The $12 billion Posco steel plant in Odisha, the largest FDI in India, on Thursday finally got the go ahead as South Korea and India signed five agreements including in defence and space.
The agreements were signed in the presence of South Korean President Park Guen-hye and Prime Minister Manmohan Singh.
President Park said while the Posco plant had been delayed, both sides should ensure smooth sailing for the 8 million tonnes per annum project coming up in Jagatsinghpur in Odisha.
President Park said she proposed to Manmohan Singh that both countries should cooperate in defence and that India could purchase mine sweepers from her country.
India has agreed to provide visa on arrival to South Koreans. She said she appreciated the gesture. Manmohan Singh said both sides have concluded talks on double taxation avoidance convention and were exploring the possibility of setting up a Korean industrial park in India. He said both countries were to set up a CEOs forum to provide ideas to boost trade.
“We have just concluded wide-ranging discussion on matters of bilateral interest and regional and global importance. This has enabled us to impart further substance, greater content and new momentum to the Strategic Partnership between our two countries,” Singh said at a joint media event with Park.
He said both the leaders have decided to establish an annual interaction between the “national security structures” of the two countries besides agreeing to launch a Cyber Affairs Dialogue.
“I am happy that the large-scale POSCO steel project in Odisha is set to be operational in the coming weeks, following the revalidation of its environmental clearance. Grant of mining concession for the project is also at an advanced stage of processing. I conveyed to President Park our hope that this project will confirm that economic growth and environmental protection can go hand in hand,” Singh said.