India and South Africa would be looking to form cooperative ventures and advancing those partnership businesses into the rest of Africa, business leaders from the two countries said on Monday.

Speaking after the India-South Africa CEO forum in Johannesburg, Ratan Tata, the chairperson of India's largest industry group Tata, said that the two emerging economies had an opportunity to form partnerships to grow into Africa.

"South Africa can be used as a gateway to distribute products to the rest of the continent, owing to its strategic location and knowledge," he said.

The Confederation of Indian Industry president Hari Bhartia pointed out that Indian pharmaceuticals companies were increasingly setting up base in South Africa, and that India-South Africa partnerships could be used to supply affordable, life-saving drugs into the rest of the continent. One such initiative includes the Indian generic pharmaceuticals company Ranbaxy that would pump $100-million into South Africa's economy.

India Commerce and Industry Minister Anand Sharma pointed out that the Indian pharmaceuticals industry was able to break the monopoly held by European companies and was responsible for decreasing the price of supplying one person with antiretroviral drugs from $11 000 a year to around $400 a year.

South African diversified miner African Rainbow Minerals (Arm) chairperson Patrice Motsepe also said that the environment for India-South Africa co-partnerships into Africa was favourable.

"Africa is open for business, and Arm has very recently decided to venture into this promising continent," he said, referring to the miner's decision to build a new copper mine in Zambia.

Meanwhile, Business Unity South Africa CEO Jerry Vilakazi said that the two States played a critical role in ensuring that business from both countries could operate in an environment that promoted investment and trade.

"Business has given its input and we are sure that this will be reflected in trading policies being put in place to promote trade relations."

South Africa and India are targeting bilateral trade of $10-billion by 2012, which might be reached as early as March 2011. Trade numbers between the two countries reached $2,75-billion in the first quarter of the current financial year.

India is one of South Africa's top ten investors and a further target of $25-billion had been set for bilateral trade by 2015.

Bhartia expressed hope that existing trade barriers would be removed and that a free trade agreement could be reached as soon as possible.

Some of the regulatory concerns that were raised by the first South African banking group to open a representative office in India, FirstRand Bank CEO Sizwe Nxasana, related to the issue of foreign ownership, while Airports Company South Africa (Acsa) Monhla Hlahla asked about data sharing. Acsa and the Airports Authority of India are currently working together on an airport project in Mumbai.

Sharma said that the Indian government was doing its best to ensure that the Indian regulatory environment were as conducive to foreign investment and partnerships as possible, and added that the concerns raised would be taken up by the Indian government.

Trade and Industry Minister Rob Davies said that the two countries were serious about strengthening trading ties. "This is the time to get on with the task of addressing all inhibiting issues and to deliver results to the people of India and South Africa," he said.