India announces duty free tariff scheme for developing nations
The first ever Africa-India Forum Summit opened in New Delhi yesterday with India announcing a new financial package including a duty free tariff preference scheme for third world countries including Zambia.
Indian Prime Minister, Manmohan Singh said products covered under the new scheme include copper ores,
aluminium ores, cane sugar, cotton, cocoa, cashew nuts, ready-made garments, fish fillets and non-industrial diamonds.
During the colourful ceremony held at the Vigyan Bhawan International Conference Centre, Dr Singh explained India would provide preferential market access for exports from 50 Least Developed Countries (LDCs) of which 34 are in Africa.
Vice-President, Rupiah Banda, South African President Thabo Mbeki, Democratic Republic of Congo (DRC)
President, Joseph Kabila, Tanzanias’ Jakaya Kikwete and Ugandan President Yoweri Museveni were among
African leaders at the summit.
Dr Singh said the scheme would cover 94 percent of India’s total tariff lines and specifically grant preferential market access on tariff lines that comprise nearly all the global exports of third world countries.
“We recognize the crucial importance of market access in ensuring the development dimension of international trade. Accordingly I am happy to announce a duty-free tariff preference scheme on the occasion of this summit,” Dr Singh said.
Dr Singh also said his country would over the next five years double the $2.15 million dollars offered as credit to Africa in concessional loans and offer additional line of credit.
Dr Singh said India had over the past few years acquired considerable experience in undertaking projects in different countries in Africa through extension of concessional line of credit given by the EXIM Ban of India.
He said India would enhance opportunities for Africans to pursue further studies and as an immediate measure proposed to double long-term university scholarships and increase the number of technical assistance training slots by 500.
He said India would over the coming five years spend in excess of $500 million on projects in critical areas focusing on human resource development.
The Prime Minister added that developing infrastructure in railways, Information Technology, telecommunications and power generation and physical connectivity in Africa would be a priority.
He said India would in this task of developing infrastructure get the private sector on board and make full use of public-private partnerships.
He said India would also strengthen local capabilities by creating regional and pan-African institutions of higher education, especially in sciences, Information Technology and vocational education.
Dr Singh said Africa and India were endowed with young populations and proposed the establishment of an
India-Africa Volunteer Corps that would be devoted to development work.
“Both India and Africa are blessed with young populations. It is only by investing in the creative energies of our youth that the potential of our partnership will be fulfilled,” he said.
He suggested that the volunteer corps start on a pilot basis and identify projects in the areas of public health, informal education and women’s empowerment before broadening the scope with increased experience.
Dr Singh said India and Africa should play a bigger role in world affairs and had a chance to take charge of their own destiny and give new meaning to the concept of sustainable, equitable and environmentally friendly development.
The Delhi Declaration and the Africa-India Framework for Co-operation that the two parties plan to issue today at the end of the summit would provide the blueprint for India- Africa dialogue and engagement in future.
