Oman urges India Inc. to join privatisation drive

Oman urges India Inc. to join privatisation drive

[World News]: Kolkata, Jan 14 : Oman wants Indian industry to participate in the Gulf nation's ambitious privatisation drive as it continues to open up a host of key industrial sectors including power and telecommunications.
Oman has also offered to collaborate with India in oil and natural gas and other labour intensive industries such as information technology.
"I certainly want a large number of Indian companies to participate in Oman's privatisation process," said Oman's Minister of Commerce and Industry Maqbool Ali Sultan, who is here to participate in the Partnership Summit 2005 organised by the Confederation of Indian Industry (CII).
"Our privatisation process can be a crucial area for enhancing business collaboration between Oman and India. Indian companies have the expertise to run joint ventures in Oman successfully," Sultan told IANS in an interview.
The minister said the ongoing privatisation of airport, power, and telecom sectors offered good prospects for Indian companies to make a foray into the Gulf nation in the months ahead.
"All the privatisation processes are carried out through international competitive bidding and we would certainly welcome it if the Indian firms also joined in the exercise," said Sultan.
According to the minister, telecom liberalisation in Oman will open up access for public data networks, value-added services providers, prepaid calling cards for fixed, mobile and Internet services, and private data networks.
The entry of Internet service providers and audio text services in Oman will also be encouraged, he added.
Other business areas that are likely to be liberalised for foreign investments in Oman include waste management projects, postal services, setting up of industrial estates, and the legal system.
Sultan said Oman favoured the setting up of joint ventures between India and the Gulf Cooperation Council (GCC) in oil and natural gas to meet India's petroleum needs.
Similarly, joint ventures in labour intensive industries can be set up in India, the products of which can be exported to the GCC countries, he said.
"There is need for continuous dialogue between the two countries to collaborate in trade and industry. The GCC have to diversify and reduce dependence on oil, which is a limited resource," said Sultan.
"They need to increase dependence on energy efficient industries, tourism and information technology," he added.
"The Gulf Cooperation Council countries face the challenge of human resource development, and diversification of economy. India, on the other hand, faces the challenge of securing its oil resources to sustain its economy.
"Each of these challenges offers opportunities for co-operation between the GCC and India."
He said the governments in India and Oman must start negotiations to create free trade area, infrastructure of international levels, and an investor-friendly climate in both the countries.
Sultan said the trade relations between India and Oman has been greatly boosted with the construction of a giant fertiliser manufacturing facility that has seen New Delhi making one of its largest investments abroad.
Two Indian firms - Indian Farmers Fertilizer Cooperative and Krishak Bharati Cooperative have a 25 percent stake each - while the Oman Oil Company has a 50 percent share in the joint venture Oman-India Fertilizer Company.
--Indo-Asian News Service