- NEW DELHI (IANS) -- Undeterred
by war clouds, Indian companies are continuing to pour into Iraq to grab
business opportunities in the Arab country.
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- Some 50 Indian companies operate in Iraq now. These include
exploration major Oil and Natural Gas Corporation (ONGC), construction
major Gammon India, Tata Engineering Ltd., Larsen and Toubro, and Bharat
Heavy Electricals Ltd. (BHEL).
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- With contracts of new industrial and business projects
to be finalised this month and by early February, more and more Indian
firms are pouring into Iraq.
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- "No Indian businessman is going to leave Iraq till
the war actually starts," asserted H.S. Mejie, president of the India-Iraq
Joint Business Council of the Federation of Indian Chambers of Commerce
and Industry (FICCI).
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- He told IANS that Indian companies were negotiating with
Iraqi authorities for deals, unmindful of the growing threats of the U.S.
plans to target the country in a bid to oust Iraqi President Saddam Hussein.
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- The Confederation of Indian Industry (CII) agreed with
the assessment.
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- "Despite worries about war, Indian business community
are still eyeing business possibilities in Iraq," a CII official said.
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- "In fact, some companies are seeking entry into
the Iraqi market through neighbouring countries having special trading
arrangements with Baghdad," added the official.
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- The Indian interest in Iraq can be judged from the fact
that 45 Indian companies took part in the Baghdad International Trade Fair
in November. Close relations between New Delhi and Baghdad have helped
to boost the business ties.
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- Several Indian companies like state-owned BHEL and IRCON
International, the project consultancy and execution subsidiary of Indian
Railways, have sent representatives to negotiate for contracts under Phase
XIII of the redevelopment projects being undertaken under the U.N. supervision.
Several other companies are expected to follow suit.
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- Funds collected through sale of Iraqi crude are utilised
by the U.N. for the redevelopment projects, humanitarian schemes and to
procure food and medicines for Iraq.
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- Till Phase XII ended in November, India had bagged $120
million worth of business out of the total $2.2 billion worth of projects
awarded by Baghdad to foreign companies.
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- Said Mejie: "In Phase XIII, India is looking forward
to bagging some major projects. This includes a $1.1 billion gas turbine
project for which BHEL has bid and a $140 million railway signally system.
Several other projects to the tune of $100 million are to be finalised
by January-end or early February."
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- Mejie's own company PCP International has finalised a
$20 million contract for railway points and crossings.
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- Among other major projects being finalised by India are
for export of tea and synthetic knitted sacks for packing wheat flour.
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- A meeting organised by FICCI on December 26 on Iraq drew
many Indian companies, underlining the interest in business ties.
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- ONGC's overseas subsidiary ONGC Videsh (OVL), which has
been awarded exploration and development contract in southern Iraq, is
continuing with its activities.
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- "We are continuing to scout for more opportunity
there and will be interested in acquiring some oil fields for development,"
an ONGC official told IANS.
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- An OVL-led consortium is in the final stages of negotiating
with Iraq for the award of oilfield of Tuba in southern Iraq. This oilfield
can reportedly yield as much as 300,000 bpd of oil of medium and heavy
crude.
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