Indian hopeful on future of Senegalese chemical firm
Dakar - A visiting senior Indian official has raised hopes on the resuscitation of the troubled Senegalese Chemical Industry (ICS).
Industry sources said the ICS, located at Darou-Khoudoss, 115km from Dakar, with a share capital of 130bn CFA francs (about $240mn), and operated with Indian partners, has been in financial turmoil since 2003, including a financial deficit of over 90bn CFA francs that has forced it to stop production
Navdeep Suri, Head of Africa Division at the Indian Foreign Affairs Ministry, said on Thursday that talks were ongoing on how to revive the company, in which India has 19 percent share capital through the Indian Farmers, Fertiliser Corporation (IFFCO).
He said Senegalese officials had visited his country for talks and he was in Dakar as part of an Indian delegation to continue the discussions on Senegal's proposal that IFFCO acquire a majority share of 51 percent in the ICS.
"The future of ICS, as the largest private sector employer in Senegal supporting the livelihood of more than 10 000 people, is of concern to India," Suri said.
He described the company as a major foreign exchange earner as India annually purchases $200mn worth of phosphoric acid, an essential ingredient for the production of fertiliser, from the company.
Suri also listed other areas of bilateral co-operation between India and Senegal, including a $27mn credit line for the Senegal River irrigation scheme to double rice production in the west African country.
India also extended a separate $18mn credit facility for the supply of 350 TATA buses in 2005 to improve public transport in Senegal, and another US$15 million for the provision of 550 tractors and other agricultural equipment to scale up agricultural production.
According to Suri, a feasibility study is also ongoing for another $27.7mn Indian credit line for the supply of coaches and locomotives to prop the Dakar-Tambacounda-Ziguinchor and the Dakar-Bamako rail systems.
The Indian official said there were similar projects in other African countries as part of New Delhi's deliberate efforts to deepen and broaden the Indo-Africa relations and co-operation under the South-south framework |
