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India, Thailand hope to clinch free trade pact by mid-2012

Jan 25, 2012, 10:02 GMT

New Delhi - India and Thailand hope to finalise a free trade pact by mid-2012, Thailand's Prime Minister Yingluck Shinawatra said at a meeting with business leaders in the Indian capital Wednesday.

Yingluck said she would be discussing the trade pact with Indian Prime Minister Manmohan Singh during their meeting scheduled later in the day.

She is in India on a three-day trip during which she will be the chief guest at the Republic Day celebration on January 26. The day commemorates India's constitution, adopted in 1948.

Thailand and India agreed to a partial free trade agreement in 2004 and have been discussing a more comprehensive agreement on liberalizing trade, services and investments.

Trade between the two nations amounted to 8.2 billion dollars in 2011, a 34.2-per-cent increase over 2010.

Yingluck was given a ceremonial reception in the forecourt of India's presidential palace and later visited a memorial to the leader of India's freedom movement Mahatma Gandhi.

The Thai prime minister also met President Pratibha Patil and Foreign Minister SM Krishna before her lunch meeting with business leaders.

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