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After arriving in Modi's home state, the two leaders, along with the Israeli prime minister's wife Sara Netanyahu, set out in a car from the Sardar Vallabhbhai Patel Airport here.
Around 50 stages were erected on the roadside along the stretch to showcase performances by troupes of different states to welcome the guests.
People carrying Indian and Israeli flags stood in large numbers on both sides of the tastefully decorated road.
Modi and Netanyahu waved at the people, who greeted them with loud cheers.
Israeli Prime Minister Benjamin Netanyahu and his wife Sara Netanyahu have called their visit to Sabarmati Ashram in Ahmedabad as an 'inspiring visit'.
"An inspiring visit to the heart of one of humanity's great prophets of inspiration -Mahatma Gandhi," said Netanyahu and his wife in a message at the Sabarmati Ashram.
Sabarmati Ashram was one of the residences of Father of Nation, Mahatma Gandhi, who lived here for about twelve years.
Prime Minister Narendra Modi and Netanyahu along with his wife paid tributes to Mahatma Gandhi.
The two leaders reached Sabarmati Ashram after completing their 8km long roadshow from Ahmedabad's Sardar Patel International Airport.
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Netanyahu and his wife tried their hands at Gandhi's cherished spinning wheel.
Modi also showed kites to the Israeli prime minister, whose visit comes just a few days after 'Uttarayana', the popular festival of kites in Gujarat.
Netanyahu and his wife then took a try at flying kites in the ashram.
Prime Minister Narendra Modi and his Israeli counterpart Benjamin Netanyahu have inaugurated the iCreate centre in Ahmedabad's Deo Dholera Village on Wednesday.
The two leaders will also visit a startup exhibition and interact with innovators and startup CEOs.
They will dedicate a mobile water desalination van to Suigam Taluka of Sabarkantha district, through a video link.
Both the Prime Ministers will also visit the Centre of Excellence for Vegetables at Vadrad in Banaskantha district, where they will be briefed on the work plan of the Centre.
They will inaugurate the Centre of Excellence for Date Palms at Kukama, Kutch District, through a video link, and interact with the farmers.
Modi and Japanese premier Shinzo Abe had held a joint roadshow in an open jeep during the latter's visit here in September last year. The Indian premier had shown Abe and his wife around at the Sabarmati Ashram, where Mahatma Gandhi had stayed for a long time.
They had also spent some time at the Sabarmati Riverfront, developed during Modi's tenure as Gujarat chief minister.
