CROATIA KEEN ON COOPERATION WITH INDIA IN IT SECTOR
Croatia is keen to strengthen
cooperation with India in the field of Information Technology
(IT) and computer software services. This is indicated in the
Protocol of the Sixth Session of the Indo-Croatian Joint Committee
on Trade and Economic Cooperation, which also states that India
and Croatia have agreed to take steps to further increase and
diversify bilateral trade on a mutually beneficial and balanced
basis. The Protocol was signed on behalf of India by Shri S.N.
Menon, Additional Secretary, Department of Commerce, Ministry
of Commerce and Industry and co-chairman of the Indian side, who
led the Indian delegation to the Joint Committee and by Ms. Olgica
Spevec, Assistant Minister for Trade Policy & Economic Relations,
Ministry of Economy, Government of Croatia and co-chairman from
the Croatian side. The Joint Committee reviewed developments in
bilateral trade including the stagnating trend in the volume of
trade in the past few years and underlined the need for major
initiatives to tap the vast existing potential. Ms. Spevec also
called on Shri Rajiv Pratap Rudy, Minister of State for Commerce
and Industry.
Both sides
have agreed to support the initiatives for setting up of a Marketing
Centre in Croatia to promote bilateral trade between India and
Central & Eastern European countries. The Croatian side is
ready to offer use of the warehouse at Rijeka Port. The Croatian
side also informed about the Croatian Law on free zones and invited
Indian companies to use facilities of the Port of Rijeka
and existing free zones in Croatia.
The Indian side impressed upon the
Croatians the need to activate efforts to step up exports from
India to Croatia in non-traditional or niche product groups such
as engineering items, software/information technology, electronics,
plastics, packaging, pharmaceuticals, medical equipment and food
processing etc. as also for expanding the traditional export basket
to include medicinal herbs, and herbal medicines, processed foods,
automobiles & auto parts, silver and kitchen ware etc. The
Croatian side on their part, expressed interest in increasing
their exports to India on various items especially different kinds
of ships and boats, complete equipment for power plants especially
generators, turbines etc.
Both sides have agreed to advise
their respective banking agencies to initiate banking arrangements
to establish Line of Credit to finance exports of both sides with
focus on machinery, industrial manufactures and related services.
Exim Bank of India would explore possibilities of signing credit
guarantee agreement with the Croatian Bank for reconstruction
and development (CBRD). It was also agreed that the Agreement
on Avoidance of Double Taxation would be finalised for signing
as early as possible.
Cooperation in the areas of textiles,
leather & footwear, tourism, engineering, energy, oil industry,
chemicals, petro-chemicals & pharmaceuticals, electronics
& software/IT, telecommunications, ship building, industry
especially machine building and food processing would be further
explored. In respect of textiles, both sides agreed to improve
the manufacturing of Indian textile semi-products in Croatia for
exports to third country markets.
The Croatian side also responded
favourably to the Indian suggestion for creation of joint ventures
between Indian and Croatian companies for setting up of customs
bonded warehouses which would facilitate prompt and timely delivery
of goods to Croatian importers.
The Indian drafts of Agreements for
Cooperation in Agriculture and
Allied sectors, Health & Medicines,
Plant Quarantine & Plant Protection, Science & Technology
and on National Televisions were handed over to the Croatian side
for consideration, with both sides agreeing to initiate negotiations
on these agreements soon.
