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Use Mauritius as a base for software: Jugnauth

Mauritius Prime Minister Anerood Jugnauth on Saturday asked the Indian companies to use Mauritius as a base for the software development activities, data-hubs, call centres and network management centres.

"In order to create an even more propitious investment climate, my government has recently set up a Board of Investment, which will set the framework for simpler investment procedures and eradicate bureaucratic bottlenecks. It will act as a real one-stop-shop for investors, both domestic and foreign," he said.

Addressing a luncheon meeting, jointly organised by the Assocham and MCCI, he asked Indian entrepreneurs to set up new spinning and weaving plants in Mauritius. Other areas of interest would be pharmaceuticals, light engineering, leather products, jewellery, electrical products and electronics and information technology, he said.

Pointing out that Mauritius had made 'rapid progress' in the last two decades, he said his country had now diversified into manufacturing, tourism and financial services.

The manufacturing sector contributed 25 per cent to the GDP and much of it was geared towards export markets, he said.

Pointing out that Mauritius proposed to invest 'heavily' on infrastructure to support the development of the business sector, Jugnauth said that his government provided low corporate tax of 15 per cent, tax-free dividend, free repatriation of profits and exemption of customs duties on equipment and raw materials.

The Mauritius prime minister said that his country was strategically located in the Indian ocean and as such could act as a bridge between Asia and Africa. Mauritius formed part of two regional blocks which provided preferential access to a large number of countries of the Southern and Eastern Africa.

It also enjoyed preferential access to EU market under the Cotonou agreement.

The African Growth and Opportunity Act, which granted trade preferences to Sub-Sahara African countries of which Mauritius was a part, provided new opportunities for foreign investors to set up enterprises to tap the US market on a duty-free and quota-free basis, he said.

Jugnauth said political and social stability in his country provided an environment conducive for business to grow and develop. The financial sector along with the offshore sector was rapidly developing to become the 'fourth pillar' of the Mauritian economy.

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