S Korean Trade Min may raise Posco issue with Sharma

South Korean Trade Minister Kim Jong-hoon is likely to seek clearances for the much delayed Posco Steel project in Orissa, when he meets his counter part Anand Sharma here on Thursday.

"The ministers will discuss wide ranging issues that include fast-tracking of South Korean Posco steel project," an official in the commerce ministry told PTI.

The $12-billion Posco project of South Korea, the largest foreign investment project in India, has got stuck due to environmental issues.

The Environment Ministry has put the project, which seeks diversion of 1,253.225 hectares of forest land for establishment of integrated steel plant and captive port in Jagatsinghpur district in Orissa, under scanner citing alleged green law violations.

Besides, the two ministers may also discuss issues like facilitation of visa, further upgradation of trade pact, possibility of opening Korean bank branches in India and progress in WTO talks, the official said.

These issues are likely to figure during Sharma's meeting with Jong-hoon on January 20.

The two leaders are meeting to review the bilateral comprehensive trade pact, which was operationalised a year back.

The official also said that a joint statement would be issued after the review meeting.

After the implementation of India-South Korea Comprehensive Economic Partnership Agreement (CEPA) in January 2010, trade between the two countries went up by 45 per cent to $15.6 billion during January-November 2010.

Under CEPA, tariffs are being reduced or eliminated on the maximum number of tradeable goods between the two nations.

Yesterday, Finance Minister Pranab Mukherjee after meeting with his South Korean counterpart Yoon Jeung-hyun said that two-way trade between the countries will double to $30 billion by 2014.