S.Asia forum delayed by India’s self-interests

By Liu Zongyi Source:Global Times Published: 2014-12-8 20:53:01

The 18th summit of the South Asian Association for Regional Cooperation (SAARC) concluded in Nepal's capital city of Kathmandu on November 27 with the adoption of the Kathmandu Declaration. Heads of South Asian states also signed a framework agreement on energy cooperation, the biggest achievement of the two-day summit. The energy deal indicates that South Asian countries expect to strengthen interconnection and that SAARC is making gradual progress.

SAARC has long been characterized by relatively slow economic growth. As an organization of regional economic integration, SAARC has, however, failed to made substantial progress on this issue. Even since the agreement on the South Asian Free Trade Area came into effect on January 1, 2006, the internal trade among SAARC member states has only accounted for some 5 percent of their total foreign trade volume. SAARC countries have failed in gaining ground on economic integration for two main reasons.

The conflicts between India and Pakistan as well as other South Asian nations have been an obstacle for them to achieve common consensus. And the decision-making mechanism of SAARC can barely effectively address these internal conflicts. India, the biggest power among SAARC members, is relatively economically underdeveloped and has failed to play a leading role in boosting the regional economy.

Since Indian Prime Minister Narendra Modi took office in May, he has been reiterating the need to restore relations with peripheral countries, which seems to have created an opportunity for the development of SAARC. Nevertheless, there has been no obvious improvement in India-Pakistan ties. Though Modi invited his Pakistani counterpart Nawaz Sharif to attend his inauguration, the breakout of the simmering conflict over the control of Kashmir between New Delhi and Islamabad has again deteriorated their bilateral relations.

Plus, although India appears to spare no effort to enhance relations with other South Asian nations, it displays great-power chauvinism and selfishness from time to time. In October, India expressed serious concerns to the Sri Lankan defense secretary in New Delhi over a Chinese submarine docking at a Sri Lankan port.

India does hope to promote interconnectivity among South Asian countries and to connect its poverty-stricken northeast territory through the Bangladesh-China-India-Myanmar Economic Corridor. But the country seems tepid in making efforts to connect to China.

Generally speaking, New Delhi has not entirely changed its behavioral patterns toward neighbors despite its occasional petty favors to them. By readjusting its relations with its neighbors, India aims at consolidating its supremacy in South Asia and including the whole region in its sphere of influence, instead of realizing common development and prosperity.

SAARC members inked the energy-sharing pact mainly because Bangladesh longs to harness hydropower from Bhutan and Nepal and connect its power infrastructure with India, while India intends to transmit electricity from its isolated northeastern region and Bhutan to the rest of India via Bangladesh. This accord manifests exchange of interests between New Delhi and Dhaka. It also benefits Kathmandu and Thimphu, but it highlights separation between the east and the west within SAARC.

The economic integration of SAARC needs the help of external forces to overcome the current plight of political division and a lack of leadership. Many South Asian nations expect China to become an official member of SAARC. China, now an observer of SAARC, is geographically adjacent to the region as well as owns a huge market and a fast-growing economy. Other South Asian countries have a lot of concerns about the India-led integration process of SAARC. If SAARC can imitate the "ASEAN Plus Three" mechanism, it will be bound to push forward the integration process not only in South Asia but also within a larger region including China as well.

China has backed India becoming a member of the Shanghai Cooperation Organization. New Delhi should agree on Beijing joining SAARC if it attempts to return the favor. But it seems that the country is not that broad-minded. It  is afraid that an anti-India group will take shape once China joins SAARC.

Under the current decision-making mechanism of SAARC, China cannot become a member as long as India objects. Modi emphasized India's leading role in the region in his speech at the summit and claimed "South Asia is slowly coming together." Nonetheless, other countries in the region cannot afford to wait for its slow pace.

Even though it cannot join SAARC, China will strive to ramp up bilateral collaboration with South Asian nations or multilateral cooperation in accordance with the "One Belt and One Road" initiative, to create a prosperous future.

The author is an assistant research fellow of Shanghai Institutes for International Studies and a visiting fellow of Chongyang Institute for Financial Studies, Renmin University of China. opinion@globaltimes.com.cn

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