India, Malaysia set to ink pact for cooperation in semiconductor sector during PM Modi’s visit

New Delhi:  Shoring up bilateral cooperation in areas of trade, investment, and defence and security is set to be the key priority for Prime Minister Narendra Modi’s two-day visit to Malaysia beginning Saturday, even as New Delhi is set to once again press Kuala Lumpur to extradite controversial Islamic preacher Zakir Naik.

Following talks between PM Modi and his Malaysian counterpart Anwar Ibrahim, the two sides are expected to ink several agreements, including one on cooperation in the semiconductor sector.

India and Malaysia elevated their bilateral ties to a comprehensive strategic partnership in August, 2024.

“The visit will also provide an opportunity to enhance our engagement with the ASEAN region, given the important role of Malaysia as its founding member,” Secretary (East) in the Ministry of External Affairs, P Kumaran, said.

Malaysia is a key member of the Association of Southeast Asian Nations (ASEAN).

Modi and Ibrahim will review progress under the India-Malaysia comprehensive strategic partnership, especially in priority areas of cooperation such as trade, investments, defence, security, semiconductors, renewable energy, education, and people-to-people exchanges, Kumaran said at a media briefing.

He also indicated that India will renew its call for the extradition of Naik.

“As far as the question of Zakir Naik is concerned, I can assure you that all issues will be discussed during the visit. We have had opportunities to discuss the issue in past visits, also at various levels,” he said.

“And we will probably continue to take up the issue until all technical procedures are completed, and we hope to get the outcome that we desire,” he noted.

Naik, currently living in Malaysia, is wanted by the Indian authorities for alleged money laundering and inciting extremism through hate speeches. He left India in 2016.

Kumaran said India is looking at boosting defence cooperation with Malaysia.

“There is a lot of promise as far as defence cooperation is concerned. We are looking at sale of Dornier aircraft. Malaysia also has Scorpene submarines. We are looking at opportunities to try and collaborate, especially in terms of mid-life upgrades, retrofitting, etc,” he said.

Kumaran said like India, Malaysia too has Su-30 fighter aircraft and New Delhi is looking at the possibility of supporting that country in maintenance and upgradation of the fleet.

“We have offered proposals for modification, upgradation and mid-life maintenance. We are also looking at potential for supply of naval platforms by Indian shipyards. So, those are all areas that look promising. We hope to be able to get something going on in these areas,” he said.

Kumaran said PM Modi will also interact with leading Malaysian CEOs from key sectors.

“India and Malaysia share a strong, dynamic, and diverse economic partnership. Malaysia is India’s third largest trading partner in ASEAN with bilateral trade around USD 20 billion,” he said.

“Our trade has diversified beyond commodities such as palm oil and includes a variety of agricultural products, chemicals, minerals, appliances, and machinery,” he added.

Kumaran said India and Malaysia are also cooperating under ASEAN for early conclusion of the ongoing review of the ASEAN-India Trade in Goods Agreement (AITIGA).

The two countries are also discussing a joint review of the India-Malaysia Comprehensive Economic Cooperation Agreement, he said.

In Malaysia, PM Modi will also interact with members of the Indian community.

“The visit of the prime minister to Malaysia would serve to further strengthen bilateral cooperation between the two countries as well as to set the path for future engagements for mutual benefit,” Kumaran said.

 

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