Washington: India and the US have agreed to increaseinter-agency cooperation and identify opportunities for strategic alliancesbetween US small businesses and Indian small and medium enterprises (SME).

The agreement embodied in a letter of intent signed lastweek by the US Small Business Administration (SBA) and India'sMinistry of Small Scale Industry will further economic development and jobcreation in both countries.

The letter of intent was signed by Manuel Rosales, SBAassociate administrator for international trade, and Jawhar Sirca, additionalsecretary and development commissioner of SSI, during a trip to India,SBA said here yesterday (Feb 8, 2007).

Rosales praised the vitality of India's economy and highlighted theimportance of trade and cooperation between both countries' small businesscommunities as a tool for growth and jobs creation.

"Small businesses are the backbone and driving force ofour economies," Rosales said.

"Working together, we will encourageand facilitate business relationships that will help them to become evenstronger, thus furthering economic development and job creation in both ournations,"

he said.

The signing took place at the American Chamber of Commerceinternational summit in New Delhiwith the theme "Emerging India-Opportunities for SME's". It focusedon the opportunities Indiaoffers for businesses globally because of structural changes in its economy andthe sheer size of its market, more than one billion people.