India’s relations with Botswana have been most cordial and friendly. A number of high-level mutual visits have been made by India and Botswana since the latter attained independence in 1987.
Several bilateral agreements/MoUs have been signed between the two countries, and India has extended lines of credit under a bilateral agreement as well as under the India Africa Forum Summit (IAFS) I & II.
Botswana offers a business and investment-friendly atmosphere. Recently it took a major step for attracting investments from other countries, including India. In order to attract investments, particularly from Tamil Nadu, a seminar was jointly organized by the Botswana Investment & Trade Centre (BITC) and the Confederation of Indian Industry (CII) in Chennai on September 29.
Addressing the business community, Mr. Morulaganyi Masalila, Executive Director (A), International Business – India, BITC, said with 5.5 per cent GDP forecast in 2015, Botswana offers a window of opportunities for all the Indian businessmen. A liberalized and free market economy, Botswana has been ranked No.1 in the world business profitability index in 2014. It has also been rated a most transparent economy in Africa, maintaining good industrial relations with its neighbours. With a population of just 2 million, the country has 82 per cent literacy, reflecting availability of a vast pool of talented workforce.
Mr. Morulaganyi Masalila said though the mining sector contributes a major share to the GDP, Botswana has now taken a special initiative to attract investments from diversified areas. Automotive is one of the thrust areas of focus among the sectors identified by Botswana. Currently, the country is producing 6 lakh vehicles per annum, which is expected to grow to 1.2 million by 2020. Several leading international auto component majors, including from Germany, France and the US, have established their base in the region.
Since Tamil Nadu has proved a major automobile hub, Mr. Morulaganyi Masalila urged the State auto majors to be part of the growth story of Botswana’s automotive sector. The Government has already announced several incentives for the manufacturing sector to attract more foreign investments.
According to the economic diversification drive launched by Botswana, those who invest in the economy are assured of immense benefits under the route of SEZ and the export development programme. Overall, the country is an ideal regional gateway for Indian companies, Mr. Morulaganyi Masalila added.
Earlier, welcoming the gathering, Mr. N.V. Venkatasubramanian, Member, Tamil Nadu State Council, and Chief Executive, L&T Valves Ltd., said Botswana is a land-linked country, 70 per cent of which is covered by desert. Its industrial performance is fully backed by well-designed macro policies. The current bilateral trade between India and Botswana is worth $100 billion which is expected to grow further. India very well considers Botswana as a good trading partner, and with the help of CII, a number of bilateral successful visits are being arranged.
In his address, Mr. R. Prabhakaran, Member, CII (SR), and Executive Director – Group Marketing & Business Development, Amalgamations Group, said India’s relationship with Botswana has always been very friendly, particularly in the areas of cultural and industrial co-operation, education, etc.