As many as 180 military personnel from Egypt are expected to be part of Republic Day parade during President Abdel Fattah El-Sisi’s visit as the Chief Guest on the occasion on January 26 underlining growing defence partnership covering slew of sectors including joint exercises and military-industrial cooperation.

The three-day visit by Sisi, his third to India since 2015, will also witness conclusion of slew of MoUs across range of sectors including agriculture and cyber-security, ET has learnt. Egypt has also been invited as a special guest for India’s G20 Summit.

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The meeting between Sisi and PM Narendra Modi is also expected to focus on growing security and counter-terror partnership with Egypt seeking support in capacity building, cyber security and border management from India to thwart extremism and terrorism, sources said, adding, special focus is being given in information sharing. Space sector cooperation is also in pipeline with New Delhi planning to assist Cairo in space vehicle launches.

Egypt, that houses headquarters of the Arab League, is an important player in the Arab world and has not backed Pakistan’s machinations on Kashmir in OIC in the recent years. Egypt is a voice of moderation and Sisi has taken a strong position against terrorists and radical forces. Egypt plays a critical role in countering the radical Muslim Brotherhood. Egypt is the most populous country in the Arab world and has de-hyphenated its ties between India and Pakistan and Cairo’s support is critical to counter-terrorism and in deradicalization, sources said.

The first ever joint exercise between the special forces of the Indian Army and the Egyptian Army named “Exercise Cyclone-I” is in progress at Jaisalmer in Rajasthan since January 14. Later this year India would take part in trilateral defence exercise organized by Egypt. Indian Air Force and Navy were involved in joint exercises and port calls in Egypt last year. A Memorandum of Understanding (MoU) in military cooperation was signed during Defence Minister Rajnath Singh’s visit to Cairo last year. Special focus is being given to partnership between the two Air Force and there are reports that Egypt is keen to purchase Tejas fighter jets and Dhruv helicopters.

“India is the major country in the Indian Ocean. The security of the Indian Ocean starts from the security of the Red Sea in the west, and for Egypt, the security of the Suez Canal starts with the security of the Red Sea. We are both linked together in this respect,” Egyptian ambassador Wael Mohamed Awad Hamed had remarked recently. “The Indian Ocean, Suez Canal and Red Sea – this is one continuum that flows from one into the other and both of them depend on each other for security,” he had said, adding the militaries of both countries are “forces of peace in their respective regions”. 12 per cent of India’s global trade passes through Suez Canal.

But it is not just defence and security that is the hallmark of the partnership that is being revived. Egypt is Africa’s third biggest economy and is gateway to the African markets, European markets and Gulf markets through respective FTAs. Egypt is keen to join BRICS and has become SCO dialogue partner last year. India has emerged as a key investor in Egypt including in the renewable energy sector and New Delhi made an exception for Egypt by supplying 61,000 tonnes of wheat last year.

There has been 75 per cent growth in India-Egypt trade ties last year and bilateral trade has been recorded as 7.5 bn USD with potential of touch 12 bn USD over the next five years.

Indian companies are operating in all major sectors of the Egyptian economy including textiles and garments, power, chemicals including specialty chemicals, adhesives, pharmaceuticals, information technology, paints, consumer goods, health care, PVC, caustic soda (Sanmar group), PET Resin, plastics, paper, packaging, auto and auto-component and trading. Around 50 Indian companies are in manufacturing and construction with a combined investment of more than 3.15 billion USD. India has plans to invest in infrastructure sector including in Suez canal economic zone, new capital complex, ports, Alexandria metro project besides IT and healthcare. FINTECH is another area of cooperation and Indian traders to Egypt are seeking settlement in Rupee-Egyptian Pound mechanism.