The integrated programme “Focus: LAC” which was launched to leverage the potential market in the Latin American region has been extended up to March 2014. The programme focusses on deepening institutional mechanism of cooperation, improved market access and economic infrastructural facilities. India has preferential trade agreements with MERCOSUR, Chile, and joint commissions with most of the major Latin American countries. Under the focussed market scheme 31 Latin American countries have been notified. India’s total export to Latin American countries is to the tune of about 105 billion US $ for the year 2010-11 and India’s total import in the same period has been US $ 161 billion from this region. Brazil is the largest trading partner of India in Latin America.

Brazil is important strategic partner for India and has been coordinating positions with India in multilSateral fora like WTO. In IBSA and BRICS India-Brazil have emerged as key collaborators on the issues of interest for emerging economies. Our exports to Brazil were US $ 2414 million and import was US $ 3437 million in 2009-10. Principle commodities of export by India are petroleum, machinery and instruments, pharmaceuticals, garments and chemicals. India imports petroleum, sugar, iron, steel, metal scrap, organic chemicals and vegetable oils.

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DS/GK