India-Brazil ties soar on wings of trade, energy

By IANS

New Delhi : India and Brazil, despite being continents apart, deepened their strategic ties as the two countries Monday signed seven pacts in areas ranging from space and education to culture and energy. The two countries also launched a CEOs forum to quadruple trade to $10 billion by 2010.


Support TwoCircles

Prime Minister Manmohan Singh and Brazilian President Luiz Inacio Lula da Silva held talks on a broad spectrum of bilateral, regional and global issues including the expansion of trade and investment, the UN reforms, civilian nuclear cooperation and multilateral trade talks.

In a sign of new strategic equations between the two countries and comfort level between the two leaders, Lula appreciated India's growing energy needs driven by its rapidly expanding economy and indicated his country's readiness to back India in the 45-nation Nuclear Suppliers Group of which Brazil is an influential member.

Lula, however, stopped short of offering explicit support to India in the NSG, saying his country would take a formal position on the issue after New Delhi signs a safeguards agreement with the International Atomic Energy Agency (IAEA) and concludes a bilateral civil nuclear pact with Washington, official sources told IANS.

"Brazil's response was positive on civil nuclear cooperation. All issues were discussed in a cordial and constructive atmosphere," the sources said.

In a significant move that underscored their resolve to reach $10 billion trade target by 2010, the two leaders also launched an Indo-Brazil CEOs forum, modelled on a similar forum between India and the US, comprising top corporate honchos of the two countries.

Later, Indian steel magnate Ratan Tata and Petrobras CEO Jose Sergio Gabrielli, the two-chairs of the forum, signed a memorandum of understanding on establishing the CEOs forum in the presence of Manmohan Singh and Lula.

Another important agreement on exploration of offshore oil blocs in Brazil was signed between Oil and Natural Gas Commission (ONGC) and ONGC Videsh Limited (OVL) and Petrobras, Brazil's national oil company.

Four agreements were signed in the field of audio-visual co-production, cooperation in augmentation of Brazilian earth station for receiving and processing data from Indian remote sensing satellites mutual assistance in customs matters and on promoting an academic exchange programme between the two countries.

An MoU between the National Council for Applied Economic Research (NCAER) of India and the Institute of Applied Economic Research (IPEA) of Brazil was also signed.

Lula, who began his three-day state visit to India Sunday – his second in three years – focussed on adding economic substance to the strategic partnership between the two distant countries, which are emerging as what he called "key players in the international scene."

In a stirring speech in the afternoon to business leaders of both countries, Lula defied sceptics who complain of huge distances between the two countries and asserted that the two countries can even exceed the 2100 target of $10 billion with a more proactive participation of the private sector.

"Don't give me excuses. India and Brazil can do more than $10 billion bilateral trade by 2010," Lula said while alluding to the common complaint by some Brazilian businessmen that it takes 19 hours to fly from Brazil to India.

"No distance can diminish the appetite of a bold entrepreneur for trade. India today is a land of opportunity. So is Brazil," he said.

Lula also focused on enhanced partnership with India in promoting bio-fuels, an area in which Brazil is acknowledged leader, as an international commodity.

"It's time to consolidate our strategic partnership. The 21st century will be the century of opportunity for India and Brazil," the Brazilian president, popularly known as Lula, said to resounding applause from the audience.

Placing the burgeoning ties between India and Brazil in a global perspective, Lula said: "India and Brazil are being recognised as key players in the international scene. Our interests converge in multilateral fora."

Lula was alluding to the crucial role India and Brazil are playing in the G-20 grouping for a fairer deal for developing countries in the Doha round of trade talks.

In a hectic day packed with focused diplomacy, the 62-year-old Lula, the first left-wing of Brazil leader to occupy the highest office in his country, also met External Affairs Minister Pranab Mukherjee, the chairperson of the ruling coalition Sonia Gandhi and Leader of the Opposition L.K. Advani and discussed with an array of bilateral and global issues.

It wasn't just business and diplomacy all the way for Lula. In a special gesture of appreciation for his advocacy of the rights of the poor and the disempowered, President A.P. J. Abdul Kalam presented the prestigious Jawaharlal Nehru Award for International Understanding to Lula at an elegant function at the Hotel Taj Mahal, which was also attended by Prime Minister Manmohan Singh and senior ministers of his government.

SUPPORT TWOCIRCLES HELP SUPPORT INDEPENDENT AND NON-PROFIT MEDIA. DONATE HERE