NEW DELHI: Malaysia-India trade value increased by 15 per cent last year, with the momentum expected to grow further this year.
Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said Prime Minister Datuk Seri Anwar Ibrahim and Indian Prime Minister Narendra Modi have agreed to upgrade and improve existing agreements.
"Notably, the enhancement of relations from an Enhanced Strategic Partnership (ESP) to a Comprehensive Strategic Partnership (CSP).
"This encompasses significant investments and trade in sectors such as manufacturing, semiconductors, the digital economy, and financial technology (fintech), as well as aspects like food security and more.
"In fact, before the prime minister's arrival, a CEO Summit involving Malaysian and Indian companies took place, which also included participation from the Malaysia India Business Council (MIBC)," he said on the last day of the prime minister's three-day official visit to India.
Earlier, Tengku Zafrul witnessed the exchange of seven memoranda of understanding (MoUs) involving companies from the two countries, covering industries such as logistics, private equity, investment, and startups.
The first MoU was between Renegy Bumi Hijau Sdn Bhd (RBHSB) and Thiagarajar College of Engineering, Madurai, Tamil Nadu, India (TCE), followed by an MoU between Beyond4 Sdn Bhd and T-Hub Foundation.
The third MoU was between Mutiara Etnik Sdn Bhd and Neptune Automation SWM Pvt Ltd, followed by an MoU between Dhaya Maju Infrastructure (Asia) Sdn Bhd and Rail Vikas Nigam Limited, India (RVNL).
The fifth MoU was between Cradle Fund and Invest India, the sixth was between SMH Rail Sdn Bhd, Malaysia and BEML Limited Bengaluru, India, and the final MoU was between MIBC and Invest India.
Tengku Zafrul said that Indian firms have committed to investing in three Malaysian companies, involving RM4.5 billion, and in terms of trade, there was a commitment to purchase Malaysian goods such as electrical and electronics, palm oil, and chemicals, worth RM8 billion.
"In this regard, the prime minister has given us three months to report back on the progress of what we can achieve together with India.
"From a trade perspective, there are indeed many new areas we can focus on.
"In fact, this morning's roundtable meeting was quite interesting as there are areas of expertise in Malaysia that India needs and vice versa.
"We had meetings with two major companies in one-on-one sessions with the prime minister, namely TCS, one of India's largest companies listed in Mumbai and long-established in Malaysia, and another, HCL Tech," he said.
Tengku Zafrul said HCL Tech has extensive collaborations with electrical and electronics companies in Malaysia, offering software solutions, and more.
The prime minister also emphasised talent development, particularly in the field of engineering, and India agreed to collaborate, as they have in the digital field, to train Malaysian workers and offer them employment, he said.
He said Indian semiconductor firms have also expressed interest in collaborating with Malaysian companies, which are more advanced in this sector, while India is just beginning to develop.