India-Africa bilateral trade likely to double by 2015: Ficci

HYDERABAD: Bilateral trade between India and Africa was likely to double from the current USD 53 billion in the next five years, the Federation of Indian Chambers of Commerce and Industry (Ficci) said on Wednesday.

"Bilateral trade has more than doubled from USD 25 billion in 2006-07 to USD 53.3 billion in 2010-11. We expect faster growth and double the current figure in the next five years," Ficci secretary-general Rajiv Kumar said at the two- day 'India-Africa Business Partnership Summit' that began here today.

Kumar said growth would be primarily from the transport, equipment, services, healthcare and agriculture sectors.

Over 120 African and 250 Indian delegates, comprising heads of public-sector undertakings, corporate houses, government representatives and consultants are expected to participate in the summit.

Meanwhile, Tanzania Minister for Information, Communication and Technology Makame Mnyaa Mbarawa said his country had the most politically stable government in the sub-Saharan region, making itself the most important target destination for investments.

He said that India, with its investment of USD 1.27 billion between 1991 and 2008, is the largest global investor in his country.

Reliance Industries, Bank of Baroda, Tata Africa Holding, Bharti Airtel, and many other companies are already engaged in business activity in Tanzania, he disclosed.

TCA Ranganathan, chairman and managing director of Exim Bank, said the bank was helping in setting up food processing, textiles, diamond and IT clusters in African countries.

According to Ranganathan, IT and diamond clusters would be coming up at Botswana and Ghana respectively.

Andhra Pradesh Chief Minister N Kiran Kumar Reddy, who inaugurated the conference, said the industry should view Africa as an alternative trade destination to Europe and United States.

He said the State Government has been offering several incentives to the industry and special incentives to those with investment of about Rs 250 crore, besides offering power at cheaper rates as part of the industrial policy.