India and Africa build trade cooperation

India and Africa have offered each other cooperation on various fronts at the first India-Africa Forum Summit held in New Delhi. The Indian Prime Minister Mr. Manmohan Singh addressed the leaders of 14 African nations that India will invest $500 million for development projects in Africa. It will also increase its lines of credit to African countries and regional economic groups by 170% to $5.4 billion, from $2 billion in the last five years.

Africa will gain from the duty free imports allowed by Singh, to the world’s 50 least-developed countries, 34 of which are in Africa. Africa would export products including non-industrial diamonds, aluminium and copper ore, cotton, cocoa, ready-made garments, cashew nuts and cane sugar. India will provide its expertise in information technology and low-cost.

Africa would allow India greater access to its natural resources. The summit held from April 7-9 was attended by leaders of South Africa, Kenya, Egypt, Tanzania, Ghana and Algeria. This is at a time when bi-lateral trade between India and Africa has risen six-fold over the last five years to about $30 billion a year.