The Indian government sees Mozambique as an important partner with enormous potential to expand and eventually double the current volume of exports to that country, APA can report.
The Indian Ambassador to Mozambique, Rudra Shresth, made the announcement in the capital on Thursday after he was received in audience by President Filipe Nyusi, a meeting that marked the end of his three-year term in Maputo.
Exports from Mozambique to India reached $918 million in 2018.
Nearly half of this was due to the sale of coal in the Indian market, the main export product.
Cashew nuts and bóer beans were other products that contributed most heavily to the volume of exports.
"There is potential to further expand Mozambique's exports to India because there are resources and capacity.
“The best product that Mozambique exports to India is coal and the second is cashew nuts and India is a large market. We can expand these two products," the Ambassador said in remarks to the press minutes after the end of the meeting.
According to the diplomat, Mozambique is the best destination for Indian investment in Africa and this is borne out by the fact that at least 35 percent of India's global investment in the African continent is concentrated in southern African nation.
Therefore, Shresth believes that Mozambique should take advantage of this window to expand its exports, diversifying the supply of its products.
"For export security, it is important that we look for more products. Oil and vegetables are other products that we import from many other countries and Mozambique has capacity, has land to produce fruit, vegetables and sunflower to manufacture oils to export to India. We are here to look for other products. Mozambique has the capacity to double the volume of exports to India in a short period of time, "he said.
Shresth said that during the three years he was in Mozambique, both
governments sought to strike some balance in bilateral exchanges.
Therefore, in 2017, for the first time the volume of trade between Mozambique and India reached just over $2 billion.
During the period of his term of office, Shresth also saw pigeon pea exports to the Indian market rise to 125,000 tonnes in 2018 from 60,000 tonnes, an increase of more than 100 percent.
For this year, exports of 150 thousand tons of pigeon pea are projected, which is part of an annual increase of at least 25 thousand tons.
Regarding the meeting with the Mozambican leader, Shresth said that both addressed a number of issues, including ongoing projects such as credit lines for the Mozambican Railways (CFM) public company for the purchase of locomotives and wagons in India.
The projects also include the construction of 900 houses for the Housing Development Fund (FFH); with India providing $38 million in credit to improve water availability in the country and a $10 million donation for the same purpose in the Mueda district in the northern province of Cabo Delgado.