SEPARATE CELL FOR INVESTMENT FROM JAPAN PROPOSED
JAPANESE BUSINESS DELEGATION CALLS ON KAMAL NATH
Date : 02 Nov 2004
Location : New Delhi
Shri Kamal Nath, Minister of Commerce and Industry, has said that he would be happy to have a separate cell in the Ministry to deal exclusively with investment from Japan. He said that a special thrust was required to realise the full potential of trade and economic co-operation between the two countries, during a meeting with the high-level business delegation from Japan, led by Mr. Nobuo Ohashi, Chairman / Mitsui company and head of the India-Japan Business Cooperation Committee, which called on him today. The Minister agreed with the delegation that infrastructural inadequacies were the weakest links in India’s investment scenario, but pointed out that it also offered an opportunity for investment for Japanese companies. In response to a specific query from the Japanese as to why India could not borrow to fund its infrastructure projects, Shri Kamal Nath said that "investment would also bring in latest technology and besides, unlike borrowing, investment is an asset creating process." Regarding Press Note 18, the Minister clarified that the government would be mindful of the specific concerns of foreign investors, including those from Japan.
On export of iron ore to Japan, it was noted that the current agreement was going to expire by March 2005 and a solution satisfactory to both the countries would be found to sustain the trade.