India has proposed the setting up of joint ventures in Kazakhstan based on minerals and other raw materials available in the country to manufacture value-added goods, which could then be exported to India.
Since India requires most of the minerals and raw materials produced by Kazakhstan and it is not economical to import these due to high transportation costs, the two countries should discuss the possibility of setting up joint ventures in such metals and minerals, petroleum minister Veerappa Moily said.
Moily was speaking at the 10th meeting of the India-Kazakhstan inter-governmental commission on trade, economic, scientific, technological, industrial and cultural affairs being held in New Delhi during 8-9 January.
Several Indian companies (both in the public and private sector) are trying to set up joint ventures for the manufacture of fertilisers in Kazakhstan. They are exploring projects to manufacture gas-based fertilisers like urea, potash-based fertilisers and phosphatic fertilizers, he said.
Efforts are also being made to encourage Indian pharmaceutical companies to set up joint ventures in Kazakhstan. An agreement between the two countries in the field of pharmaceuticals is still pending, the minister said.
India is a huge market of 1.2 billion people, and its economy is growing at more than 8 per cent per year and it needs a whole lot of resources for developmental programmes, Moily pointed out.