Indo-Saudi Relations @ whatisindia.com

Name, address and contact details of country’s central bank: Saudi Arabian Monetary Agency (SAMA) H.E. Hamad Saud Al-Sayari, Governor H.E. Dr. Muhammad Al-Jasser, Vice Governor Mr. Jammaz Al-Sohaimi, Deputy Governor P.O. Box 2992 Riyadh 11169 Tel.: 966-1-463-3000 Fax: 966-1-466-2936/466-2966

Geography: Occupying 4/5th of the Arabian Peninsula, the Kingdom of Saudi Arabia is the largest country in the Middle East. On the west, it is bordered by the Red Sea and on the east, by the Persian Gulf. To the south, there are borders with Yemen and the Sultanate of Oman. To the east, lie the UAE, Qatar and the Island State of Bahrain. In the north, Saudi Arabia has borders with Kuwait, Iraq and Jordan.

Terrain: Primarily desert with rugged mountains in the southwest.

Climate : Arid, with great extremes of temperature in the interior; humidity and temperature are both high along the coast.

Coastline: 2,640 km

Natural resources : Petroleum, natural gas, iron ore, gold, copper.

The total population of Saudi Arabia was 22.7 million. Of this, 72.9 percent were Saudis and the rest expatriates. Latest estimates show that the population, rising at the rate of 3.6% per annum, crossed the 22 million mark in September 2004.

Most Saudis are ethnically Arab. Some are of mixed ethnic origin and are descended from Turks, Iranians, Indonesians, Indians and Africans, most of whom immigrated as pilgrims and reside in the Hijaz region along the Red Sea coast.

Total Population: 70.55 years

Male: 68.67 years

Female: 72.53 years

Total Fertility Rate: 5.8 children born/woman

Ethnic Groups: Arab 90%, Afro-Asian 10%

Literacy:

Definition: age 15 and over can read and write.

Total Population: 62.8%

Male: 71.5%

Female : 50.2% (1995 est.)

History: Although the modern state of Saudi Arabia was created in 1932, the Kingdom can trace its origins to the 18th century. The events that led to the establishment of the modern Saudi State began in 1902 when King Abdul Aziz Bin Abdul Rehman Al Saud recaptured Riyadh from the Al Rashid tribe. In 1932, Abdul Aziz declared himself King of Saudi Arabia. Abdul Aziz’s successor, King Saud, established the Kingdom’s first Council of Ministers in 1953. King Saud was succeeded in turn by King Faisal, Khalid and the present ruler Fahd (in 1982). These rulers have steered the Kingdom to the modern age.

Political Structure: Saudi Arabia has been an absolute monarchy since 1932. King Fahd, took the title of the “Custodian of the Two Holy Mosques” in 1986, and is both the Head of the State and the Prime Minister. Crown Prince Abdullah bin Abdul Aziz is the Deputy Prime Minister and Commander of the National Guard and assumes charge of the affairs of the State in the absence of the King. For administrative convenience, the Kingdom has been divided into seventeen provinces, each ruled by a Governor, the most important of whom are from the royal family.
The King presides over the Council of Ministers which exercises both legislative and executive power in the country. In March 1992, King Fahd issued three decrees which established a Basic Law, a Consultative Council (Shoura Council), and new regulations covering a system of regional government. The Shoura Council has limited advisory powers and debates local issues within well-defined limits.

The Basic Law of Government of 1992 is the nearest Saudi Arabia has to a written constitution. It is divided into 5 main chapters: System of Government (Monarchy); features of the Saudi Family (“the family is the kernel of Saudi society”); Economic principles, Rights and Duties; the Authorities of the State; and Financial Affairs.

The chapter on the System of Government is significant because it codifies (under Article 5) for the first time the process of royal succession. Under Article 5 the “dynasty right shall be confined to the sons of the Founder, King Abdul Aziz bin Abdul Rahman Al Saud (ibn Saud), and the sons of sons.” The most eligible among them shall be invited, through the process of “bai’ah”, to rule in accordance with the Holy Quran and the Prophet’s Sunnah. As per the basic law the King names the Crown Prince who shall perform duties assigned by the King and shall assume the powers of the King on the latter’s death, pending the outcome of the “bai’ah”.

The Shariah, the canonical law of Islam, constitutes the law of the Kingdom and is enforced by the judicial system made up of clerics who preside over different levels of the judiciary. The judiciary exercises independent powers.

Economy: Saudi Arabia is by far the largest economy in the Gulf mainly due to its massive oil resources, estimated to be around 26% of the world’s known reserves of oil. The Kingdom is a major oil producer with relatively low extraction costs. Recent discoveries have increased estimated crude reserves to approximately 263.5 billion barrels, which at current extraction rate of 8.5 million barrels per day would cover over 85 years of extraction. Saudi gas reserves at 200 trillion cubic feet are equivalent to 4% of world reserves.

The Saudi government has attempted to use its massive oil revenue to finance an ambitious programme of infrastructural, industrial and agricultural development, while also modernising the Kingdom’s health and education systems. In addition, oil revenue has been allocated to building up the country’s armed forces, especially through the purchase of advanced weaponry from abroad.

Since 1970, economic development in Saudi Arabia has been carried out according to Five Year Plans. The 6th Five Year Plan announced on 3rd July 1995 aimed at reducing dependence on the production and export of crude oil as the main source of national revenue. The focus was on diversification of production base, particularly in industry and agriculture. Gradual reduction in the balance of payments deficit and a 12% annual growth rate for non-oil exports were also envisaged. The Plan aimed at an average of 3.8% annual growth in GDP. Growth in non-oil sectors was projected at an annual average rate of 3.9%, which was double the rate achieved in the 5th Plan. While focusing on curbing government spending, the 6th Five Year Plan laid great emphasis on the potential role of the private sector in the utilization of resources, production capacities and creation of job opportunities.

The Saudi Cabinet approved the Kingdom’s 7th Five Year Plan (2000-2005) on 28th Aug, 2000. It aims at achieving an annual average GDP growth rate of 3.16% (at 1994 prices) by focusing on the private sector, which is expected to grow at an annual average rate of 5.04%. Another important objective of the Plan is to create 817,000 jobs for Saudis in the next five years, replacing some 488,600 expatriate workers. The budget deficit would be reduced from around 10.8% in 1999 to zero by the end of the Plan. The Plan gives priority to the country’s growing privatization programme, flow of foreign investment into the Kingdom, improving the efficiency of the economy, and creating more jobs for Saudis.

The total number of expatriate workers in the Kingdom is about 7 million. Nationality-wise break up of some of the larger expatriate groups is as follows:

Indians : 1.42 million

Egyptians: 1 million

Pakistanis: 0.9 million

Bangladeshis: 0.7 million

Filipinos : 0.45 million

Indonesians: 0.24 million

Foreign Policy and International Trade Policy: The guiding principles of Saudi foreign policy have been Islam, regional, security and Arab solidarity. Production and export of oil has been a major element of Saudi foreign policy which has sought to ensure stable oil market. In the Gulf region, Saudi Arabia has favoured close economic, defence and security cooperation amongst the GCC states. In the Arab world, Saudi Arabia has supported the Middle East Peace Process. Good relations with the West, especially the US have marked Saudi policies.

The Saudi economy rests primarily on oil revenues. Its crude oil reserves, amounting to 263.5 billion barrels, are estimated to be ¼ of the world’s known reserves. Its natural gas reserves at 200 trillion cubic feet are 4% of world reserves.

The Kingdom is also endowed with other natural resources including a wide range of industrial raw materials and minerals such as bauxite, limestone, gypsum, and phosphate and iron ore. The Kingdom’s geographic location provides easy access to markets in Europe, Asia and Africa. It has a continuously expanding domestic market (annual population growth of 3.5 percent), which is adding to a young and consuming population with strong buying power. The investment environment in the Kingdom reflects traditions of liberal, open market private enterprise policies and its new Foreign Investment Law allows 100 percent foreign ownership of projects and real estate. The Kingdom has a record of political and economic stability and has a modern world-class infrastructure.

There are no restrictions on foreign exchange and repatriation of capital and profits. It has a very stable currency and has no foreign exchange curbs, and companies are allowed 100 percent repatriation of profits.

Membership of major multilateral and regional organizations:

Multilateral: UN, OIC & OPEC

Regional: Arab League & GCC

Major industries, global companies, etc.

Important Saudi Arabian Government Companies

Saudi Arabian Airlines

Dr. Khaled Al-Bakr, Director General
P.O. Box 620
Jeddah 21421
Tel.: 966-2-684-2000/686-0000
Fax: 966-2-684-1745/686-4552

National Shipping Company of Saudi Arabia (NSCSA)

Mr. Suleiman Al-Herbish, Chairman
Engr. Khalil I. Al Gannas, CEO
P.O. Box 8931
Riyadh 11492
Tel.: 966-1-477-4982/478-5454
Fax: 966-1-478-5454 ext. 111/477-8036/477-7478
Email: ceomail@nscsa.com.sa

Saudi Arabian Oil Company (Saudi Aramco)
Mr. Abdallah Saleh Juma'ah, President & CEO
P.O. Box 5000
Dhahran Airport 31311
Tel.: 966-3-876-5229
Fax: 966-3-876-6520

Saudi Basic Industries Corporation (SABIC)

H.H. Prince Saud bin Abdullah Thanayan Al-Saud, Chairman
Eng. Mohamed Al-Mady, Vice Chairman & Managing Director
P.O. Box 5101
Riyadh 11422
Tel.: 966-1-225-8000 Ext. 8006
Fax: 966-1-225-9000
Email: almady@sabic.com

Saudi Electricity Company (SEC)

Mr. Suliman Abdullah Al-Qadi, CEO
P.O. Box 22955
Riyadh 11416
Tel.: 966-1-218-0352/218-0340
Fax: 966-1-218-0351
Email: ceo@se.com.sa

Saudi Arabian Mining Company (Ma'aden)

Dr. Abdallah E. Dabbagh, President and CEO
P.O. Box 68861
Riyadh 11537
Tel.: 966-1-472-1222/479-3825
Fax: 966-1-472-1333/477-0495
Email: maaden@maaden.com.sa
Email: dabbaghae@maaden.com.sa

Saudi Arabian Public Transport Company (SAPTCO)

Mr. Abdullah Fayez, Director General
Mr. Mohammed Al-Ayid, Deputy Director General for Administration and Finance
P.O. Box 10667
Riyadh 11443
Tel.: 966-1-454-5000
Fax: 966-1-454-2100

Saudi Telecom Company

Eng. Khalid Bin Abdullah Al-Melhem, Executive President
Mr. Khalid Ahmed Balkhaire, Director General, International Relations
Mr. Ali Al-Amri, Director General - Media & Public Relations
P.O. Box 87912
Riyadh 11650
Tel.: 966-1-452-7000
Fax: 966-1-452-6688

Saline Water Conversion Corporation (SWCC)

Mr. Abdullah Al-Hosain, Governor
Mr. Abdul Rahman Al-Khamees, Vice Governor
P.O. Box 5964
Riyadh 11432
Tel.: 966-1-463-1111
Fax: 966-1-463-1952/465-085

Other significant economic activities : The primary economic activities are production of oil, petroleum products, refining of oil and petrochemicals. Saudi Arabia is world's leading producer of oil and petrochemicals. The current daily output of oil and gas is around 8 mbd and 35.6 million tonnes respectively. Per capita income is around US$ 7,621 per annum. Besides oil products and petrochemicals, the Kingdom also produces wheat, dairy products, vegetables, eggs and fruits. GDP for 2003 was US$ 211.2 billion, up by 6.4 % over the previous year. In 2003, Saudi Arabia reaped a budget surplus of US $ 12 billion versus US $ 10.4 billion budgeted deficit. In the 2004 budget, revenue and expenditure are estimated at US$ 45.3 billion and US$ 55.7 billion respectively.

The Saudi Government has been using its oil revenues to finance programmes of infrastructural, industrial and agricultural development, while also modernizing the Kingdom’s health and education systems. Recently, the focus has been on reducing dependence on oil revenues through the diversification of the product-base, particularly towards industry, agriculture and services.

International Trade: The US had traditionally been the leading trading partner of the Kingdom. It accounts for 15% of Kingdom’s total imports of US$ 36.92 billion (2003). Japan, Germany, China, England, Italy, South Korea, France, India, Australia and Singapore are other major trading partners of the Kingdom. Annual exports are approximately US$ 93.24 billion consisting mainly of crude oil and its products. USA, Japan, South Korea, India, Singapore, China, Taiwan, Holland, UAE and Italy are major importers of Saudi oil. Saudi imports during the year 2003 grew to US$ 36.92 billion recording a growth of 14% over imports during year 2002. Saudi exports rose by 24% to US$93.24 billion in the year 2003 as compared to US$72.46 billion during 2002.

Saudi Global Trade and Investment:

Saudi trade during the year 2003 (all figures in US$ million)
Trading Partner	Imports by Saudi Arabia	Exports by Saudi Arabia	Total Trade
U.S.A	5541.33	17436.00	22977.33
Japan	3818.40	13153.53	16971.93
Germany	3300.53	448.53	3749.06
United Kingdom	2166.67	918.13	3084.80
China	2186.40	4097.87	6284.27
Australia	988.79	351.20	1339.99
Italy	1468.70	2364.00	3832.7
France	1349.87	2339.73	3689.6
South Korea	1359.68	8484.30	9843.98
Switzerland	713.52	298.40	1011.92
India	1091.47	5547.73	6639.20
Brazil	626.43	866.40	1492.83
UAE	957.71	2616.5	3574.21
Holland	739.00	2756.80	3495.80
Belgium	615.74	1184.00	1799.74
Taiwan	349.09	3274.40	3623.49
Spain	489.09	1742.93	2232.02
Sweden	559.73	10.13	569.86
Others	8593.85	25353.12	33946.97
Total	36916.00	93243.70	130159.7

Major Tourist and other attractions:

The Haj: The Haj, the pilgrimage to Makkah, is the 5th and last pillar of Islam and the most significant manifestation of Islamic faith and unity in the world. It is considered to be the culmination of each Muslim’s religious duties and is a life long ambition of every Muslim. It occurs annually between the eighth and thirteenth days of the last month of the Muslim year, Dhu al Hijjah.
The Kingdom of Saudi Arabia is the heartland of Islam. It is the home of Islam’s two holiest sanctuaries: Makkah, the birthplace of Islam and the Prophet Muhammad; and Madinah, the Prophet’s burial place. The rite of pilgrimage not only has a special significance in the life of Muslims, but also has profound political significance for the Saudi monarchy.

Recognizing the unique religious and historical traditions represented by these holy sites, King Fahd bin Abdul Aziz adopted the official title of the Custodian of the Two Holy Mosques in 1986. From the early 1930s, when the Holy Mosque could accommodate only 48,000 worshippers, a series of expansion plans had increased its capacity to more than one million. Around 2.5 million pilgrims performed Hajj in the year 2005, of which more than 540,000 pilgrims were from inside the Kingdom. A total of 127,000 Indian nationals performed Haj in 2005. This was a record figure till date in the history of Haj for the Indian pilgrims.

Major art forms/ cultural traditions and venues/ museums, etc.

Museum of Antiquities and Folklore
Street: King Saud Street P. O. Box: 3734, Zip Code: Riyadh 11481, Tel: 01-402 9500, Fax: 01-402 9976,

King Fahad National Library Museum
Street: King Fahad Road Tel: 01- 462 4888, Fax: 01-462 5892,P. O. Box : 7572,Zip Code: Riyadh 11472

Sheikh Mohammed bin Abdul Rahman Al-Dwaihi Museum
Street: Shaqra Province – Shaqra Street Tel.No: 01-623 1423, Fax No.: 01-623 1422

King Abdul Aziz Military Museum
“Only for official visitors in coordination with the Administration of the Military College.”
Street: Salboukh Road – Ministry of Defence – Land Forces – King Abdul Aziz Military College.
Tel. No.: 01-482 8800,Fax No: 01-482 8500, P. O. Box: 37008Code: Riyadh 1153

King Abdul Aziz Historical & Research Center

Hai Al-Batha, Riyadh
www.arriyadh.com/En/ADA/LeftBar/DevProj/King-Abdul-Aziz-Center.doc_cvt.asp

Major Newspapers with contact details :

ARAB NEWS:

SRP Building, Madinah Road,P.O.Box: 10452 Jeddah 21433., Tel.02-6391888 Fax:02-6393223

e-mail:arabnews@arabnews.com

URDU NEWS:

SRP Building, Madinah Road, P.O.Box: 10452, Jeddah 21433. Tel.02-6391888 Fax:02-6393238,

e-mail:editorial3@urdunews.com

MALYALAM NEWS

SRP Building, Madinah Road, P.O.Box: 10452, Jeddah 21433. Tel.02-6391888, Fax:02-6394151

e-mail:malnews@srpc.com

Indo-Saudi Relations

Indo-Saudi Relations: Indo-Saudi relations are multifaceted and cordial. The 1950s and early 6Os saw the visits of King Saud (1955) and Prime Minister Jawaharlal Nehru (1956). Later, Prime Minister Indira Gandhi visited the Kingdom in 1982. Foreign Minister Saud Al Faisal visited India from 13-15 April 1981. In December 1994, the then Finance Minister, Dr. Manmohan Singh, visited Saudi Arabia for the meeting of the Indo-Saudi Joint Commission. The visit of Dr. Manmohan Singh was followed by the visit to India of Prince Khalid bin Sultan bin Abdulaziz, son of Prince Sultan bin Abdulaziz, the Second Deputy Prime Minister and Minister of Defence, in October 1996. Some other high level visits were those of the Saudi Petroleum Minister to India in December 1996, and the visit of the Saudi Haj Minister, in December 1996, as Special Envoy of King Fahd. From the Indian side, Lok Sabha Speaker visited in October 1996. The then MOS for External Affairs, Shri Salim Sherwani visited Saudi Arabia in November 1997.
Bilateral visits in recent years: Saudi Assistant Minister of Foreign Affairs, Dr. Nizar Obeid Madani, paid a visit to India from February 28 to March 1, 2000. Later, EAM Shri Jaswant Singh paid a visit to Saudi Arabia on 19-21 January 2001, during which he held talks with the top Saudi leadership. Deputy Chairperson, Rajya Sabha, Dr. (Mrs.) Najma Heptulla visited Saudi Arabia as ‘Special Envoy of the Prime Minister’ from Jan. 24-30, 2002. Bilateral relations were reviewed during her subsequent visit to the Kingdom from September 6-11, 2002 in her capacity as President of IPU Council.

A delegation of the Shoura Council visited New Delhi (January 2003) to participate in the Golden Jubilee celebrations of the Parliament of India. The delegation comprised Dr. Sulaiman Al-Zaiedi and Abdulrahman Al-Mishaigih. The Shoura Council of KSA is a member of the Asian Parliamentary Union (APU).

Minister of State for External Affairs, Shri Vinod Khanna, visited Saudi Arabia during September 22-23, 2003. During the visit, he met with Haj Minister Iyad Madani and signed an agreement relating to arrangements for transportation and accommodation of Haj pilgrims. A MoU was also signed in his presence, relating to SMEs/SSI cooperation between National Small Industries Corporation (NSIC) and Jeddah Chamber of Commerce and Industry (JCCI).

H.E. Mr Abdulrahman bin Hamad Al-Attiyah, Secretary General, Gulf Cooperation Council (GCC) visited India from February 15-18, 2004. This followed the landmark ‘GCC-India Political Dialogue’ involving the External Affairs Minister of India with the GCC Chairman, the Secretary General and Ambassadors/representatives from GCC countries was successfully held, for the first time, on the sidelines of the UNGA on September 26, 2003.

Minister of State for External Affairs, Shri E. Ahamed, visited Saudi Arabia on June 13-16, 2004. The Minister called on the Custodian of the Two Holy Mosques, King Fahd bin Abdul Aziz on June 13, 2004, and handed over a letter from the Prime Minister of India. During the visit, MOS met with Haj Minister Iyad Madani and signed an agreement relating to arrangements for transportation and accommodation of Haj pilgrims.

The Saudi Minister of Petroleum and Mineral Resources Ali Al Naimi visited India on January 6, 2005 to attend First Round Table of Asian Ministers on Regional Cooperation in the Oil and Gas Economy held in New Delhi.

Petroleum & Natural Gas Minister, Shri Mani Shankar Aiyar visited Saudi Arabia during March 28-31, 2005 at the invitation of Engineer Ali bin Ibrahim Al-Naimi, Minister of Petroleum and Mineral Resources. During the visit, Shri Aiyar met with Crown Prince Abdullah, Foreign Minister Prince Saud Al-Faisal and Governor of Eastern Province. Bilateral, regional and international issues were discussed during the meetings. He also had detailed discussions with Al-Naimi, Minister of Petroleum regarding the bilateral cooperation in hydro-carbon sector. A MoU between IOC and Saudi Aramco was signed in the presence of two Ministers. The Minister also visited Shaybah oil fields and the headquarters of Saudi Aramco in Dhahran.

The Joint Commission for economic, trade, scientific, technical and cultural cooperation (JCM) established in 1981 between India and Saudi Arabia held its sixth session in Riyadh on April 12, 2005. Finance Minister Shri P. Chidambaram led the Indian side while the Minister of Economy & Planning & Acting Minister of Commerce & Industry, Mr. Khaled M. Al-Gosaibi, led the Saudi side. The Minister was accompanied by a 5-member official delegation and a 19-member business delegation from FICCI. During the visit, the Finance Minister called on Crown Prince Abdullah, Defence Minister Prince Sultan and Foreign Minister Saud Al-Faisal and held wide ranging discussions on bilateral, regional and international issues. The Minister also held a bilateral meeting with his Saudi counterpart Al-Gosaibi. An MoU on the establishment of Joint Business Council between Council of Saudi Chambers of Commerce & Industry (CSCCI) and Federation of Indian Chambers of Commerce & Industry (FICCI) was signed in the presence of the two Ministers. The Minister also called on Secretary General of Gulf Cooperation Council, HE Mr. Abdulrahman bin Hamad Al-Attiyah and discussed issues of mutual interest.

Indo-Saudi Cooperation in other fields : India and Saudi Arabia are actively cooperating in the field of science and technology. CSIR and the Saudi Arabian Standards Organisation (SASO) have an ongoing programme of technical cooperation (POC) since June 1993. Under this programme, Indian experts in different scientific areas, particularly in the field of measurement and calibration, are deputed to Saudi Arabia on regular basis. Similarly, several Saudi experts and have undergone advanced training in India. National Physical Laboratory has provided expertise and technology for two important SASO projects related to calibration and teleclock sytem. CSIR and the King Abdulaziz City for Science and Technology (KACST) signed a MoU for bilateral cooperation in 1997 and have an ongoing programme of cooperation, particularly in the field of space science, remote sensing and installation of Internet. Recently a three-member delegation from CSIR, NPL and CFTRI visited SASO during January 2004 and both sides agreed to renew the POC.

Commercial and Economic Relations: India is the 4th largest trading partner for Saudi Arabia. The value of two-way trade between the two countries in 2003-04 was more than US $ 6.63 billion.

The latest bilateral trade figures (excluding oil) are as follows:

Indo-Saudi Trade

(in million US $)

Year	Imports from Saudi Arabia	Exports to Saudi Arabia	Total trade	Increase in Indian exports
1998-1999	1831.47	774.29	2605.76	12.23%
1999-2000	2419.24	742.50	3161.74	-4.11%
2000-2001	621.12	822.94	1444.06	10.83 %
2001-2002	463.99	826.43	1290.42	0.42%
2002-2003	504.72	940.74	1445.47	13.83%
2003-2004	737.77	1,123.31	1861.08	19.41%

*Note: Import Figures do not include import of Petroleum Products and Crude Oil. (Source: Department of Commerce, GOI)

During the last couple of years, a number of trade and industry delegations have visited Saudi Arabia to explore opportunities for long-term partnerships and cooperation, including joint ventures. Some of the major delegations to visit the Kingdom during the last two years were, inter alia,

(i) Confederation of Indian Industry (CII) [April 2001 & December 2002];

(ii) Powerloom Development & Export Promotion Council (PDEXCIL); [May 2001];

(iii) Gem & Jewellery Export Promotion Council of India (GJEPC); [September 2001];

(iv) Synthetic & Rayon Textiles Export Promotion Council (SRTEPC); [September 2001];

(v) Indian Electrical & Electronics Manufacturers’ Association (IEEMA) [May 2002 & January 2003];

(vi) Indian Department of Posts [January 2002];

(vii) Federation of Indian Export Organisations (FIEO) [June 2003 and September 2003]; and

(viii) Engineering Export Promotion Council (EEPC) delegation [September 2003].

Minister of State for Small Scale Industries, Smt Vasundhara Raje, accompanied by a composite delegation including Secretary (SSI) and businessmen from CII, visited Riyadh from Oct. 5-7, 2002. MOS inaugurated ‘LIBAAS—Indian Costumes through the Centuries’ Exhibition organized by Embassy in cooperation with National Museum, Riyadh. As a follow up to MOS (SSI)’s visit, a delegation of Saudi entrepreneurs from the Jeddah Chamber of Commerce & Industry visited India [19-25 December 2002].

The Secretary General of Riyadh Chamber of Commerce & Industry, Mr Hussein A. Al-Athel, attended the “Partnership Summit” organised by CII at Hyderabad from 6-8 January 2003. Later, Deputy Minister for Industrial Affairs, Saleh E Al-Husseini, was on a 5-day visit to India (25-29 April 2003) accompanied by a 13-member official delegation.

A high level Saudi business delegation led by Mr. Abdul Rahman A. Al Jeraisy, Chairman, Council of Saudi Chambers of Commerce & Industry and Chairman - Jeraisy Group, visited India from 12-18 October, 2003. The delegation consisted of 28 leading Saudi businessmen representing various sectors of industry and trade.

The first GCC-India Industrial Conference comprising ministerial and business delegations from the GCC States and India, was held in Mumbai on February 17-18, 2004. The Conference was co-chaired from Indian side by H E Mr Arun Jaitley, Minister of Commerce and Industry and from the GCC side by H E Mr Abdullah bin Abdul Rahman Al-Taweel, Minister of Trade and Industry of Kuwait. It was attended among others by H E Mr Abdulrahman bin Hamad Al Attiyah, GCC Secretary General and H. E. Mr Hashim bin Abdullah Al Yamani, Minister of Commerce & Industry, Saudi Arabia. The Conference focused on trade, investment, industrial and technological cooperation.

Giving a boost to their commercial and economic ties, India and the Gulf Cooperation Council signed on August 25, 2004 a Framework Agreement on Economic Cooperation. The Agreement was signed in New Delhi by Shri Kamal Nath, Hon’ble Minister for Commerce & Industry and His Excellency Mr Mohammed Al-Sabbah Al-Salem Al-Sabbah, the visiting Foreign Minister of Kuwait and Chair of the GCC in the presence of His Excellency Mr Abdulrahman bin Hamad Al-Attiyah, Secretary General of the Gulf Cooperation Council.

Soon after new investment laws came into force into Saudi Arabia in mid-2000, a number of Indian firms have taken advantage of the new Saudi laws providing for 100% foreign ownership of projects in the Kingdom. Since then, Indian companies have established 82 joint ventures in Saudi Arabia in different sectors such as management and consultancy services, construction projects, telecommunications, information technology, pharmaceuticals etc. There are also collaborations between Indian and Saudi companies in the areas of designing, consultancy, financial services and software development. In addition, there are around 55 Indo-Saudi joint ventures in India, in the fields of paper manufacture, chemicals, computer software, granite processing, industrial products and machinery, cement, metallurgical industries.

Home Page

Archives | Links | Search
About Us | Feedback | Guestbook