DUSHANBE, August 8, Asia-Plus — On Monday August 7, Tajik-Indian negotiations at the highest level in New Delhi resulted in signing of five cooperation documents, presidential press service reported.
According to the source, Tajik President Emomali Rahmonov who is currently in India on his official visit and India’s Prime Minister Mahmohan Singh singed a joint statement, which expresses readiness of the two countries to further develop bilateral economic relations. Tajikistan has supported India’s permanent membership to the UN Security Council. Emomali Rahmonov and Mahmohan Singh expressed readiness to undertake all necessary measures to cooperate in fighting organized crime, trafficking in drugs and weapons, and organizers and sponsors of terrorist acts, as well as money laundry.
The sides also signed a Memorandum of Understanding (MoU) on cooperation in the filed of hydropower. The Indian side showed interest in studying investment projects drafted for a number of branches of Tajikistan’s economy, including energy, industry, transportation, and agriculture, according to the source. The Government of India grants an assistance of US$13 million for rehabilitating a 12 MW hydropower plant in the Varzob district near Dushanbe.
The sides also considered the possibility of cooperation in the construction of the Roghun and Dashtijum hydroelectric power stations, as well as small power plants in Tajikistan, launch of joint ventures to work in the Tajik mining industry and pharmaceutical industry, process farm produce, aerial communication, science, culture, healthcare and education.
According to information from the Ministry of Economy and Trade, a volume of India’s investments in Tajikistan’s economy in January-June of this year has amounted to US$717,700, while in 2005 it amounted to over US$2.67 million. Investments mainly went to funding the construction of a joint venture in Dushanbe on processing fruits and vegetables. The plant was finished in April 2005, but it has not operated so far.
In the course of the talks the sides also exchanged views on a state and prospects of expansion of trade cooperation between the two countries. Both sides vowed to boost bilateral trade, which currently did not correspondent to its real potential.
According to figures provided by the State Committee for Statistics, the trade turnover between Tajikistan and India has amounted to US$1.60 million in January-June this year, which is 7.5 percent more compared to the same period of 2005.
Emomali Rahmonov and Mahmohan Singh seconded a proposal of Tajik-Indian commission for trade and economic cooperation to a business forum in Dushanbe in May 2007.
India also pledged to expand technical assistance to support Tajikistan”s membership bid for the World Trade Organization (WTO).
The sides also signed a program of cooperation in the filed of science and technologies for 2006-2009, and memorandums on holding inter-MFA consultations and cultural exchange.
In the meantime, India’s newspaper “The Hindu” reports Tajikistan President Emomali Rahmonov on Monday, sought increased economic cooperation with India, as he described the present bilateral trade between the two nations as “unsatisfactory”. “Due to the level of our interaction, I would like to say that the level of economic cooperation is not sufficiently satisfactory and is far below its potential,” the President said at a business meeting organized jointly by Federation of Indian Chambers of Commerce and Industry (FICCI), Confederation of Indian Industry (CII) and the Associated Chambers of Commerce and Industry of India (ASSOCHAM).
Trade turnover between the two nations has decreased from 30 million dollars in 2001-02 to less than 1.5 million dollars in 2005.
Rahmonov said the governments of both the nations are interested and eager to create favorable conditions for enhanced economic cooperation. “The inter-Governmental commission on trade, economic, scientific and technical cooperation, formed to increase prospects of economic cooperation, should serve for seeking priority directions for cooperation,” he said.
Rahmonov outlined sectors like tourism, pharmaceutics, construction, agriculture, hydropower, food supplies and minerals, as areas of which could drive the bilateral trade between the two countries. He especially invited Indian investments in hydropower. “We are discussing with potential investors for setting up large-scale hydro-power projects in our country,” he said. He also sought Indian expertise in the agriculture sector for developing the industry in Tajikistan.
