India and Mauritius begin talks on economic pact
India Infoline News - 9 August 2005
India and Mauritius begin talks on economic pact
India and Mauritius on Monday held the first round of talks on a Comprehensive Economic Cooperation and Partnership Agreement (CECPA). The meeting took place between the Empowered Committees of the two sides, in keeping with the decision taken during the official visit of the Indian Prime Minister to Mauritius in March-April this year.
The Indian delegation was headed by S.N. Menon, Commerce Secretary, while the Mauritius delegation was headed by Anand Prijay Neewoor, Secretary of Foreign Affairs, Republic of Mauritius.
According to a joint statement issued by the two sides, relations between India and Mauritius have traditionally been very close and warm, based on common cultural heritage and ties of kinship. India attaches great importance to its relationship with Mauritius which is reciprocated fully by Mauritius, the statement said.
In order to further strengthen and consolidate their bonds and to promote cooperation between the two countries in the economic, commercial and other fields, it was decided to formulate a CECPA between the two countries in an expeditious manner. During the meeting, both sides discussed the modalities of implementing this decision and recognised that investment and economic cooperation would be a key plank of the CECPA.
It was noted that though Indian investments in Mauritius had been increasing in the recent past, it continued to be well below the potential. Mauritius stressed that, in view of its core competencies, strategic location and trade agreements at multilateral and regional levels, it could serve as a hub for Indian investors for accessing other markets through its various trade agreements.
The study commissioned by the Government of Mauritius with the EXIM Bank of India identified several areas of investment for the Indian corporate sector. These include Tourism, Health, Education, Financial Services, IT and Telecom. These are in addition to small and medium enterprises (SMEs) development, specific areas of manufacturing and capacity building. It was noted that a key objective of Mauritius was to transform itself into a Centre of Excellence to meet its own needs and those of the region.
The CECPA would lay down the road map as well as modalities for encouraging Indian investments in Mauritius and joint India-Mauritius investments in the region. It would provide institutional and facilitative framework to incentivise Indian investments.
Mauritius looked forward to increased inflow of Indian investment besides transfer of technology and know-how, which should accelerate the process of economic development. The Indian side expressed its keenness to foster and promote relations with Mauritius in diverse areas.
At the end of the discussions, both sides recognised that ample opportunities existed for further enhancing the cooperation between the two countries in a mutually beneficial manner within the framework of the proposed CECPA. Mauritius agreed to host the next meeting for the CECPA.
