Newdelhi:28/2/19:Union Minister of Commerce & Industry and Civil Aviation, Suresh Prabhu,interacted with diplomats of India-Latin America and Caribbean Strategic (LAC) Economic Cooperation in New Delhi yesterday. In his keynote address Suresh Prabhu stressed on the need for a multi-pronged strategy to enhance our bilateral trade, both in merchandise and services.He said that establishing value chain linkages will help to boost trade relations between LAC-India. Patterns of trade have changed dramatically over the past few decades, and business activities at different stages of value addition are now located in different countries, based on where they are most efficiently produced. Any strategy for enhancing bilateral trade between LAC-India will therefore critically hinge on the scope for value chain integrations in various manufacturing and services segments.
The Minister said that there exists substantial scope for further cooperation in a multitude of sectors, including agriculture, health, energy and information technology. India, as a fast growing developing economy is experiencing burgeoning food and energy needs, and therefore, deeper ties with partners in the LAC region could prove to be mutually beneficial.
Several countries in the LAC region are agriculture powerhouses with large exportable surpluses. In fact, the region is often referred as another global breadbasket. The Global Harvest Initiative estimates that if the region maintains a Total Factor Productivity growth rate of 2.67 percent per year, food demand within the region can be met and exceeded by 2030, enabling it to vastly increase its contributions to global agricultural markets.The Commerce Minister said that Indian companies could form joint venture projects for cultivation of lentils, oil-seeds and food grains, which are crucial import items for India, providing win-win opportunities for our regions. Indian companies could also invest in in-situ storage to reduce produce-wastage. India could also share best practices and conduct joint research in sectors such as dairy farming, seeds and pulses.