Beyond The Summit

The topic of today - "Twelfth SAARC Summit and Beyond" is both relevant and appropriate since it providesa useful framework to assess the recent Summit, with an eye to the future. My intention is not to go into thedetails of what happened or did not happen. Post mortems of the Summit have been, by now, very extensivelyconducted. Instead, I would like to address the issue of why SAARC was able to make the advances that it didat the Summit and the lessons India needs to imbibe from the same for the future.

The highlights of the Islamabad Summit were an agreement on the SAFTA, theconclusion of an Additional Protocol to the SAARC Convention on Terrorism and the signing of the SocialCharter. Less reported but equally significant was also a decision to initiate a study on advancing thedeadline for a South Asian Economic Union from 2020 to 2015, including on a common currency. This was, infact, an Indian proposal, which won prompt and quick support at the meeting of the Council of Ministers.

Although SAARC was formed eighteen years ago, it is really in the Twelfth Summit at Islamabad that SouthAsia, as a region, awakened to the benefits of regionalism and came together with a joint economic and socialagenda to effectively help in the integration of our seven countries. The agreements and decisions of theSummit represent a significant and innovative breakthrough in the process of establishing theinter-relationship between economic development through trade and integration, ending terror and violence andthe elimination of poverty in our region. 

For example, the fairly quick conclusion of SAFTA, after a period ofexcruciatingly long negotiations under the SAPTA process, reflects the acceptance by all SAARC members thatSouth Asia constitutes a natural trading region and that economic and commercial barriers within the regionmust inevitably fall. Similarly, the conclusion of the Additional Protocol represents a willingness on thepart of SAARC countries to substitute theological debates over the definition of terrorism with a concreteplan of action. 

Likewise, the Social Charter marks the recognition that the fundamental task confronting theregion is poverty and addressing this reality can brook no further delay. Finally, the decision to look intothe possibility of a common currency and examine whether the goal of a South Asian Economic Union can beadvanced symbolizes the keenness of SAARC to speed up its integration progress in the face of a globalizedworld.

Considering the track record of SAARC, the remarkable results achieved have come as a surprise to manypeople. It is, therefore, worthwhile to examine how have we come this far and what is needed to keep thisprocess on track.

There is a growing recognition of the economic benefits of regionalism across the world. The events ofSeptember 11, 2001 and the war against terrorism has also acted as a major cementing factor between nationsacross the globe. Both these developments have contributed to the lessening of inter-state tensions in severalparts of the world and we see the same happening in South Asia too.

At the same time, the outcome of the Islamabad Summit is, equally, product of a slow but steady change in the‘mindset’ of our neighbours towards India. This change, in turn, is to a large extent, the fruit of aconscious policy shift India has made towards the region as well as its perseverance in advocating the virtuesof regionalism.

Let me elaborate this aspect in greater detail. How have India’s policies evolved?

The best way to address this question is to place it in the context of traditional stereotypes regardingIndia’s relations with the neighbourhood.

What have been the most common complaints against India? They are :

• India has a ‘big brother’ approach to its neighbourhood. It seeks hegemony and has its own version ofa Monroe Doctrine for South Asia. India is neither sensitive nor generous to its smaller neighbours. Weneglect them and instead, run after the West.
  
  
• India is niggardly in its approach on economic matters. We are unwilling to share the fruits of ourprosperity and we nit-pick over petty issues.
  
  
• We have boxed ourselves into the Subcontinent and have a ‘frog in the well’ attitude.
  
  
• Our approach to SAARC is negative. Ever since its inception, we have seen it as a forum for others togang up against us. We are consumed by the fear that bilateral disputes will be dragged into SAARC and areconvinced that each of our neighbours is conspiring to do so.

Irrespective of whether these charges have any substance or not, India, in the recent past, hastraveled many miles to try and address each and every one of them.

For example, the neighbourhood has been a very clear political priority for this Government. We have, acrossthe board and at all levels, established close interaction with our South Asian counterparts. I started mytenure with personal visits to each of the SAARC countries and in the last one and a half years, have alreadyvisited Bangladesh and Sri Lanka for a second time. Every multilateral event has been used to strengthen thesecontacts and to consolidate these relationships into personal friendships. Happily, leaders of ourneighbouring countries have also visited us on a regular basis and a red carpet has been extended to every oneof them.

Details of high level visits in just the last year and more will illustrate the point I am making. From SriLanka, over and above numerous private visits, the Foreign Minister visited India once, the Prime Ministertwice and the President once. The Bangladesh Foreign Minister visited us twice. King Gyanendra and CrownPrince Paras of Nepal, both visited us. Prime Minister Surya Bahadur Thapa visited us once before assumptionof charge and once after assumption. From Bhutan, King Jigme Singye Wangchuck as well as Crown Prince KesarNamgyal Wangchuck visited India.

Lest it be felt that sensitivity to our neighbours has been restricted only to the top echelons of power, letme point out that we have encouraged contacts between all sections of our respective societies, be theybusinessmen, journalists, scholars or the common man. India’s initiatives to reopen road, rail and ferrylinks with Pakistan; the Open Skies arrangement vis-à-vis Sri Lanka; the optical fibre backbone across theNepalese Terai as well as the Rail Agreement with Nepal, the new ICD terminal at Birgunj, hydro-electricprojects in Bhutan and Nepal, the Dhaka – Agartala bus service and proposals for ferry services betweenColombo and Kochi and Mumbai and Karachi are all initiatives specifically designed to promote people to peoplecontacts, trade and commercial interaction within the region.

Secondly, our approach towards our neighbours on economic matters has evolved considerably. Let alonedemand reciprocity in trade and other negotiations, we are now institutionalizing positive asymmetry in favourof our neighbours. This is the approach we have adopted in our FTA with Sri Lanka and which we intend tocontinue in our discussions on a Comprehensive Economic Partnership Agreement. This is the framework we intendto use for discussions with Bangladesh on an FTA. This is also one of the key concepts embedded in therecently concluded SAFTA Agreement. The fact that Pakistan enjoys MFN treatment even while it refuses tofulfill this basic minimum obligation of international trade towards us also shows the same logic at work. Wehave in fact also offered to host in India next month a ‘Made-in-Pakistan’ exhibition to promote itsexports to our country.

Many of you would recall that the report of a Group of Eminent Persons recommending the creation of a SouthAsian Economic Union by 2020 had been virtually forgotten till India decided to pick it up and place the ideaon the top of SAARC’s agenda. This move had its share of detractors. There were voices which expressed doubtand suspicion. Some accused this Government of being naïve in our approach to the complex and convolutedpolitics in our neighbourhood.

But, clearly, adopting a bold stance has paid off. We showed the courage to stand up and lead from the front.And, this has brought us dividends. Not only are critics in our own country quiet, our neighbours have alsobegun to see the wisdom in what we are advocating. In fact, one of the most rewarding moments in Islamabad waswhen our proposal for a study on advancing the deadline received spontaneous support from many other SAARCmembers, proving the point that they do not fear a closer integration within South Asia.

Thirdly, nothing could be further from the truth than the allegation that our foreign policy is trapped ina Subcontinental framework. This Government, over the last six years, has assiduously promoted the idea thatIndia is a major power in the world. We have articulated the concept of an extended neighbourhood for Indiawhich stretches from the Suez Canal to the South China Sea and includes within it West Asia, the Gulf, CentralAsia, South East Asia, East Asia, the Asia Pacific and the Indian Ocean Region. We have also actively pursuedinfrastructure projects and policies aimed at expanding India’s connectivity with this extendedneighbourhood. The India – Myanmar- Thailand trilateral road project, the Open Skies policy announced forSouth East Asia and the agreement to use Chabahar Port of Iran for transit to Central Asia and Russia throughAfghanistan all stand out in the above regard.

We have also been pro-active in the building of other regional groupings such as the Mekong - GangaCooperation and BIMST-EC, which expand India’s reach beyond the Subcontinent. A few days from now, theForeign Ministers of Bangladesh, India, Myanmar, Sri Lanka and Thailand will meet in Phuket, Thailand towelcome into BIMST-EC two new members – Bhutan and Nepal and to sign a framework agreement on free trade.

This agreement, along with SAFTA and India’s Free Trade Agreement with ASEAN will together result in anunhindered economic space from Pakistan to the Philippines. In fact, if my proposal for an India-Pakistan-IranCommon Market finds acceptance, this economic space will extend all the way up to Iran. It must also be notedin this connection that the transport corridors India is creating to the east and the west not only link Indiabut also South Asia and this entire region to the rest of the world. Moreover, energy corridors that criss-crossthe region are also likely to eventually become an integral part of such an economic space.

Finally, India’s contributions to the Twelfth SAARC Summit alone should be more than sufficient to dispelany doubts regarding its commitment to the SAARC process. Despite tremendous risks to his personal security,Prime Minister Vajpayee had no hesitation whatsoever in indicating at an early date, his readiness to attendthe Summit. During the Summit, a whole host of proposals for strengthening SAARC was placed on the table byIndia. The Prime Minister proposed in his address to the Summit a Poverty Alleviation Fund and indicatedIndia’s willingness to make an initial contribution of US$ 100 million for projects in SAARC countries otherthan India. We advocated a regional food bank and a campaign for zero-hunger in the region. India issued anunambiguous call for the free movement of media persons and media products in South Asia. India also proposedthe establishment of cultural sub centers under the main SAARC Cultural Centre in Kandy, an idea which waswelcomed by all others.

It can thus be seen that India’s approach towards SAARC is positive and constructive. For us, SAARC is ameans by which our entire region can progress and prosper. It is not an object of fear. Fellow SAARC membersare partners in the building of a new future and not conspirators working against us.

Almost a year back, I pointed outthat the Gujral Doctrine was a continuation of the good neighbourhood policy initiated by Sri Vajpayee duringhis tenure as Foreign Minister in 1977-79. I also said that the present Government is not only committed tothe Gujral Doctrine but prepared to move even further ahead in the direction of peace, friendship andprosperity with our neighbours. I recall that Sri Gujral at that time expressed the hope that I sincerelymeant what I was saying and that these were not mere words.

I presume that the policies we have adopted over the last one year and in particular, the events ofIslamabad will reassure him on this count.

The most significant value addition this Government has brought to India’sneighbourhood policy is the induction of a major dose of economic content. We have persistently articulatedthe need for the simple logic of economics to triumph over politics and I believe, it is this approach whichhelped us make the breakthrough at the SAARC Summit in Islamabad.

Let me reiterate once again my firm belief and conviction that India should remain ready, at all times,to pilot the building of a united and prosperous South Asia. Self-confidence should be the hallmark of ourapproach to the Subcontinent. We should have no doubts over the fact that our interests are best servedthrough a positive, activist and where necessary, unilateral approach to the building of mutual economicstakes and people to people contacts within the region.

At the same time, the bottom line in our relations with neighbours must remain the need to be sensitive toeach other’s security concerns and to neither encourage nor undertake any activity that might be detrimentalto the security and welfare of the neighbour. Encouraging non-state actors, terrorists and other elements byproviding sanctuary and support is not only violative of UN Security Council Resolution 1373 but can alsoboomerang on the countries who provide such support. We have already seen several such examples in ourimmediate vicinity and it would be wise for everyone to learn from these developments. Mere denials will notsuffice. Inspiration should be drawn from the courage and foresight with which Bhutan has moved againstelements within its borders which were threatening its own sovereignty as well as the security of India.

I believe that at Islamabad, there was a collective willingness on the part of all countries ofthe region to look forward. There was a clear desire to escape the shackles of history and a willingness tonot only dream about the future but to also initiate action in pursuit of this dream. There was recognition ofthe reality that the forces of globalization are unstoppable and if we refuse to accept the need to change, wewill only be left behind.

We must build on this foundation. South Asia must summon the resources of far-sighted statecraft to sustainthe momentum generated by the SAARC summit. SAARC must transform itself from an association sponsored byGovernments to one that is energised by the people. It must become ‘people-oriented’ for the progress atIslamabad to be made irreversible, for, no one will want to let go of the windfall that peace and regionalintegration will bring.

As mentioned by our Prime Minister in his opening address at the Summit: "The bonds of religion, language,ethnicity and culture which hold us together as a South Asian family are far more enduring than the relativelyrecent barriers of political prejudice we have erected".

There is, in India, genuine pride in our accomplishments over the last five years.Change is palpable and can be seen all around us in concrete form. The success of our economy has infused ourforeign policy with self-confidence and energy and vice-versa, the success of our foreign policy has given thevarious actors involved in our economy great vigour and drive to discover new avenues of profit.

In South Asia, suspicions are yet to be fully removed and doubts still linger. But, the spirit of trust andcooperation has started its long arduous journey in South Asia.