PACIFIC ALLIANCE SEEKS INVESTMENT FROM INDIA

New Delhi, August 14- Members of the newly formed Pacific Alliance group and some of the fastest growing economies in Central and Latin America—Mexico, Chile, Colombia and Peru— have sought Indian investment in renewable energy, agriculture and farm industries, minerals and mines.

The top diplomats of the four countries, who met Indian industrialists in New Delhi, explained some of the procedures they were planning to put in place, including the facilitation of travel for businesspeople in the countries of the Pacific Alliance, the lowering of tariffs, and simplification of regulations to attract more investment.

The new economic bloc -formed in June- has a combined population of more than 200 million (36% of the Latin American population) and a gross domestic product (GDP) of $1.7 trillion (35% of the region’s GDP).

Taken together, the countries constituted “four of the most dynamic economies of Latin America, besides being democracies” with strict adherence to the rule of law, said Enrique Noria, minister counsellor in the embassy of Peru in New Delhi.

In Peru, “we have predictable regulations and free capital transfers” that should be attractive to Indian investors, Noria said. Peru was also trying to conclude a a trade pact with India to increase two-way commerce, he added.

In his remarks, the ambassador of Chile, Cristian Barros Melet, stated that China was its largest trading and main partner, having signed a free trade pact. He noted that some Indian companies were already in Chile in the renewable energy sector as he invited more firms to invest citing the countrys’ good infrastructure and skilled manpower availability.

Jaime Nualart, the ambassador of Mexico, in his presentation invited Indian companies to see his country as a “springboard to invest in Latin America and the Caribbean region”.

In his remarks, the ambassador of Colombia, Juan Alfredo Pinto Saavedra, invited Indian investment in automotive, information technology, outsourcing and software, financial services and pharmaceuticals.

According to R. Vishwanathan, India’s former ambassador to Argentina and Venezuela, “Latin American countries are reinforcing their political stability through collective strength”—that manifests itself in the form of regional groupings such as the Pacific Alliance.

“Commercially, all these groupings offer (India) opportunities. The Pacific Alliance countries are more open to trade and investment, outward looking, more investor friendly, their credit rating is good,” Vishwanathan said.

India’s trade with Latin America and the Caribbean rose to $25 billion in 2011-12 from $2 billion in 2000-01. Indian investments in the Caribbean and Latin America are at about $16 billion.

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