Following a meeting on Saturday, Indian Prime Minister Manmohan Singh and German Chancellor Angela Merkel expressed the hope that the trade target for the next two years will be achieved.
Merkel told reporters that the bilateral ties between India and Germany were of “strategic nature” devoid of any trust deficit.
She said: “We have set ourselves ambitious goals. We want to increase bilateral trade volumes to 20 billion euros by 2012 (but) ... much needs to be done.”
Recognising India’s rising economic power, Merkel said “India’s economy is growing and so I think we can do much to set things in motion.”
Manmohan Singh said: “Despite the economic downturn, we are hopeful that the target of 20 billion euros by 2012 will be achieved.” He said there was a “vast untapped potential” for high technology trade between India and Germany.
The prime minister asked the chancellor to relax export control laws for high tech trade. “I conveyed to Chancellor Merkel that relaxation of German export control laws will open new horizons for such trade. This will be to our mutual benefit,” said Manmohan Singh.
Merkel said the two sides “have to take a step in the direction of each other” to diversify the economic ties. Germany is India’s largest business partner in Europe.