NEW DELHI, 16 June 2006 — Kuwaiti Emir Sheikh Sabah Al-Ahmad Al-Jaber of Kuwait said yesterday: “We are ready to discuss all issues, which could serve the interests of both India and Kuwait and we hope this visit will be a cornerstone in the tradition between our two countries, this tradition, which goes back in history.”
He made this statement after being accorded a ceremonial reception at the forecourt of the Rashtrapati Bhawan. He was received by President A.P.J. Abdul Kalam, Prime Minister Manmohan Singh and other members of the government.
He also inspected a guard honor presented by the three services.
The ceremonial reception was followed by delegation-level talks during which Sheikh Sabah and Manmohan focused on issues of bilateral interests and also on regional and international situation.
The two sides signed three key agreements on avoidance of double taxation, cooperation in drugs and narcotics controls and boosting of cultural ties. “India and Kuwait have signed the three agreements in the presence of Sheikh Sabah and the prime minister,” an official said.
Sheikh Sabah is the first ruler of the Gulf country to visit India over the past two decades, and his visit is expected to give a new fillip to the Indo-Kuwait relations as well as India’s ties with the Arab world, particularly in the field of oil diplomacy.
Excluding oil, Indo-Kuwaiti trade was almost $700 million in 2004-05. India received crude oil and oil products worth $4.5 billion from Kuwait in 2005.
Both India and Kuwait are interested in tapping greater opportunities of increasing investment and enhancing trade.
Suggesting this, Hilal Meshari Al-Mutairi, first vice chairman of Kuwait Chamber of Commerce and Industry (KCCI), said: “Though Kuwaiti investments in India started over 80 years back, the potential has not been properly utilized.”
Al-Mutairi heads the business delegation, accompanying the emir. Describing India as a very important focus for Kuwait, he said: “Through the government-owned Kuwait Investment Authority we are focusing on stepping up investments in Asia, particularly India.” Al-Mutairi was speaking at a meeting organized by the Federation of Indian Chambers of Commerce and Industry (FICCI).
“We would also like Indian companies to invest in Kuwait, which offers several opportunities, including in Iraq, once the situation stabilizes,” Al-Mutairi said.
“Pushing the economic agenda by both the countries at global level is a matter of priority,” Ministry of Commerce and Industry Director R.M. Mishra said at the same forum. In this direction, India and Kuwait are likely to sign Free Trade Agreement (FTA) in the near future, Mishra said.
During the interaction between Indian and Kuwaiti businessmen, it was also revealed that India is expected to go in for building real-estate, infrastructure and construction sectors in Kuwait. Accompanied by a high level delegation, including businessmen, ministers of foreign affairs, energy and finance as well as senior officers, Sheikh Sabah arrived here on Wednesday evening.
President Kalam hosted a banquet in the emir’s honor yesterday evening.
Before Sheikh Sabah leaves for Bombay, India’s financial capital tomorrow, he is to meet Congress President Sonia Gandhi, Defense Minister Pranab Mukherjee, Home Minister Shivraj Patil and leader of the opposition L.K. Advani.
India’s Foreign Ministry said the visit would substantially strengthen bilateral ties, a view echoed by Kuwaiti Ambassador Khalaf Abbas Khalaf Al-Foudari.
“The visit is expected to ... enhance cooperation in the fields of investment and trade based on mutual benefit,” the Press Trust of India news agency quoted him as saying.
Kuwait was likely to seek investments from India, the ambassador said adding: “The opportunities for investment in Kuwait are very encouraging. There are many sectors having great scope for investment, particularly oil and petroleum.”
India imports 70 percent of its energy needs and is keen to buy more oil assets abroad to fuel its fast-growing economy that clocked eight percent growth last year.
— Additional input from agencies
