New Delhi: India and Egypt will set up a joint study group (JSG) to explore the possibility of a bilateral economic cooperation agreement, as the two sides aim to double the trade to over USD 5 billion in the next three years.

"We are going to set up a study group to look at the possibility of a new economic cooperation agreement that will cover free trade in goods, services, investment and technical cooperation," Egyptian Minister of Trade and Industry Rachid Mohamed Rachid told reporters here.

Rachid, who is on a four-day official visit to India with a business delegation, discussed the possibility of the bilateral agreement with his Indian counterpart Kamal Nath.

Nath is likely to visit Egypt by the end of the year, before then, the two sides will have a meeting of the JSG, Rachid said.

Bilateral trade currently stands at USD 2.8 billion and the two sides look to double the trade in the next three years. India's exports to Egypt grew by 51 per cent during the last one year, while imports grew by 31 per cent. Indian investments in Egypt, including those in the pipeline, currently total USD 3 billion.

Earlier in the day, Rachid said an FTA could be the best move to boost trade and investment. "If not an FTA, the two countries should have a framework agreement in trade and investment to cater to the need of both sides," he said.

Source : PTI