Enhancing India CARIFORUM Economic Relations and Prospects for Cooperation

countries have numerous trade agreements with major trade blocs of the world. For the Indian corporates the CARIFORUM region could, therefore, also act as a gateway to the world, besides the potential existing in the CARIFORUM region itself. Transportation and Logistics Costs One of the major impediments to trade between India and the CARIFORUM countries is trade logistics and transportation costs. Efforts should be made to reduce transaction and transport costs, streamline trade logistics, in order to realise the trade potential between the regions. People to People Exchanges, Tourism, and Media Exchanges Even though the relations between the two regions date back to at least 19 th century, and a significant presence of ethnic Indians in the CARIFORUM countries, challenges to greater economic integration stem from differences in business and trade culture, as well as from the geographic distance and concomitant problems of connectivity. Therefore, the importance of people to people exchanges, tourism, and media exchanges can’t be ignored. Increased Industry Engagements In order to increase awareness of the regions on both sides, business conclaves like the India-LAC conclave and other industry association engagements, endeavour to provide a platform for increased interaction among industry, academicians, policy makers, and government representatives with a view to benefiting the entrepreneurs, investors and business community. Enhancing Engagement through new Embassies Expansion of India's diplomatic presence in the LAC region could contribute to significantaly enahancing relations between India and LAC region. India, till recently, had only 14 embassies in LAC. On the other hand, LAC is represented by 21 embassies in India. With increased physical presence, an impetus to the growth story can be reasonably foreseen. The missions are expected to help in providing market access for Indian companies and the export of goods and services. These missions are also likely to help in further enhancing people to people contacts and help in bolstering political outreach.

Executive Summary

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