Friday, 17 May, 2024
By: Yash Gupte
Egypt has traditionally been one of India’s most important trading partners in the African continent. Image Source: IANS
The leaders discussed ways to further deepen the partnership between the two countries, particularly in areas like trade and investment, information technology, defence and security, renewable energy, agriculture, health, culture and people to people ties.
New Delhi and Cairo on Sunday, June 25, 2023 signed an agreement on strategic partnership as Prime Minister Narendra Modi held bilateral talks with his Egyptian President Abdel Fattah El-Sisi in Cairo. India’s PM Narendra Modi was conferred upon with Egypt’s highest civilian award- ‘Order of the Nile.’ The two leaders warmly recalled President Sisi's State Visit in January 2023 when he served as the chief guest at the Republic Day celebrations and welcomed the momentum it has imparted to bilateral relations. They agreed that the newly established ‘India Unit’ in Egyptian Cabinet was a useful tool in steering bilateral collaborations.
The leaders discussed ways to further deepen the partnership between the two countries, particularly in areas like trade and investment, information technology, defence and security, renewable energy, agriculture, health, culture and people to people ties. Along with discussing G-20 cooperation, the Prime Minister and President Sisi also touched on subjects like climate change, food and energy insecurity, and the need for the Global South to speak with one voice. Prime Minister looked forward to welcoming President Sisi in New Delhi in September 2023 for the G20 Leaders Summit. The two presidents signed an agreement to upgrade the bilateral relationship to a "Strategic Partnership". Also signed were three Memoranda of Understanding in the areas of agriculture, archaeology & antiquities, and competition law.
The Prime Minister paid homage to the more than 4,300 Indian soldiers who lost their lives in Egypt and Aden during World War I by visiting the Heliopolis Commonwealth War Grave Cemetery. As planned, he met with members of the Indian community and went to the Al Hakim mosque. Earlier on Saturday, he met Tarek Heggy, the renowned Egyptian author and petroleum strategist. According to the Ministry of External Affairs, the two talked about a range of topics, including "radicalism and gender equality," among others. A "more vibrant people-to-people exchanges between India and Egypt" was the goal of the talks between Mr. Modi and notable Egyptians, according to Mr. Vinay Kwatra, Foreign Secretary of India who spoke at a special briefing before the PM left for Delhi.
Considering the elevation of bilateral ties between India and Egypt and the signing of strategic partnership pact between New Delhi and Cairo, India Tracker takes a look at the bilateral relationship and trade between both the nations.
Source: Ministry of Commerce and Industry
The year 2021-22 reported the maximum trade between Cairo and New Delhi. The total value of bilateral trade in 2021-22 stood at $7264.75 million. The exports from India to Egypt also increased from $2264.37 million in 2020-21 to $3743.92 million in 2021-22. The exports further increased to $4109.41 million in the previous fiscal year 2022-23.
India and Egypt, two of the oldest civilizations in the world, have a long history of close engagement. The edicts of Ashoka speak about his interactions with Egypt under Ptolemy II. In modern times, Mahatma Gandhi and Saad Zaghloul shared common goals on the independence of their countries, a relationship that was to blossom into an exceptionally close friendship between President Nasser and Prime Minister Nehru, leading to a Friendship Treaty between the two countries in 1955.
Egypt has traditionally been one of India’s most important trading partners in the African continent. The Most Favoured Nation Clause underlies the India-Egypt Bilateral commerce Agreement, which has been in effect since March 1978. In the past ten years, the bilateral commerce has expanded by more than five times. Egypt is significant to India due to its strategic location (12% of world trade moves through the Suez Canal) and its function as a significant market. Over 50 Indian companies have already made investments in Egypt, and Egypt is looking for Indian capital for infrastructural projects.
The visit of the prime minister is significant because it is not only his first visit to Egypt but also the first formal visit to the nation by an Indian prime minister since 1997. The current visit is noteworthy in terms of bolstering bilateral relations because previous trips between India and Egypt have mainly been for multilateral activities.
According to Reuters, as part of a larger agreement that may see Cairo receive a credit line worth several billion dollars from New Delhi, India is considering a proposal to start trading items like fertiliser and petrol on the barter system with Egypt.
Prime Minister Narendra Modi’s visit to Egypt has opened a new chapter of cooperation and partnership in India-Egypt relations and this would be beneficial for India as well as Egypt as it will open new investment opportunities and boost people to people ties.
