New Delhi: A high-level business delegation will visit India in July 2007, said Mr Akira Amari, minister of economy, trade and industry, Japan at a meeting organized by the Confederation of Indian Industry (CII), here on Saturday. He said that Japan will be holding the first policy dialogue with India, during the visit and will present a comprehensive concept paper by end 2007.
The delegation will focus on strengthening economic partnership between the two countries, as Common Economic Partnership Agreement (CEPA) with India will be an important development for ASEAN+6 countries, of which India is a member.
DMIC will be beneficial to both countries in developing ports, business parks and infrastructure and Japan will invest heavily in the project. FDI is increasing in India, which is being considered as a big economic power though it faces challenges of infrastructural development, roadways and unemployment. Japan has been striving to strengthen economic relations with India.
First energy dialogue with India has been planned on April 23, 2007 in Japan during the visit of Montek Singh Ahluwalia, deputy chairman, planning commission of India, added Mr. Amari. He also mentioned that an MoU is proposed with India on the importance of intellectual property in human resource development, information technology and dissemination of information.
Kamal Nath, minister of commerce and industry, Government of India said that Japan has been constantly supporting India on development activities and Japan’s contribution to Official Development Assistance (ODA) has been highest.
According to him, all Asian countries have accepted East Asian Economic Area concept and Japan has endorsed an institute to study trade and possible opportunities in the region. FDI for the year ended 31st March 2007 has been the highest so far, having touched $15 bn (67,500 crore)as against previous year’s 5.5 bn.The Minister added that the FDI target for the current year is $25 bn.
India is negotiating with Japan on CEPA and two rounds of talk have already taken place in last four months. On DMIC, state governments are stakeholders and capacity building is an integral part of the project where Japan is assisting India, said Mr Nath.
In a presentation on DMIC, Dr Ajay Dua, Secretary, department of industrial policy and promotion, Ministry of Commerce and Industry mentioned that the project would ensure interdependence of various sectors of economy. It offers integration between industry and infrastructure leading to economic development.
Industrial corridor has been planned along major transport arteries like highways, passenger train connectivity and rail freight corridors connecting to ports to facilitate imports / exports. The 1,483 km-long Delhi – Mumbai dedicated freight corridor passes through states of Uttar Pradesh, NCR of Delhi, Haryana, Rajasthan, Gujarat and Madhya Pradesh.
Presenting the vision of DMIC, he said the objective is to ensure sustainable freight solutions with an integrated mechanism for smooth freight distribution across various states and setting up skill development centres to cater to both Industry and Agro-Processing Zones along the corridor through the involvement of Government, Industry and trade.