Prime Minister Narendra Modi's two-day visit to Egypt can prove to be a game changer for bilateral relations between India and Egypt. India can increase investment in this North-African country and can also help in getting it included in BRICS. On the other hand, with India also becoming a strong voice in the global-south, it is expected to find another door to penetrate deeper into the markets of Africa, Arabia and Europe. The visit is important for both the countries in many ways.

The demand for a Free Trade Agreement (FTA) with Egypt has arisen amid Modi's visit. If experts are to be believed, this country has huge potential for domestic industry in sectors like agriculture and steel products and light vehicles. Director General of Federation of Indian Export Organization (FIEO) Ajay Sahai said that India and Egypt have historical trade relations, which are strong and well balanced. Egypt is the gateway to Africa and Europe. Apart from cooperation in agriculture, biotechnology, pharmaceuticals, renewable energy, India should explore possibilities of partnership in logistics with Egypt.

Sahay has also said that we need to increase trade with Egypt from $6 billion to $15 billion in the next three years.

Both countries have their own interests in the global scenario

 

Egypt aims to increase influence

Egypt is getting an opportunity to strengthen its international relations apart from the Western Bloc from this tour. Investment from India and membership of BRICS is in his mind.

 

By joining BRICS, it will be able to see itself on a platform with the world's major economies, which include Russia, India, China and Brazil.

 

Egypt has lost its hegemony over the years in the affairs of Palestine, Ethiopia and some other African countries. That is why he wants to reinvigorate it. It can gain this strength by increasing relations with India.

 

In addition to regional affairs, Egypt is now looking at ways to increase its importance at the international level outside the African continent. In this too, the growing image of India at the international level can help him.

India wants to deepen its penetration in the Arab and North African region through Cairo. Aftab Kamal Pasha, who is teaching Middle-East Studies at JNU, says that the two countries have historically been friends. PM Modi expects limited success from the Gulf Cooperation Council, that is why it is necessary to turn to Egypt.

 

With Egypt joining BRICS, India will also be able to counterbalance China, which is determined to include Pakistan in it.

 

Egypt is the country with the largest population among Arab and African countries. 12 percent of the world's trade is done through the Suez Canal present here. The door to big markets of Africa and Europe can be opened for India from Cairo.

 

Another important fact is China's growing influence in Egypt, which is necessary for India to balance.

SC Ralhan, president of the Ludhiana-based Engineering Exporters and Hand Tools Association, suggests that Egypt should consider starting trade with India in the domestic currency. About 50 Indian companies are currently operating in Egypt.

India's exports to Egypt were $3.74 billion in 2021-22, to reach a level of $4.1 billion during 2022-23. But, imports from there have come down from $3.5 billion to around $2 billion in 2021-22.

India imports fertilizers, crude oil, chemicals, raw cotton and raw hides from Egypt, and exports wheat, rice, cotton yarn, petroleum, meat, flat-rolled products, ferroalloys (iron-related) and light vehicles. .

Please tell that this is Narendra Modi's first visit to Egypt as PM. For the first time after 1997, an Indian PM came here. According to External Affairs Ministry Spokesperson Arindam Bagchi, PM Modi has gone to Egypt on a reciprocal visit not only to maintain the momentum of the growing relationship between the two countries, but also hopes and believes that this relationship will now also expand into new areas of business and economic ties. will proceed.