Korean investment a priority, Posco will happen: Manmohan Singh

Seoul, March 26 (IANS) Investment from South Korea is a "priority" for India, visiting Prime Minister Manmohan Singh said Monday, adding that the government was taking "proactive" steps improve the business climate and move forward with the Posco mega steel plant project in Orissa.

"Investment from Korea is a priority for India. We will take proactive steps to address investor grievances and improve the business climate in the country. Many states of our union have been actively encouraging foreign investment and we will support these efforts. I urge Korean industry to have faith in India," Manmohan Singh said in his address to South Korean CEOs during his two-day official visit to this country.

"I recognize that sometimes our processes can be slow but there are effective mechanisms for resolution of problems and differences and a strong rule of law. The government is keen to move forward with the Posco project and there is some progress in this regard. I believe that India is a stable and profitable long-term investment opportunity," he said.

The Posco steel project, India's largest foreign investment project estimated at $12 billion, has been hobbled for years by local protests against land acquisition of over 4,000 acres in Paradip in the eastern coastal state.