New Delhi, Oct 14 (IANS): The union cabinet cleared an agreement between Taipei's India-Taipei Association (ITA) and Taipei Economic and Cultural Center (TECC) in India for cooperation in the field of Micro Small and Medium Enterprises (MSME), an official statement said on Wednesday.

The agreement aims to provide a structured framework and enabling environment for MSMEs in either nations to better understand each other's strengths, markets, technologies, policies and others, the statement added.

Both the countries also agreed to allow MSMEs to participate in each other's trade fairs, exhibitions, exchange business delegations, understand policies and explore markets for joint ventures, tie-ups and technology transfers among others, the statement said.

"This type of cooperation opens up doors of new opportunities for the Indian MSME sector by way of new markets, joint ventures, sharing of best practices and technology collaborations," the statement said.

However, the agreement does not include any financial, legal or political commitments.

According to statement, MSMEs recorded consistently high growth rates vis-a-vis overall industrial sector demonstrating innovation and adaptability.