Vast scope for enhancing trade with Latin America, Africa: Scindia

New Delhi: There is great potential for enhancing trade with Latin American and African countries, Mr Jyotiraditya Scindia, Minister of State for Commerce and Industry, said here on Tuesday. “Ten Free Trade Agreements (FTAs) have been successfully completed, while five limited-scope Preferential Trade Agreements are in the process, and seven more proposals for FTAs are under consideration,” he said at the inaugural session of ‘New Focus Markets: LAC & Africa', organised by the Confederation of Indian Industry.

In the LAC region, Mr Scindia saw scope in sectors such as agriculture, pharmaceuticals and mining. In the area of renewable energy, India and Brazil have high potential for wind power generation, he added. On India-Africa engagement, he said Africa's bilateral trade with India had grown from $1 billion in 1990 to $3 billion in 2000. He said the developing world was increasingly becoming an important driver of the world's economy. “Asia's share of the global economy in terms of purchasing power parity has risen from 7 per cent in 1980 to 25 per cent in 2010,” he added.

Hero MotoCorp aims export of 10 lakh units in 5-6 yrs

NEW DELHI: Free from export restrictions imposed by its ex-promoter Honda, India's largest two-wheeler maker Hero MotoCorp today said it aims to sell 10 lakh units in the overseas markets in the next 5-6 years. The company, earlier known as Hero Honda, has already shortlisted some players to expand its export markets in a big way in the future. On the domestic front, the company is looking to invest about Rs 1,000 crore to set up two new facilities besides expanding the output of three existing plants. Addressing analysts in a conference call, Hero MotoCorp Senior Vice President (Marketing and Sales) Anil Dua said: "We are looking at an exponential increase in export numbers ... In 5-6 years of time, we aim to sell a million bikes (every year) in international markets, which will be 10 per cent of our total business." Currently, exports contribute less than 2 per cent of total sales, he added. The company had sold a total of 54,02,444 units during 2010-11 financial year. "We have been approached by several partners for distribution and assembly. We have already shortlisted some partners," Dua said without giving further details. The company is looking at exporting its products to Latin America, Africa and South East Asian nations, he added. Asked about investment that Hero MotoCorp might put into develop its export bases, Dua said the firm will invest in future, but now it will not financially support its channel partners. On the plans for setting up of two new factories and expanding the existing capacities, Hero MotoCorp Chief Financial Officer Ravi Sud said : "When we talk of capacity, we talk in slabs of 7,50,000 units. So, 1.5 million units capacity plants. In a phased manner, it will cost close to around Rs 1,000 crore."