A study jointly conducted by the apex industry body, Ficci and PriceWaterhouse Coopers has said that trade in gems and jewellery between India and Thailand can be of a complimentary nature. Thailand has a rich deposit of quality gemstones, which can be sourced by India. India is a major exporter of cut diamonds.
Both, India and Thailand are members of BIMST-EC and gems and jewellery is one of the most dynamic export-oriented sector in the region. However, the present level of trade is below its potential. In 2005-06 India’s export of gems and jewellery to Thailand was $ 333.46 million, out of which of polished diamonds was $ 285.58 million.
The study also said that bilateral trade between the two countries has boosted the trade in auto components and Indian auto majors like Tata Motors have invested in Thailand. They argue that the synergies existing between the two countries should be encashed for boosting trade and investment for a win-win situation, particularly for development of infrastructure in India’s northeastern states. Northeast India can be well connected with the neighbouring countries in South-East Asian region.
The study suggested cooperation in infrastructure, entertainment and media industry, hospitality and the wellness industry. It makes out a case for reviving th future harvest scheme between the two countries, which can lead to an effective FTA.