India-Egypt Bilateral Relations *

Historical Background

            India and Egypt represent two ancient civilizations that have enriched world culture with their invaluable contributions to the sciences and the arts as well as to philosophical thought from the third millennium B.C. In the days of the early pharaohs, Indian sailors carried to Egypt perfumes and spices, pearls and brocades. Egypt sent to India coral and rose water, gold and saffron. Queen Hat-Shep-Sut dispatched envoys to India in the 15th century B.C. which one might take as the commencement of mutual diplomatic relations. More than 2200 years ago, Emperor Ashoka’s missionaries took the message of the Buddha to Egypt, leading to the establishment of an Indian settlement in the port city of Alexandria. India’s literature, notably the Panchatantra, was taken to Europe though Arabic translations. This cross fertilization between the two rich cultural heritages has created a natural and lasting bond between the two countries and the people. There were valuable exchanges of experiences between Saad Zaghlul Pasha and Mahatma Gandhi. They broke the fetters of foreign domination within a few years of each other. As newly freed countries, India and Egypt together elaborated the philosophy of Non Alignment, and the birth of the Non-Aligned Movement was, inter alia, the outcome of the Nehru-Nasser-Tito friendship.

Exchange of Visits

            India and Egypt have always had cordial and friendly relations. Prime Minister Nehru, President Nasser and President Tito were co-founders of the Non-Aligned Movement.

            President Mubarak visited India in 1983 to attend the NAM Summit. Former Indian Prime Ministers Rajiv Gandhi and P.V.Narasimha Rao paid official visits to Egypt in 1985 and 1995 respectively.

            During the visit of PM Narasimha Rao in 1995, it was agreed to have an early meeting of Indo-Egyptian Joint Commission to identify areas of bilateral cooperation. Other issues including the Middle East Peace process, international terrorism and the future of NAM were also discussed. Three agreements were signed : (i) on arrangements to combat terrorism, trans-national and organised crime, (ii) on scientific and technological cooperation and (iii) on bilateral cooperation in the field of information.

Indian Minister of State for Planning, Programme Implementation and Science and Technology, Dr. Y.K. Alagh visited Cairo in November 1996 to attend the III MENA Economic Conference held in Cairo.

            Foreign Minister Amre Moussa led the Egyptian delegation at the G-15 Summit held in New Delhi in March 1994 and called on the President and Prime Minister. Foreign Minister Moussa also led the Egyptian delegation to the 12th NAM Foreign Ministers’ Conference in New Delhi, April 1997, and co-chaired with the Indian Minister for External Affairs, the Indo-Egyptian Joint Commission session in New Delhi, April 1997.

            The Egyptian Minister for Petroleum Mr. Hamdi El Banbi visited Goa, India in connection with the Vth World Energy Conference, in December 1996.

            Dr. Moustafa Kamal Helmy, Chairman of Shoura Council, paid a four-day official visit to India in January 1996. He was accompanied by eight Shoura Council members.

            The Grand Sheikh of Al Azhar, Sheikh Mohamed Sayyad Tantawi paid a five-day official visit to India in October 1996. The Sheikh was accompanied by a seven-member delegation.

            In February 1997, the Speaker of the People’s Assembly, Dr. Fathy Sourour, led a high level parliamentary delegation to India. This included Mr. Kamal El Shazli, Minister for Parliamentary Affairs and Mr. Zakariya Azmi, Chef de Cabinet of the Presidency and a number of Parliament members. Apart from the bilateral visit, the delegation also attended the Inter-Parliamentary Union Conference in Delhi.

            In November 1996, the former Prime Minister Deve Gowda met President Mubarak in Harare on the margins of the G-15 Summit. Again in January 1997, Prime Minister Deve Gowda and President Mubarak met bilaterally at the sidelines of the Davos World Economic Forum meeting. The Speaker of Indian Parliament, Mr. P.A.Sangma visited Egypt, later in 1997.

            In 1997, India announced that it had conferred the Jawaharlal Nehru Award for International Understanding for 1995 upon President Mubarak.

             Prime Minister I.K. Gujral, paid an official visit to Egypt from 11-12 October, 1997. He had talks with President Mubarak, PM Ganzouri and Foreign Minister Amre Moussa. During the visit, the following agreements were signed – on Cooperation in Culture, Science and Technology, Tourism and Mutual Assistance in Combating Customs Offences. It was also decided to set up an Indo-Egypt Joint Business Group.

            In January 1998, the Egyptian Minister of Trade and Supply, Dr. Ahmed Goweili led a high level delegation including top businessmen to participate in the CII Partnership Summit in Chennai. During the visit a MOU was signed on Trade Promotion.

            The Vice President, Shri Krishan Kant led the Indian delegation to the G-15 Summit at Cairo in May 1998. He was accompanied by the Minister of State for External Affairs. A bilateral MOU in Cooperation in the Small-Scale Sector was signed during the visit. Our Ministers of Textiles, Health and Environment, have visited Cairo subsequently.

The first India-Egypt Foreign Office Consultations took place in New Delhi, in February 1999.

            Pursuant to the Memorandum of Understanding signed between India and Egypt in New Delhi on 9 April 1997, Indo-Egyptian Foreign Office Consultations were held in New Delhi on 22-23 February 1999 between officials of Ministry of External Affairs of India and Ministry of Foreign Affairs of Egypt. The delegations were led by Secretary (East), Shri Nareshwar Dayal and Assistant to the Minister for Foreign Affairs for Asian Affairs Ambassador Mohamed Nagi Al-Ghatriefi. The Egyptian delegation also called on Minister of State for External Affairs, Smt. Vasundhara Raje.

            The discussions were held in a spirit of friendship and understanding and covered bilateral, regional and international issues of mutual interest. Ways and means to expand and diversify areas of mutually beneficial cooperation were discussed. Both sides agreed to further enhance substance and content to their bilateral relations and also agreed that economic, commercial and cultural relations should be strengthened and given high priority.

            The interaction between India and Egypt has diversified and developed over a period of time. It covers areas such as trade, agriculture, economic cooperation, industrial collaboration, science & technology, cultural exchanges and people-to-people contacts.

The Jammu and Kashmir Issue; Terrorism; Nuclear Tests

            We have reiterated our stand that all problems between India and Pakistan have to be resolved bilaterally under the Simla Agreement and that we remain ready at all times to engage Pakistan in a bilateral dialogue. President Mubarak has called for international action against terrorism.

            Egypt has shown understanding for India’s compulsions for the nuclear tests at the highest level. Like India, it has called for comprehensive, time-bound, global, nuclear disarmament.

Bilateral Agreements

            India and Egypt have signed agreements in the areas of Technical & Scientific Cooperation (signed in 1969 and renewed in 1995), Education and Cultural Cooperation (1958); Avoidance of Double Taxation (1969); Air Service Agreement (signed in 1952 and renewed in 1991); Cooperation between Doordarshan and All India Radio and Egyptian Television and Radio Union (1995); Combating Illicit Traffic in Narcotic Drugs and Psychotropic Substances (1955); Combating International Terrorism and Trans-national and Organized Crime (1995); Cooperation in the field of Information Technology (1995); Agreements on Protection and Promotion of Investments, and the Establishment of a Joint Business Council (JBC) between FICCI, ASSOCHAM and the Federation of Egyptian Chambers of Commerce and Air Services. A Partnership Agreement is under final stages of negotiations.

Economic and Commercial Relations

            Egypt had traditionally been India’s biggest trpartner in Africa.

            Iexports to Egypt have been steadily increasing from US$ 128 million in 1994 to over US$ 297 million in 1998, an increase of almost 130% in three years. The main Indian exports to Egypt have been cotton yarn and fabrics, machinery, and equipment, transport equipment, articles and base metals including iron and steel, plastic and articles thereof, - jute products, human vaccines, bulk drugs and pharmaceuticals, chemicals and allied products including reactive dyes, rubber and rubber products and traditional items such as tea, tobacco, sesame seeds and lentils.

            Egyptian exports to India in 1994 totalled US$ 224 million and had soared due to export of raw cotton. In 1998, Egyptian exports to India amounted to US$ 167 million. The main exports to India are petroleum crude and petroleum products, raw cotton, organic and inorganic chemicals and fertilizers, metal ores and metal scrap. The total bilateral trade has increased from US$ 352 million in 1994 to US$ 463 million in 1999 with a balance of trade in favour of India of US$ 130 million.

            With the deregulation of the financial environment and the liberalization process in Egypt, an increasing number of Indian companies are looking at Egypt as a production base, both for the domestic and regional markets. According to the Egyptian General Authority for Foreign Investment (EGAFI), India is the 12th largest investor in Egypt with a total investment of approximately US$ 330 million in 32 investment proposals.

            Indo-Egyptian Joint Commission

            The Third Session of the Indo-Egyptian Joint Commission was held in New Delhi under the co-Chairmanship of the Foreign Ministers of India and Egypt, in April 1997. It reviewed the whole gamut of bilateral relations and agreements between the two countries. Some agreements/MOUs relating to Information and Broadcasting, Science and Technology, Informatics and Trade and Economic issues, including on Protection and Promotion of Investments, establishment of a Joint Business Council (JBC) between FICCI, ASSOCHAM and the Federation of Egyptian Chambers of Commerce, were also signed.

            Sub-committees on (a) Trade and Economy, (b) Agriculture and Science and Technology, and (c) Culture and Human Resource Development, also met.

            The Egyptian and Indian delegations discussed the proposed draft Partnership Agreement in Cairo in April 1999, in the context of the ongoing economic reform process in the two countries, and finalised the draft.

            The proposed Partnership Agreement attempts to provide an umbrella facility to enable private sector firms in India and Egypt to enter into mutual negotiations for purposes of direct trade or investment, so that the level of economic exchanges can be enhanced, for long-term benefit.

            The private sector in both the countries have decided to expand their cooperation through the Joint Business Group, which was set up in October 1997, when the then Prime Minister of India had visited Egypt. The first meeting of the Indo-Egypt Joint Business Group was held in May 1999, in Cairo.

            Indian Companies invest in Joint Ventures in Egypt

            According to Egyptian General Authority for Foreign Investment (GAFI), 32 investment proposals have been received by them from Indian companies by the end of June 1996. 11 of these have been implemented and others are in various stages of implementation. Today, India is the 12th largest investor in Egypt with a total investment of more than 1.11 billion Egyptian Pounds (about 330 million US dollars). Some of the areas of these joint ventures are : the manufacturing of Carbon-Black, manufacturing diesel engines and irrigation pump sets in Egypt, assembling of pick-up trucks and mini buses, auto-valves, pharmaceuticals, etc.

India-Egypt Defence Cooperation

Defence ties between India and Egypt continues to be close. In the 1960s, both countries attempted to jointly co-produce jet aircrafts.

            Defence Training

            Till the mid-eighties, Indian Air Force instructors provided training to Egyptian Air Force pilots in Egypt. Egyptian Armed Forces officers attended courses in National Defence College and Staff College in India. Regular exchange of visits of National Defence College teams to each other’s country, takes place. The last visit of NDC team to Egypt was in June 1998.

            Visits

1.       Chief of Egyptian Air Force visited India in February 1997.

2.       Chief of Indian Air Force visited Egypt in March 1998.

3.       Chief of Indian Army visited Egypt in December 1998.

4.       Egyptian Armed Forces delegation visited Aero India Show in December 1998.

5.       An Egyptian Naval ship carrying training Cadets visited India in March 1999.

6.       Secretary, Defence Production and Supplies, Government of India, headed a delegation to Egypt in March 1999.

Miscellaneous

1.       Both countries provide transit facilities to each other’s aircrafts and Naval ships.

2.       Efforts are on to enhance Defence Cooperation between the two countries.

Scientific and Technological Cooperation

            Under an Agreement on Scientific and Technology Cooperation between the Governments of Egypt and India, signed in October 1995, a Joint Committee on Scientific & Technological Cooperation was established. It is a high-level Committee headed by the Minister of State for Scientific Research on the Egyptian side and the Minister of State for Science & Technology on the Indian side.

            The primary objective of the Committee is to agree on fields of cooperation; create favourable conditions for the implementation of the Agreement; facilitate and support the implementation of joint programmes and projects; exchange views on the overall perspectives of the bilateral cooperation, and to examine new proposals for further developing the cooperation. As an immediate follow-up, the Egyptian Minister for Scientific Research visited India twice in 1995 and Prof. Y.K. Alagh, the then Minister of Science & Technology, visited Cairo in November 1996. Several meetings of the “Sub Committee” on Scientific and Technological Cooperation also took place during 1996-97, the last one being held on April 8, 1997, where the Indian side was headed by Dr. A.P. Kulshreshtha, Adviser, Department of Science and Technology. An Executive Programme of Cooperation was also drawn up.

            As a follow-up, two workshops each in Oceanography and Petroleum Research (May 1996 and end-1997) and one workshop in the field of Bio-technology (June 1998) have already been held and joint projects are being worked out. Cooperation in the area of metallurgy had also been envisaged in the Executive Programme and a workshop on the subject is likely to take place in Hyderabad in the last quarter of 1999.

            The Egyptian Ministry for Scientific Research has signed agreements with two Indian organisations, the National Institute of Science Communication and Vigyan Sanchar, for the translation and sale of Indian science popularisation books in Egypt. One such book has already been translated. Cooperation in water resource management and non-conventional energy sources are the other fields in which there is mutual interest. There is also interest on both sides to enlarge the scope of the Executive Programme by including subjects like electronics, environmental studies, training, etc.

            The latest in the series of high-level confabulations were meetings between Professor V.S. Ramamurthy, Secretary, Department of Science and Technology, Government of India, and Dr. Sherif H. Eissa, State Secretary of the Egyptian Ministry of Scientific Research and Technology, at Technology Bhavan in New Delhi on February 22/23, 1999. The two sides expressed satisfaction on the organisation of five bilateral workshops since the Agreement was signed, and agreed to have more intensive discussions in the area of Technology Transfer later on in the year.

            A new push for cooperation has been given in this area during the Foreign office Consultations.

India-Egypt Cooperation in the field of peaceful use of Nuclear Energy

Egypt and India had agreed to cooperate in the field of peaceful use of Nuclear Energy as far back as 1962 when letters to this effect were between the atomic energy establishments of the two countries. The agreement has berenewed every five years through the exchange of letters.

Cooperation is currently on going between the two countries in a number of areas. There have been contacts between the Nuclear Materials Authority (NMA), Egypt, and the Indian Rare Earths Ltd. (IRE). The former has expressed interest in seeking Indian help in exploiting black sands from which a number of nuclear materials can be extracted. Delegations between the NMA and the IRE have been exchanged. The IRE has tendered a bid for a turnkey mini pilot plant for monazite processing and the recovery of pure individual rare earth oxides. This is under consideration by the NMA.

The NMA has proposed draft MoUs for cooperation with the IRE and the Uranium Cooperation of India to enable cooperation between these organisations to be formalised. These drafts are currently under examination.

There is also some scope for cooperation in other areas, including training and instrumentation.

Agricultural Cooperation

            A memorandum of Understanding (MoU) between the Indian Council of Agricultural Research (ICAR) and the Agricultural Research Centre (ARC), Ministry of Agriculture and Land Reclamation, Government of Egypt, was signed in New Delhi on March 19, 1998. It was signed by Dr. R.S. Paroda, Secretary, Department of Agricultural Research & Education (DARE) and Director General, ICAR, on behalf of ICAR, and Dr. Saad Nassar, Director General, ARC.

            The MoU envisages cooperation in the areas of Agricultural Engineering, Horticultural Research, Animal Sciences, Agricultural Extension, Crop Sciences, Fisheries and Natural Resource Management. It is to be implemented through development of mutually agreed biennial workplans, which describe specifically the activities to be carried out under the cooperative programme.

            The first workplan for the year 1999-2000 under the MoU has been concluded in March 1999. It envisages study visits and training of 20 Indian scientists in Egypt in various disciplines of agricultural research and training of 20 Egyptian scientists in India. It also envisages exchange of germplasm and formation of collaborative research projects in the areas of hybrid rice, better quality wheat, varietal improvement of cotton, reclamation of saline/water logged soils, irrigation/fertilization studies on arid fruits, etc.

            The implementation of the workplan is scheduled for the second quarter of 1999.

Cultural Relations

            The first Cultural Agreement between India and Egypt was signed in September 1958 at the Cairo by Shri R.K. Nehru, the then Indian Ambassador, on behalf of the Government of India, and Mr. Mahmud Fawzy, Egyptian Foreign Minister, on behalf of the Government of Egypt.

            Cultural Exchange Programme

            The first Cultural Exchange Programme with Egypt for the years 1973-1975 was signed in New Delhi in March 1973. The current Comprehensive Cultural Exchange Programme for the years 1997-2000 was signed at Cairo in October 1997, during Prime Minister Gujral’s visit to Egypt.

            The Cultural Exchange Programme(CEP) provides for exchange in the fields of education and science, arts and culture, mass-media, social affairs, health, tourism, youth and sports, man-powers. Under CEP, there is a provision for award of 11 scholarships for Egyptian nationals by the Government of India and for award of 22 scholarships by the Government of Egypt to Indian nationals i.e. 8 scholarships for Post Graduate studies for a period of three years; 3 scholarships for Fine Arts studies; 2-3 scholarships for practical training in Arabic language for a period of one academic year each and 6 scholarships for Doctoral studies in Arabic language and Literature for a period of one academic year each.

            The Maulana Abul Kalam Azad Centre for Indian Culture was established in Cairo in 1992 under the auspices of the Indian Council for Cultural Relations. Since its inception it has acquired a high reputation in the cultural and intellectual circles of Egypt. It has a well stocked library of more than 5000 volumes which is widely used by Egyptians, including many research scholars from different Egyptian Universities in addition to members of the Indian community. The Centre organized a successful major weeklong, multi-faceted manifestation on Indian culture entitled ‘Days of India’ in March 1994. The Centre organizes Yoga classes and courses in Hindi, Urdu and Indian cuisine. The Centre is also the nodal agency for implementing the Indo-Egyptian Cultural Exchange Programme.

In 1998 and 1999, as in earlier years, the Centre has organized several Indian Film Festivals, in different cities of Egypt, Exhibitions for children, book exhibitions, Indian folk dance and classical dance performances in Cairo and other cities.

            The Indian Film “The Terrorist” swept all the major awards including the Golden Pyramid for the Best Film, and Best Director, at the 22 Cairo International Film Festival, November 1998.

Indian Community in Egypt

            The size of the Indian community in Egypt is approximately 1400 comprising mostly businessmen and professionals employed in joint ventures and multinationals. They play an active role in promoting economic and cultural relations between the two countries.

May 1999