NEW DELHI, 21 January 2007 — Saudi Arabia is keen on investment and business opportunities from India in various sectors of the economy, a leading group of Saudi businessmen said in a recent visit to India.
Abdul Rahman A Al-Rabiah, managing director, Al-Rabiah Co. and head of the Saudi business delegation, made a presentation on the investment climate and opportunities in Saudi Arabia, including Saudi Arabia’s substantial exports of non-oil products during a meeting organized by ASSOCHAM (Associated Chambers of Commerce and Industry of India).
Addressing another meeting organized by CII (Confederation of Indian Industry), Al-Rabiah emphasized that Saudi Arabia is looking for investment from India in mining, petrochemicals, IT (information technology), tourism, health care, biotechnology, telecommunications, automobiles and components.
He said Saudi Arabia would shortly float tenders to invite foreign capital to put up variety of projects in infrastructure and oil and gas sector with private and government sector investments amounting to $50 billion. The tender would be floated in the next 1-2 months, he said, adding that its terms and conditions would be transparent and investment friendly.
“Saudi Arabia is confident of attracting Indian investment because it is the largest market in West Asia. Business has to take the lead and work with the government,” he said. Al-Rabiah, however, said “we need to decide how it can be used. Business is the basis for activities in related areas. Much has been done at the inter-government level and now the private sector has to take the lead.”
The seventh session of India-Saudi Arabia Joint Commission (JCM) held on Jan. 18-19 in the capital city was co-chaired by Indian Finance Minister P. Chidambaram and Saudi Minister of Commerce and Industry Hashim Abdullah Yamani. The Saudi delegation accompanying Yamani included Vice-Minister for Foreign Trade Abdullah A. Al-Hamoudi, a 32-member official delegation, a 36-member business delegation and an 18-member Information & Communication Technology (ICT) delegation.
Indian External Affairs Ministry said in a statement after the two-day interaction that “the proceedings of the JCM underlined the determination of both sides to work together to realize and achieve the goals set out in the Delhi Declaration issued during the historic visit of the Custodian of the Two Holy Mosques King Abdullah to India in January 2006.”
The statement said discussions were held to implement the provisions of the Delhi Declaration toward strengthening bilateral relations, enhancing economic, investment and commercial relations, building a strategic partnership in the field of energy and engendering cooperation in science and technology, education, health and promoting the welfare of the Indian community in Saudi Arabia.
Both sides made presentations on their respective economies and prospects and possibilities for investment. Both sides reiterated their commitment to follow up on various decisions taken during the JCM. Describing the bilateral trade and investments as “growing satisfactorily in recent times,” the statement noted “considerable possibilities” for “further growth.”
India is the fourth largest trading partner of Saudi Arabia. Apart from discussions at the government level, earlier in the week, the visiting Saudi delegations interacted with their counterparts at several joint business council meetings organized by FICCI (Federation of Indian Chambers of Commerce and Industry), CII and ASSOCHAM. The ICT delegation also visited Bangalore and Hyderabad for interaction with various Indian companies and representatives in the ICT field.
At business meeting organized by FICCI, Yamani voiced the Saudi government’s objective of developing a greater role of trade and investment in its relations with India. He assured business leaders that his government would provide necessary support to help increase trade flows between the countries.