FIEO participates in
41st Algiers International Fair|
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FIEO participated in 41st Algiers International Trade Fair held at Trade Fair grounds at Algiers from 7 to 13 June. FIEO’s pavilion was part of Indian pavilion promoted by ITPO. M/s Capius Roadtech Pvt Ltd, Ahmedabad; M/s Kaps Enterprises, New Delhi; M/s Tip Top Impex, Mumbai; M/s Soex India Pvt Ltd, Mumbai & M/s Bezwada astro Gems & Jewellers, Andhra Pradesh, displayed their products in the FIEO pavilion. Their products included spices, rice, seasame seeds, pulses, gems & jewellery, handicrafts and readymade garments. FIEO participants were led by its Jt. Director Ms. Shyamli Banerjee. Indian pavilion consisted of over thirty companies showcasing product groups such as textiles, garments, gems & jewellery, handicrafts, processed food, leather products, hosiery, spices, technical devices and engineering goods. |
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Dr. Ashok Amrohi, Ambassador of India, Algiers writes the visitors book at the FIEO pavillion, Mr.O K Kaul, Second Secretary (3rd from left) looks on. At centre is Mrs. Shyamali Banerjee, Joint Director, FIEO (WR). |
Around 23 countries participated in the fair. They included USA, Canada, UK, Spain, Italy, Holland and Denmark.
Dr Ashok Amrohi, Ambassador of India to Algiers, inaugurated Indian Pavilion. While visiting the stalls, he said: "We observe an year-after-year increase in the number of Indian participants in this fair and this is consolidating trade relations between the two countries."
During discussions with Dr Amrohi and his team, Indian participants made following observations for promoting trade relations between the two countries:
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Enquires generated suggest that importers are looking for Indian suppliers for the goods they currently import from China. Awareness should be created among Indian exporters about this.
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Indian Mission should create an active database of importers from Algeria along with their product groups. The database should be forwarded to FIEO for further dissemination among Indian exporters.
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Trade enquiries received by Indian Mission should be forwarded on regular basis to FIEO.
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Studies should be conducted to assess export potential of new products in Algeria.
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Visa formalities should be streamlined.
FIEO participants felt that telecommunication facilities were not up to the mark in Algeria.
AN OVERVIEW OF ALGERIAN ECONOMY
Algeria is located in North Africa bordering the Mediterranean Sea between Morocco and Tunisia. In the South, it has frontiers with Libya, Mali and Niger. It is the second largest country in Africa. Around four fifths of its territory are covered by the Sahara desert.
Algeria has become an important economic power in recent years. It is the fourth largest economy in the Arab world. Hydrocarbons constitute 96% of its exports. The rise in oil prices has contributed to the augmentation of its foreign exchange reserves to more than $33 billion.
The gradual but perceptible improvement in the internal situation in Algeria and the revival of growth has helped building up international confidence in the Algerian economy. At present, Algeria is in the process of liberalization of its economy to create a pro-investment atmosphere.
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The bilateral economic and commercial ties between India and Algeria are steadily improving day by day. The basket of exports is diversifying from the traditional agricultural exports to automobiles, iron & steel, pumps, light engineering items, pharmaceuticals, textiles, plastic material etc. The joint venture projects between the two countries are also being tried to be promoted. However, there are companies that are helping Algerian entrepreneurs by setting up projects by supplying equipments, technical inputs, know-how, training manpower in fields like automobiles, two wheelers, electronic items, pharmaceuticals etc. The Government is taking all possible steps to improve and concentrate on the areas where total |
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Dr. Ashok Amrohi and Mr. Kaul with Indian participants at FIEO stall. |
involvement is required to uplift the image of the country such as the Construction and Infrastructure with the development of more housing facilities, roads, railways and modernization of airports and augmentation of water resources.
There is a huge demand in the pharmaceutical sector. Algeria is the largest importer of medicines. It is mostly imported from Europe, which is very expensive. Hence, the Indian pharmaceutical companies may explore this sector.
Agricultural products are currently the main imports of Algeria. There are good opportunities for wheat, spices, processed food, tea, coffee and tobacco from India.
Algeria also imports textiles to cater to the local market. This sector also provides an opportunity to exporters from India.
Exports from India to Algeria during April 2005- February 2006 was valued at Rs 1,044.38 crore and during April 2006-2007 at Rs 1,377 crore, showing a growth of 31.86%. The imports of Rs 3,076.75 crore during April 2005-February 2006 increased to Rs 5,286.59 between February 2006 to April 2007 by around 71.82%.
SGS agrees to issue Provisional Certificates
Mahadipur Exporters’ Association reported heavy transaction costs being borne by the exporters due to delay in issuing Certificate of Findings (CRF) by SGS at the land customs station in Mahadipur and Hili for fly ash exported to Bangladesh. FIEO convened a meeting of exporters with SGS at Kolkata on 11th June to resolve the issue.
Initiating the meeting, the Secretary of Mahadipur Exporters’ Association grumbled that fly ash, collected mainly from NTPC Farakka, was not inspected by SGS at the site of collection but at the border. He said: "SGS insists on issuing CRF only at the border and this is delaying export of fly ash cargo to Bangladesh since CRF is issued after each truck carrying the export cargo is inspected, checked and matched with the invoice. Exports, which could have been completed within a day, are being detained by seven days and thus exporters bear demurrage and extra charges as truck detention costs. As a result, the normal transportation cost of Rs. 4000 per 10-ton truck per day, goes upto nearly Rs. 7000 per day due to detention costs. Worse, the transporters who are losing out on their turnover are refusing to transport fly ash." As an alternative, he suggested that SGS should issue Provisional Certificate in advance to facilitate the movement of export cargo as soon as the trucks reach the border.
Commenting on the issue, FIEO’s Eastern Region DDG Mr. T. K Chattopadhyaya said that the delay in issuing CRF were hampering a large number of ancillary service providers who were dependant on export activity in these areas. He suggested that SGS should come up with right alternatives in order to facilitate smooth transaction of fly ash exports.
SGS representative responded saying that they were bound by the guidelines issued by Bangladesh Government as its representative with respect to export goods certifications. In the matter of fly ash export inspection, he said, inspection criteria of SGS at site required the following:
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The stack from which fly ash is exported needs to be shown to the SGS representative
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SGS representative needs to inspect the entire stock being loaded on the trucks
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Photographs of the same are to be taken for enclosing with the CRF
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Invoice should clearly indicate the quantity being exported
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Invoice quantity should match with physical quantity.
The main problem envisaged with respect to inspection at site is that NTPC does not allow outsiders within its premises; hence, the fly ash stack intended for exports has to be placed outside the premises. Secondly, fly ash is purchased by empanelled contractors of NTPC who stack it in their godowns outside the NTPC area. These stacks may be distributed in three to four godowns spread around the area at a distance of 5 to 6 kms from each other. Further, the stacks of fly ash are intended both for the domestic as well as export market. Hence, even if the stacks are inspected by SGS personnel, it is not certain that the fly ash in the inspected stack is intended for exports.
Exporters present in the meeting proposed that the stacks should be inspected and photographed by the SGS and the advance provisional certificate should be issued, if possible, based on the inspection. Since fly ash is a waste product of NTPC, the same may be issued provided there is no variance in the quantity, they said.
SGS representative accepted the proposal and said that the procedure for the same would be finalized mutually at the site.
