Malaysia-India Trade Can Reach US$15 Billion This Year, Says Deputy Minister

KUALA LUMPUR, March 13 (Bernama) -- Bilateral trade between Kuala Lumpur and New Delhi has the potential to touch US$15 billion (US$1 = RM3.02) this year, said Deputy Minister of International Trade and Industry, Mukhriz Dr Mahathir said. He said through the many initiatives such as trade missions, exhibitions and briefings undertaken by both the Malaysian and Indian governments, the movement of goods and services will increase significantly and in line with the Malaysia-India Comprehensive Economic Cooperation Agreement (CECA). "This is what we are working towards and it cannot be achieved if sat on our laurels. A direct initiative, where we do business matching between Malaysian and Indian companies, would really help increase the trade figures. "I am confident that the US$15 billion target can be achieved this year," he told reporters after launching the Indian Chemical Exhibition 2012, here Tuesday. The projected trade figure was only slated to be achieved in 2015 under the CECA, as per the aspiration of Prime Minister Najib Tun Razak and his Indian-counterpart, Manmohan Singh. Mukhriz said this month marks the eighth month of implementation of the Malaysia-India CECA, and officials from both countries are tracking closely the impact it has had on bilateral trade relations. Last year, the Malaysia-India bilateral trade volume reached US$12.5 billion, up 33 per cent from 2010. On the investment front, Indian investments worth US$1.2 billion in the manufacturing sector were implemented last year, with Malaysia's investment in India totalled US$2.8 billion for the same period. "We certainly look forward to seeing more Indian investors doing business in Malaysia. The Malaysian government has been fine-tuning and improving the incentive packages we offer to investors. "In fact, our regional development corridors and industrial parks are now offering specialised and customised incentive packages to meet the needs of investors," Mukhriz added. He said locating a business in Malaysia offers companies a number of other advantages such as the geographical location, facilitation of communication and movement between suppliers and consumers in both east and west. "Malaysia has strong links within Asean and with other markets in the Asia Pacific region through its extensive Free Trade Agreement (FTA) network. "This also gives you exceptional marketing reach on a preferential basis," he added. -- BERNAMA