German chancellor in India talks

Schroeder may discuss permanent UN seats for India and Germany

Germany's Chancellor Gerhard Schroeder has arrived in India for a three-day visit aimed at strengthening ties between the two countries.

Mr Schroeder is expected to meet Indian President APJ Kalam and Prime Minister Manmohan Singh.

He told business groups in Delhi that Indian bureaucracy was "one of the biggest obstacles" to increasing trade with Germany.

Germany is India's second largest trading partner in the European Union.

Pakistan trip

Mr Schroeder told business and industry groups in Delhi: "The question is how quickly can decisions be taken in India... One of the biggest obstacles is certainly [that] there is not enough efficiency regarding bureaucracy."

The chancellor said he was optimistic for improvement because Mr Singh was an architect of market-opening policies.

The pair will meet on Thursday and are expected to also discuss efforts by Germany and India to get permanent UN Security Council seats.

Mr Schroeder is expected to travel on to Pakistan to meet President Pervez Musharraf and Prime Minister Shaukat Aziz.