$10bn trade deals have elevated India, US ties: Obama

Last Updated: Mon, Nov 08, 2010 09:00 hrs

New Delhi, Nov 8 (IANS) President Barack Obama Monday said the $10-billion trade agreements signed in Mumbai were a step forward in elevating India as a top trading partner of the US.

'Mumbai trade deals is a step forward for elevating India as the top trading partner of the US,' Obama said in a joint press conference with Prime Minister Manmohan Singh here.

The two countries on the first day of Obama's four-day visit to India announced almost $10 billion worth export deals that could lead to more than 50,000 American jobs.

India and the US have reached agreements on two lucrative defence deals worth nearly $5 billion that will give employment to nearly 26,500 people in job-starved America.

The deals also include reaching a preliminary agreement on the purchase of 10 C-17 Globemaster III military transport aircraft that India will purchase from the US.

This order valued at approximately $4.1 billion will support American Boeing company to create an estimated 22,160 jobs.

Obama said the US welcomed the 'agreement on supply of C-17 cargo planes to India'.

India has also declared the lowest bidder and selected the US-based General Electric Company for a contract to provide the Indian Aeronautical Development Agency with 107 F414 engines to be installed on the indigenously produced Tejas light combat aircraft.

This transaction is valued at approximately $822 million, all of which is US export content, supporting an estimated 4,440 jobs.