Revision as of 10:08, 2 March 2021

The InduTech Zone IT SEZ

U Sudhakarreddy, Mauritius drags India to int’l court over Andhra SEZ case, February 22, 2018: The Times of India

The Mauritius government has dragged India to the International Court of Justice for arbitration in the InduTech Zone Investments case. InduTech Zone IT SEZ had failed to take off after CBI chargesheeted Andhra opposition leader Jagan Mohan Reddy in a scam involving the land earmarked for the purpose. Indu Shyam Prasad Reddy, who was contracted to develop the SEZ, had mortgaged the land to raise loans and laundered part of it. Reddy, along with others, was booked in the same case.

As the SEZ case got embroiled in legal tangle, Carissa Investments LLC of Mauritius, which holds 49% stake in InduTech Zone, through FDI, approached the Mauritius government, which took up the case for arbitration. The Mauritius government took up the case under a bilateral treaty for protection of investments.

A top official of Telangana State Industrial Infrastructure Corporation (TSIIC) told TOI, “A legal notice has been served by the Mauritius government in the name of PM Narendra Modi, stating that Carissa LLC has been cheated. The claimant, Carissa LLC, said the claim would be over $50 million and sought arbitration. In the notice, the Mauritius government has quoted United Nations Commission on International Trade Law Model Law on Commercial Arbitration.”

Besides the PM, the notice also mentions names of finance minister, law minister, commerce minister and urban affairs minister as respondents. Though not as respondent, the notice mentions the chargesheet against Jagan. “The Mauritius government said it is a breach of bilateral investment treaty that promised protection of investments. With the CBI and ED cases pending, the project failed to take off and resulted in loss of investments for Carissa. International Court of Justice sent a notice to India seeking appointment of an arbitrator. The Centre has called for an inter-ministerial group meeting for appointing an arbitrator,” said the TSIIC official.

Chagos Islands

2018: India backs Mauritius’ claim

Indrani Bagchi, India backs Mauritius’ claim over UK-ruled Chagos Islands, September 6, 2018: The Times of India

India weighed in on behalf of Mauritius at the International Court of Justice (ICJ) in The Hague, saying the Chagos archipelago in the Indian Ocean – which is currently ruled by the UK and operates US’ Diego Garcia military base – “has been and continues to be with Mauritius”.

After the UN general assembly voted in favour of a legal opinion to the question of sovereignty of the islands, the ICJ had taken up the case to deliver an advisory opinion, which will not be legally binding. Of the 22 countries which are giving their legal opinion, the UK is supported by the US, Australia and Israel, while Mauritius is being supported by 17 countries, including India.

India’s ambassador, Venu Rajamony, who presented the Indian opinion, said the “historical survey of facts … indicates that the Chagos Archipelago throughout the preand post-colonial era has been part of the Mauritian territory. These islands came under the colonial administration of the United Kingdom as part of Mauritian territory”.

While India stayed true to its commitment to its Indian Ocean neighbour Mauritius, as well as its anti-colonial credentials, there is some irony in the fact that after signing the LEMOA (Logistics Exchange Memorandum of Agreement) with the US in 2016, India can actually access Diego Garcia for some of its uses. That itself has led to some interest in India’s opinion, particularly as the UK and US have reached out to India for support. The Indian opinion was also publicised the day before the first high-level dialogue between India and US here.

A statement by the Indian government observed, “The Arbitral Tribunal constituted by agreement between Mauritius and UK in its Award dated 18 March 2015, ruled that the undertakings of the United Kingdom with respect to: the fishing rights of Mauritius in the waters of Chagos Archipelago; the eventual return of the Archipelago to Mauritius and; the benefit of mineral and oil resources in and near the Archipelago, are legally binding undertakings. Further, by declaring as legally binding the undertaking of the United Kingdom to return the Archipelago to Mauritius, the Award has determined the legal obligation of the United Kingdom to return the Archipelago to Mauritius.”

After signing an MoU with the US in 2016, India can access the military base US operates on the islands

YEAR-WISE DEVELOPMENTS

2021

FTA

Indrani Bagchi, February 23, 2021: The Times of India

India inks FTA with Mauritius, the 1st with an African nation

Will Help Indian Bizmen Use It As Launch Pad: Jaishankar

New Delhi:

India signed a free trade and investment agreement with Mauritius on Tuesday, the first with any country in Africa. It was also the first time since 2011 that India was signing a free trade pact with any country. Announcing this in Port Louis, foreign minister S Jaishankar said the Comprehensive Economic Cooperation and Partnership Agreement (CECPA) “will provide a timely boost for the revival of our post-Covid economies and also enable Indian investors to use Mauritius as a launch-pad for business expansion into continental Africa helping the prospect of Mauritius emerging as a ‘hub of Africa’.” In his first visit there as foreign minister, Jaishankar also handed over another 1,00,000 doses of Covid vaccines to Mauritius Prime Minister Pravind Jugnauth. India had earlier flown over 1,00,000 doses in January.

For Mauritius, the Indian market for frozen fish, speciality sugar, biscuits, fresh fruits, juices, mineral water, soaps, bags, medical and surgical equipment, and apparel will open up. “Mauritius will get preferential access for export of 40,000 tonnes of sugar into India at an early time frame. Similarly, there will also be access for the export of 7.5 million pieces of apparel,” Jaishankar said.

In services, Jaishankar said, India has offered 95 sub-sectors from 11 broad services sectors. “Services contribute, I believe, 76% of the GDP of Mauritius, and CECPA will surely boost the dynamism of the services sector in Mauritius. The CECPA could also facilitate Indian investment in the services sector in Mauritius.”

Mauritius being a crucial security partner in the Indian Ocean region, India has leased out a Dornier aircraft and an Advanced Light Helicopter Dhruv “on a gratis basis for 2 years.” Jaishankar described India’s assistance and presence for Mauritius as “responsive, resolute and reliable.”