Visit of President Armando Guebuza of Mozambique to India

October 04, 2010

At the invitation of the President of India, the President of Mozambique, H.E Mr. Armando Guebuza was on a State Visit to India from September 29- October 4, 2010. President Guebuza's delegation included 4 Ministers of his Cabinet including the Ministers of Foreign Affairs, Interior, Mineral Resources, and Transport &Communications. A large business delegation as well as senior officials were part of President Guebuza's delegation.

This was President Guebuza's first visit to India as the President of Mozambique. President Guebuza had earlier visited India in 2003 as Minister of Transport and Communications.

President Guebuza called on the President who also hosted a banquet in his honour. He also met the Hon'ble Vice President of India, Shri. M. Hamid Ansari and held delegation level talks with Hon'ble Dr. Manmohan Singh, Prime Minister of India. The Minister of State for External Affairs, Smt. Preneet Kaur called on President Guebuza. The Chairperson of the UPA, Smt. Sonia Gandhi and the Leader of the Opposition, Smt. Sushma Swaraj, also called on him.

The discussions were held in a cordial atmosphere. The two sides expressed satisfaction at the state of bilateral relations, and agreed to work to raise the relationship to a strategic partnership. They discussed a wide range of subjects of bilateral interest covering economic cooperation, trade and investment, infrastructure, mining, coal, agriculture, micro, small and medium enterprises, human resources development, science and technology, defence and security cooperation. It was agreed that the Ministerial Joint Commission meeting will take place in next six months to take the proposals forward. A Joint Statement containing the key understandings reached during the meetings was issued during the visit.

The Prime Minister of India announced that India would provide Lines of Credit of US$ 500 million to support infrastructure projects, agriculture and energy. In this context, it is noted that in May 2010, India announced a Line of Credit of US$ 25 million for rural electrification, and in all, six LOCs amounting to US$ 140 million are operational or have been completed. India has also extended a grant of US$ 4.5 million for capacity building of Mozambique's police forces.

The following MOUs/agreements were signed during the visit: (i) MOU on Cooperation in the Fields of Mineral Resources, (ii) Double Taxation Avoidance Agreement (DTAA), and (iii) MOU on Cooperation in the field of Micro, Small and Medium Enterprises.

The two sides noted that bilateral trade has more than doubled since 2005-06. It has grown from US$ 178.15 million in 2005-06 to US$ 427.13 million in 2009-10. India today is one of the five largest trading partners of Mozambique. India was Mozambique's fourth largest importer and third largest exporter in 2009. In order to exploit the true potential of bilateral trade in a more diversified area, a target of US$ 1billion by the year 2013 has been set. India ranked the fourth largest investor in Mozambique in 2009 with investments of US$ 64.17 million.

India welcomed the decision of Mozambique to be a partner country at the CII-EXIM Bank India- Africa Conclave in 2011. It would be a good event to highlight the opportunities of increasing Indian FDI in Mozambique.

The two sides reaffirmed their desire to continue their mutual support and cooperation at international fora, including at the United Nations. Mozambique reiterated its support to India's candidature for the non-permanent seat in the United Nation's Security Council for the term 2011-12 and Permanent Seat of the UNSC.

President Guebuza and his delegation met Indian business leaders during a Business luncheon meeting organised by Confederation of Indian Industry, Federation of Indian Chambers of commerce and Industry and ASSOCHAM on September 30, 2010. President Guebuza also visited the Indian Agriculture Research Institute in Delhi.

President Guebuza visited Ahmadabad on October 1, 2010. He visited Indian Institute of Management, Sabarmati Ashram, and had meeting with the Mozambique nationals in Gujarat. He had meeting with the Governor and Chief Minister of Gujarat.

President Guebuza also visited Mumbai from October 2-3, 2010. He had meeting with the Governor of Maharashtra and also had business meetings.

New Delhi


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