Date:11/01/2005 URL: http://www.thehindubusinessline.com/2005/01/11/stories/2005011100720700.htm

Back India, Italy to step up co-operation

Our Bureau

New Delhi , Jan. 10

INDIA and Italy have resolved to step up bilateral trade flows as a common goal for mutual benefit and reinforcement of political links.

This is indicated in the agreed minutes of the just-ended sixteenth session of the India-Italy Joint Commission for Economic Cooperation, which was signed here by the Union Commerce & Industry Minister, Mr Kamal Nath, on behalf of India and Mr Antonio Marzano, Minister for Production Activities, on behalf of the Government of Italy.

In a significant development in the wake of the phase-out of the multi-fibre arrangement (MFA), India and Italy have agreed to explore enhanced cooperation in textile clusters and in the field of textile design through the National Institute of Fashion Technology (NIFT).

Both sides expressed hope that the transition from quota to the non-quota regime in textiles "will be smooth and would not cause disruptions so as to affect current flows, without any negative repercussions especially on developing countries."

Both sides would also explore possibilities for cooperation in leather, gems and jewellery, food processing industry, tourism, energy, financial services and information technology for scientific research. They also consented to expedite signing of the memorandum of understanding in aquaculture an fishing products during the State visit to India of the President of Italy, Mr Carlo Azeglio Ciampi, so as to facilitate cooperation in the marine sector.

A bilateral taskforce would be set up for the development of industrial clusters and to foster cooperation between small and medium enterprises of both the countries.

India has invited Italy to participate in infrastructure projects in roads, ports and special economic zones. Both sides have also agreed to continue consultations to improve facilities for business entry visas to Italy.

The two sides expressed hope that the visit of the Italian President to India next month would mark a milestone in bilateral relations.

Although the bilateral trade increased to $2.27 billion during 2003-04, both sides have noted that the level of trade is far below true potentials and Mr Kamal Nath underlined the need to double bilateral trade volume to $5 billion within the next two to three years, an official release issued here said today.