Indo-Arab trade to touch $55 billion by 2010

New Delhi, May 11: Bilateral trade between India and Arab nations is expected to grow manifold to touch billion from the current 24 billion dollars by 2010, an Arab official said today.

The two-way trade between fiscal 2005-06 to 2006-07 grew by 20 per cent from 20 billion dollars and will triple in the next three years, Secretary General and Chief of the Cabinet of League of Arab States Heshm Youssef said here.

A joint proposal for setting up of investment forum to increase economic cooperation in areas such as IT, ITeS, science and technology, petrochemicals and petroleum, heavy engineering, pharmaceuticals, agriculture, automobile, garments, gems and jewellery, textiles and components has also been mooted.

''The potential for trade will exceed manifold in view of better bilateral relations that have been emerging between the two regions,'' said Mr Youssef while addressing a session on 'Growing Trade Opportunities between India and Arab League of Nations' organised by industry chamber Assocham.

Oil trade has been left out of the Secretary General's projections and therefore the projected level of 55 billion dollar is for only non-oil commodities.

Expediting the bilateral trade agreement in the current fiscal which will contain comprehensive economic cooperation agreement to share economic gains on mutually beneficial conditions would be worked upon, he indicated.

Key areas such as ports, power, tourism, roads, gems and jewellery and textiles would generate billions of dollars in business over the next three years and entrepreneurs should play a key role in contributing to the growth India and the Gulf countries, he added.

UNI