Malaysia keen on labour agreement with India

Friday, 09 January 2004, 20:30 IST
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HYDERABAD: The Malaysian government has expressed its willingness to sign a labour exchange agreement with India to avoid the recurrence of incidents like the detention of Indian IT professionals last year. Addressing the 10th Partnership Summit of the Confederation of Indian Industry here Thursday, Malaysian Minister for Works Samy Vellu said the signing of such a pact would ensure the free passage of professionals from India to Malaysia and vice-versa. Vellu noted that the Malaysian and Indian governments were at an advanced stage in negotiations to clinch a comprehensive bilateral agreement that aimed to enhance the level of trade and investment between them. He said since Malaysia had now become a member of the ASEAN Free Trade Zone, Indian companies investing in Malaysia would have unrestricted access to the region. Highlighting other incentives for Indian companies to invest in Malaysia, he said his country had liberal entry and exit norms, world-class infrastructure and an educated and highly skilled labour force. Companies investing in Malaysia for the first time also enjoyed pioneer status that enabled them to enjoy special benefits for five years. Vellu said in order to expand the presence of Malaysian companies in Andhra Pradesh, the Malaysian government was likely to open a branch office of the Malaysian Industrial Development Authority in Hyderabad. V. Srinivasan, past president of CII, said Malaysia was India's largest trading partner among the Association of South-East Asian Nations and bilateral trade between Malaysia and India had soared to $2.25 billion. The current level of trade and investment between the two countries was way below the potential that existed, Srinivasan said, urging both countries to work towards strengthening their economic relations.
Source: IANS
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