Johannesburg, July 23 - South African companies can use their capacities to reap benefits from the $500 million that India plans to invest by 2012 in infrastructure projects, according to vice-president of the Confederation of Indian Industry (CII) Hari Bhartia.

Bhartia was speaking Thursday at the opening of a two-day conference, 'Doing Business with India', here.

Some 200 captains of business and industry are attending the event, jointly organised by the Indian mission here, CII, and the South African ministry of trade and industry.

'The great strength of South Africa in infrastructure could be used to good advantage with India's plans to invest $500 million by 2012,' Bhartia said.

'We need roads, airports, and other infrastructure.'

Indian High Commissioner Rajiv Bhatia said although growth in trade between India and South Africa had been consistent, it was still not within the targets set by the leaders of the two countries.

The countries have set a target of $10 billion for bilateral trade by 2010 and $15 billion for intra-IBSA (India, Brazil and South Africa) trade by 2010.

Bhatia shared a 'five-point blueprint' to boost trade between India and these countries.

Firstly, greater government-to-government participation is 'essential', he said.

India's minister of commerce and industry will pay an official visit to South Africa next month, which may be followed by his counterpart Rob Davies' visit to India.