India-Botswana Finalised Two Agreements

Indian Vice President Hamid Ansari reached Botswana on 9 January 2010 for a three day visit. He made two agreements with the Vice President of Botswana Lt General Mompati Merafhe on 9Janauary2010. The first agreement was on cooperation in agricultural research, machinery, crops livestock and horticulture and the second one was on cooperation in education.

However, the agreements could not be reached on diamond trade between India and Botswana. Botswana’s economy is mainly dependent upon the production of diamonds and it has a large source of uncut diamonds. India is the largest importer of uncut diamonds. India wants to import them directly from Botswana Instead of buying from De beers. De beers is a South African conglomerate.This dominates world market in uncut diamonds and uses monopolistic practices in trade. India’s diamond industry of Surat has suffered losses because of decline in global demand for finished diamonds.

The two nation discussed South-South cooperation and climate change. Botswana supported India’s bid for expanded U.N. Security Council.