Ecuador signs MoU with ONGC,hopes to double bilateral trade

Kolkata, Feb 01 (UNI) Within six months of launching bilateral relations with India, Ecuador has signed a Memorandum of Understanding(MoU) with the Oil and Natural Gas Corporation(ONGC) for the supply of crude oil and natural gas.

Disclosing this here today the newly appointed ambassador of the Republic of Ecuador in India Carlos Abad told UNI that under the proposed agreement,which might be formalised during the visit of Ecudorian President Rafael Correa to India before January 2008, an oil refinery would be set up in the South American country at a cost of 2.8 billion dollars from where the entire demand of ONGC would be met in phases.

The Ecuodorian envoy since his arrival here last night on a two day maiden visit to West Bengal,addressed several meetings including the members of the city's Bharat Chamber of Commerce (BCC) to explore business opportunities both at the national and state levels.

Expressing optimism at the scope of higher business opportunities between the two countries,Mr Abad said volume of trade had reached the 60 million dollar mark with the balance of trade tilting slghtly in favour of India.

"Even at the present rate of growth we are expecting to touch the business volume of 1.2 billion dollars within the next two to three years, he pointed out and identified oil and natural gas,timber and minerals as their main export items to India so far.

Referring to steps taken to boost trade volume, Mr Abad said he had invited three trade delegations from his country representing the Information Technology,Pharmaceuticals and the timber industries,to visit New Delhi,Bangalore and Mumbai from February 13 to 16.

Regarding the proposed Presidential visit he said though the exact date was yet to be finalised, a large number of bilateral agreements were likely to be signed during the proposed three day tour. "I shall try my best to convince the President to visit Kolkata besides Bangalore because of its importance as an emerging business hub of the East," Mr Abad said.

Explaining the financial strength of his country, the ambassador said all the 13 Latin American countries had unanimously decided to form a conglomerate of all national banks in the name of the "United Bank of Sur" in line with the Asian Development Bank or the World Bank, to protect the economic interest of the entire South American continent.

However,the plan, which was being seen in some quarters as an attempt to come out of the economic prowess of the USA by the oil rich nations, was still in early stages of formation, he said.

UNI