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‘India, Japan to bolster trade ties in many areas’

Our Bureau New Delhi | Updated on November 08, 2018 Published on November 05, 2018

Kenji Hiramatsu

Kenji Hiramatsu, Japanese Ambassador Extraordinary and Plenipotentiary, has said the Indo-Japan cooperation will be in a wide range of areas from Defence, IT, shipping, food processing, and Railways, among others, as a follow-up to Prime Minister Narendra Modi’s Japan visit.

A large Japanese company in food processing sector is exploring setting up a tomato processing unit in Maharashtra, said Hiramatsu, speaking at a Ananta Aspen Centre interaction here on Monday.

Other sectors

In maritime sector, the two countries are discussing cooperation in shipping information exchange. They are also mulling simplification of documentation for improving cruise shipping.

In airlines, Japan Airlines is mulling increasing flights between Southern India and Japan. In Defence, the two countries are discussing sourcing of naval technology. Also, they are considering equipment collaboration in unmanned vehicles and robotics.

Japanese and Indian universities are also looking to have more collaboration on students exchange. Japan said it would like to support environment and sanitation projects in India.

Railways

On Railways, India and Japan are cooperating in several areas, including metro rail across several cities, and also the high speed rail technology.

On high speed rail, bullet train project between Mumbai and Ahmedabad, for which Japan has extended its second tranche of Yen 150 billion loan, the fund use is not yet finalised.

Trade imbalance

On India-Japan trade imbalance, the Ambassador said the supply chains are becoming complex, making it difficult to find the exact trade imbalance. Some of Japan products manufactured in Asean market are being exported from Japan, which is not counted.

Also several products that were being exported from Japan, are now being exported from India, said Vikram Kirloskar, Director, Kirloskar Proprietary Ltd.

Japan also hopes to see more IT specialists coming to Japan.

Responding to a query on Japan extending support to China’s One Belt One Road initiative, a project that India has strategically not supported, Hiramatsu said Japan hoped sound international financing practices are followed in the project.

Incidentally, several experts have apprehended that China’s OBOR project will put countries in debt traps, through large funding done by China.

Ambassador Hiramatsu added that Japan provides quality infrastructure. “China is also an important partner for us,” Hiramatsu said.

While Japanese businesses are pleased with improvement in India’s ease in doing business, they further hope for more improvement in India’s ease of doing business, tax issues, infrastructure, he added.

 

Published on November 05, 2018
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