India is likely to sign an agreement soon to participate in an European Union (EU)-promoted ambitious satellite-based navigation system, giving a major boost to their economic and political ties.

The EU hopes India, with its sharp edge in the technology domain, will be able to significantly contribute to the Galileo satellite positioning and navigation services system that is being positioned as a rival to the US Global Positioning System (GPS).

"We have been discussing India´s participation in the project for over three years now. A framework agreement on this is likely to be signed in a few weeks´ time," said a senior European Commission official working on the project.

"The final text of the agreement is being prepared and it is likely to be signed at the ministerial level soon," the official, who didn´t want to be named, told a visiting IANS correspondent here.

The Galileo project is a joint initiative of the EU and the European Space Agency. The EU says the growing requirements of global coverage cannot be met by a single satellite system alone.

Conceptualised in 1999, the Galileo programme is likely to cost 3.4 billion euro when it becomes operational in 2008. China and Israel have already signed for the project.

Acoording to the official, India, with its vast geographical area, stands to benefit significantly from the Galileo project that will comprise a constellation of 30 satellites.

"The Galileo programme is being developed as a civil project for civil purposes. It can be used for traffic management, mobile telephony, exploration of oil and minerals," he added.

India had agreed to participate in the Galileo programme at the end of the fourth India-EU Summit in 2003.

China has committed an investment of 200 million euro in order to finance specific activities in the development and deployment phase of the navigation system.  

The European Commission official said besides India countries like Canada, Russia, Argentina and South Korea were also likely to enter into formal agreements to participate in the programme.

"With India´s proven expertise in the areas of technology, it can be a major contributor of the project. India has very good capability in the areas of launching satellites," said the official.     

India's participation in the high-profile project will significantly enhance its status as a strategic partner to the 25-member region, said the official.     

"Galileo is vital for the future of Europe's high-technology industries. It will generate newer and larger markets and provide the critical advance in technology for Europe and its partners."

--Indo-Asian News Service