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• A high-powered business delegation from oil-rich Saudi Arabia – which has posted the best economic performance in past 20 years despite the prevailing global recession – will explore investment opportunities in India under the aegis of ASSOCHAM on January 5. The Gulf kingdom’s industrial sector achieved 15 per cent growth rate in 2011 and private sector’s contribution to the gross domestic product (GDP) amounted to 49 per cent. Housing, road and railway projects are key sectors where Indian investments and workforce can make a mark, said The Associated Chambers of Commerce and Industry of India (ASSOCHAM).Other potential sectors include information technology, telecommunications, education and training, healthcare services, tourism and hotel industry, banking and financial services, power generation, oil, gas and petrochemicals, said secretary general D.S. Rawat.

• He said a 30-member trade delegation from India will visit Saudi Arabia later this month to meet key Saudi government officials and businessmen for exploring new business avenues. It will visit cities of Riyadh, Jeddah and Dammam during third week of January. Before that, a high-level 44-member delegation led by president of the Council of Saudi Chambers Abdullah Saeed Almobty is visiting India to invite Indian investments in the cash-rich economy.A total of 190 Indian companies are currently active in the Saudi market with investments totaling one billion dollars – 39 in industries, 54 in services and 93 in agriculture besides others in construction, information technology, designing, consultancy and financial services.

• On the other hand, a total of 55 Saudi companies or joint ventures are operational in India with a total investment of 200 million dollars – mainly in paper manufacture, chemicals, granite processing, industrial products, machinery, cement and metallurgical industries.“However, there is still an enormous potential to take this business further,” said Rawat.Saudi Arabia has the world's second largest oil reserves and is a leading member of the Gulf Cooperation Council (GCC). Two-way trade between India and GCC could exceed 130 billion dollars by 2013-14, up from 100 billion dollars in 2009-10.The GCC countries – Oman, UAE, Bahrain, Kuwait, Qatar and Saudi Arabia – and India have identified various potential sectors for bilateral cooperation like petroleum oil and energy, gas and fertilisers, information technology, higher education, civil aviation and agriculture. A framework agreement for the FTA has already been signed.

• The India-GCC FTA is expected to open a billion consumers' market for Gulf countries. An FTA in the region will benefit India substantially as the six member countries control over 45 per cent of the world's recoverable oil wealth and 20 per cent of gas resources. They supply about a fifth of the global crude output.The FTA will remove restrictive duties and push down tariffs on goods being traded. This will provide Indian pharma and chemical industry to export their products to the Gulf region. India is the third country apart from Japan and the United States to have become a dialogue partner of the GCC.Items having export potential from India to GCC countries include food products, pharmaceuticals, machinery and transport equipment, ceramic products, articles of apparel and clothing, cotton and woven fabrics, plastic and rubber products, essential oils, perfumery and cosmetics besides iron and steel articles.

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