Increased economic engagement focus during Vietnam premiers's visit

NEW DELHI: Increased economic engagement will be the focus during Vietnamese Prime Minister Nguyen Tan Dung's visit here next week even as India was examining the Vietnamese offer of additional oil blocks for exploration in the South China Sea.
Noting that the two countries have exceeded their trade target set for 2015 ahead of schedule, officials in the Ministry of External Affairs today said while the two sides have mature defence and security cooperation architecture, the focus of Tan's visit would be on increased economic collaboration.

"We are working on those targets and the targets will be decided by the Prime Ministers when they meet," official Spokesperson in the External Affairs Ministry Syed Akbaruddin said when asked if the trade target will be revised given that both countries have already achieved USD 7 billion trade target set for 2015.

Asked if China's concern on India's presence in the South China Sea will be an impediment in the country accepting Vietnam's offer of five additional oil blocks to it, he said, "Vietnam has offered some oil blocks in South China Sea. We are examining it and if they are commercially viable for us we will take that into account and proceed further.

"India and Vietnam relationship is not contingent on other countries. Our relationship is a bilateral one and we focus on those bilateral issues."

State-run ONGC Videsh Limited has operations in number of oil blocks in South China Sea which were offered to it by Vietnam.

China and Vietnam have an acrimonious relationship due to their standoff over the South China Sea, a huge source of hydrocarbons. China has been objecting to India's oil exploration projects in the disputed waters.

A Letter of Intent was signed between ONGC Videsh Limited (OVL) and Vietnam Oil and Gas Group (PetroVietnam) during President Pranab Mukherjee's visit to that country last month.

The LoI is aimed at further consolidating cooperation between India and Vietnam in energy sector and pave the way for future collaboration between the two countries.