India, Egypt boost bilateral economic cooperation

Egyptian General Authority for Investment (GAFI) Chairman Mohamed AlGhamrawi met yesterday with an Indian industrial delegation representing one of the biggest urea producers worldwide.

The meeting tackled executive procedure to set up a major venture to produce phosphatic fertilizers in the north of the Gulf of Suez area.

The project is to produce ammonia and urea with a daily capacity of 1,800 tons and 2,600 tons respectively at investment costs up to $ 450 million.

Ghamrawi underscored the project's capacity of export that may reach 100 percent of production to foreign markets.

The Indian delegation chief said the project considers exporting 100 percent of production to India, Australia and the Far East countries, noting the project will stand over an area of 1.25 million square meters through the free zone system.

The Indian side promised a serious study of Ghamrawi's suggestion to erect a plant in Egypt to produce phosphatic fertilizers and phosphoric acid in a way to benefit from the ample potentials of Abu Tartour phosphate in the New Valley.

An economic source said that India ranks second amongst Asian countries investing in Egypt after South Korea, noting the pending investment projects are expected to upgrade Indian investments to the first position at the level of the Asian continent.

Egypt's exports to India jumped from dlrs 65 million in 1996/97 to dlrs 256 million in 1999/2000, a fourfold increase that brought about a trade surplus for Egypt of more than dlrs 20 million.