Need to develop diversified economic relations with Czech Republic: Kamal Nath

New Delhi, Nov 17 : Union Minister of Commerce and Industry Kamal Nath on Monday stated that there is a need to develop diversified economic relations and at the same time continuous efforts are needed at bilateral and multilateral levels.

During his bilateral meeting with Martin Riman, Czech Trade Minister, here today, he informed that today our bilateral trade has crossed one billion dollar and is increasing rapidly.

Speaking on the present global financial crisis, Nath stated that it is a global challenge; however, at the same time it provides an opportunity to architect a new global financial system. He further emphasised that India's economy is domestic demand driven and, therefore, there is lesser impact of the prevalent global recession. Yet it is taking away a good one-percentage point from our GDP, which is now estimated to grow this year between 7-7 per cent.

"We have taken a number of steps to ease credit flows and more steps on slackening interest rates, making fresh investments in infrastructure sectors, reducing inflations, rejuvenating market sentiments, boosting investor confidence and supporting export oriented industries are in the pipeline", he said

Major items of Indian Exports to Czech are: Iron and Steel, Articles of apparel and clothing accessories, Textile yarn, fabrics, made-up articles, Electrical machinery, apparatus and appliances, Power-generating machinery and equipment, Medical and pharmaceutical products. Major Items of Indian Imports from Czech are: Machinery specialized for particular industries, Power-generating machinery and equipment, General industrial machinery and equipment, Organic chemicals, Metalworking machinery.

There is growing Indian investment in Czech Republic, which includes the entire spectrum from steel to IT to truck manufacture. Indian companies are also present in automobile spare parts, tea, textiles and pharmaceutical sectors. During this year, some new Indian companies have established presence in Czech Republic, apart from Mittals, TATA, Infosys.

As regards the Czech investment in India, Skoda auto is a success story. India has emerged as a global hub for supply of spare parts for Auto industry. Reliable suppliers are available in India for increased sourcing by Skoda Auto for their Indian operations as well as global exports.

ANI