Cameron calls for more jobs in Britain, India through trade (Roundup)

Jul 28, 2010, 14:48 GMT

New Delhi - British Prime Minister David Cameron Wednesday began a two-day visit to India with a call for increasing trade and business ties to help Britain's economic recovery.

'This is a trade mission, yes, but I prefer to see it as my jobs mission,' Cameron said at the headquarters of Indian information technology firm Infosys Technologies Ltd in the city of Bangalore.

Cameron's government is seeking foreign investment as the country moves slowly out of recession and saddled with Britain's highest-ever peacetime budget deficit.

'Indian companies employ 90,000 people in the UK. Many more jobs in Britain exist thanks to activities of British companies in India,' Cameron said.

'Now I want to see thousands more jobs created in Britain and of course in India through trade in the months and years ahead. That is the core purpose of my visit.'

Cameron also urged a successful conclusion of the Doha round of trade talks, saying a new global free trade regime was essential to boost the world economy.

He said Britain wanted India to reduce barriers to foreign investment in banking, insurance, defence manufacturing and legal services.

Bilateral trade has expanded from 3.6 billion dollars in 2003-04 to 12.8 billion dollars in 2008-09.

Cameron was accompanied by a 90-member delegation of business executive and cabinet ministers including Foreign Secretary William Hague and Chancellor of the Exchequer George Osbourne.

'This country has the whole world beating a path to its door,' Cameron told the gathering of Indian business leaders and Infosys employees. 'I understand that Britain cannot rely on sentiment and shared history for a place in India's future.'

Cameron said he would discuss trade and investment, educational initiatives, cooperation on climate change as well as global security - particularly with regards to Afghanistan and Pakistan - with Prime Minister Manmohan Singh in New Delhi Thursday.

He visited India's state-run Hindustan Aeronautics Limited in Bangalore, which manufactures trainer jets under licence from the British defence group BAE Systems.

A deal worth over 500 million pounds (about 799 million dollars) was signed between HAL and Britain's BAE Systems and Rolls-Royce for 57 Hawk trainer jets.

Business Secretary Vince Cable also announced in Bangalore Wednesday that Britain would permit exports of civil nuclear technology and expertise to India for the first time.

The sales had traditionally been opposed by the Foreign Office and the Ministry of Defence because India is not a signatory of the Nuclear Non-Proliferation Treaty.

The two sides are also expected to sign an agreement on cultural cooperation Thursday, India's Ministry of External Affairs spokesman Vishnu Prakash said.

There are 30,000 Indian students in Britain, besides an Indian-origin community of nearly 2 million. India was a British colony before it gained independence in 1947.

Britain's recently announced plans to limit immigration are likely to figure in discussions between the two sides Thursday.