Bangalore: India and Japan have just concluded the final round negotiations on a comprehensive economic cooperation agreement, Commerce and Industry Minister Anand Sharma said on Saturday.
Commerce Secretary (Rahul Khullar) was back from Tokyo last night and would give a detailed report to the Ministry, he said.
Indicating that the agreement is on the anvil, Sharma pointed out that both India and Japan have the "internal processes to complete" before inking the pact.
He said his Ministry would be making a presentation to Defence Minister A K Antony and the services on the need to raise FDI cap in defence sector from the current 26 percent to 49 percent.
"We need investments. We also need technologies in the defence sector so that India becomes a major producing country", Sharma said, adding, Indian private sector has to play a major role.
"Majority stakes must remain with defence PSUs or with the Indian private sector", he said.