India PM sees Thailand as Asean gateway

India PM sees Thailand as Asean gateway

India Prime Minister Manmohan Singh is expected to discuss infrastructure projects, defence, science and technology as well as education with Prime Minister Yingluck Shinawatra during his visit. Here, he discusses what is on the agenda for the visit.

India’s Prime Minister Manmohan Singh welcomes Prime Minister Yingluck Shinawatra during her two-day official visit to India in April. Mr Singh is in Thailand today and tomorrow to further cement trade and cultural ties between the countries. EPA/HARISH TYAGI

What importance does India place on Thailand and Southeast Asia as a whole? What role does India envisage for itself given the growing presence of major powers in this region?

India and Thailand are neighbours, with millennia-old ties of culture, religion and commerce. These links, our proximity and Thailand's position as a gateway to Southeast Asia and East Asia make Thailand a very important partner for India. In recent years, we have seen significant and broad-based progress in all areas of our relations with Thailand, including political, defence and security ties. Growing connectivity has increased commerce, tourism, educational and cultural ties. This, in turn, has contributed to the deepening of engagement between India and Asean as a whole.

Southeast Asia, which has been at the centre of our Look East Policy over the past 20 years, is a key economic and strategic priority for India.

This region is home to some of the most dynamic economies in the world today. It is one of India's main trading partners, a leading investment destination and a collaborator in mutually beneficial new areas such as environment, science and technology, space and education.

We also see cooperation and partnership with Southeast Asia as an important aspect of our efforts to work regionally for peace, stability and prosperity in the region.

At the commemorative summit in Delhi in December 2012 to mark the 10th anniversary of India-Asean annual summits, we upgraded our relationship to a strategic partnership and concluded a free trade agreement covering goods, services and investment. We are also pursuing greater connectivity with the region. We see Thailand as a key partner in the India-Southeast Asia engagement process.

Ms Yingluck's visit to India last year before your own visit helped build goodwill here. What are the next steps? What is it that India has offered to the region for development and connectivity?

Prime Minister Yingluck Shinawatra's landmark visit as the chief guest for our Republic Day in 2012 broke new ground. A number of important initiatives were agreed during her visit in economic, defence and security areas, which have since taken off successfully.

Institutional engagement between various government bodies has deepened. We also have more and more stakeholders in our relationship, from universities, scholars and businessmen to parliamentarians and cultural personalities. During my own visit, I will try to build on our achievements over the past one year and explore new possibilities.

We see Thailand as a bridge between South Asia and Southeast Asia. Connectivity projects such as the Trilateral Highway through Myanmar are vital to our common development. Our companies would like to explore joint participation in the Dawei deep-sea port and Special Economic Zone project, which will connect India to the Asean hinterland and bring synergy to our economies.

We are also in a position to complement each other's strengths for development of the lower Mekong region through our Mekong-Ganga Cooperation initiative.

India has a long record of contributing to human resource development, capacity building and building vocational skills for people in the region, and we are committed to doing so in the future.

There is potential for large numbers of Thai tourists to visit Buddhist pilgrimage sites in India if the infrastructure there could be improved. What are the steps being taken in this direction? Will your government extend visa-on arrival facilities to Thai tourists such as have been offered to some other Asean countries?

Thanks to sustained efforts by the central and state governments, the infrastructure and amenities at several Buddhist pilgrimage sites in India have improved considerably in the recent past. A new airport has gone up in Varanasi and our Mahaparinirvana Express train has been popular with the pilgrims. There is certainly more that needs to be done.

We invite Thai companies to participate in infrastructure development and establishing hotels and other amenities at these sites to cater to the needs of Thai tourists and pilgrims, and to contribute to the local economy.

We provide gratis visas to Buddhist monks on pilgrimage in recognition of our shared spiritual and cultural ties. We are considering the proposal for visa-on-arrival facilities that requires certain physical and IT infrastructure to be set up as a prerequisite.

On the economic front, can we expect to see the signing of the long-awaited free trade agreement between Thailand and India? What is holding it up? When can it be signed?

We see the bilateral FTA as an important means to boost our trade and investment ties. Both our governments are determined to conclude it at the earliest. While a lot of ground has been covered, we need to resolve a few remaining issues to ensure the outcome is balanced and equitable for both the countries.

We have directed our negotiators to show due flexibility and try to reach a conclusion at the earliest.

In working together to transform our economies into knowledge and innovation-based ones, we believe some of our experience in areas like ICT, biotech and pharma industries could be of mutual benefit. Both of us have strengths in the auto sector. We want Thai investments in infrastructure like ports, highways and power generation, and electronics and food processing.

A comprehensive bilateral FTA must take this potential into account.

Meanwhile, we must take full advantage of the India-Asean free trade agreement.

Indian companies have been gradually expanding their reach in this part of the world. Can we expect any of the public sector companies to reach out in areas such as oil & gas or railways to improve connectivity?

In India, both private sector and public sector units are increasing their presence abroad, including in Southeast Asia. Enhancing connectivity remains a top priority and a number of our public sector companies are engaged in this area. For example, our public sector enterprise RITES has done considerable work for the Trilateral Highway. The Inland Waterway Authority of India is working on the Kaladan Multi-Modal Transport Project in Myanmar.

These projects will link India's northeastern states with the region of Southeast Asia. The Gas Authority of India is involved in offshore explorations in the Gulf of Myanmar. We are also engaged in discussions for the promotion of land and maritime connectivity to Asean and in particular, the Greater Mekong sub-region. As you mentioned, our private sector companies are already in Thailand and their operations are expanding. We see opportunity for our companies in infrastructure projects here.

With Myanmar opening up, what are the opportunities for Indian companies there? India is also seen as interested in developing the Dawei project? What areas would your country be keen on?

Myanmar is our valued neighbour, which is undergoing an historic transition. Myanmar is also an important gateway for India to Southeast Asia, and contributes to growth in regional economic cooperation, which will also bring benefits to northeastern India. The Trilateral Highway project is a strong example of cooperation between India, Thailand and Myanmar.

We are committed to assisting with Myanmar's economic development. Our partnership with Myanmar covers a broad range of initiatives, including border area development, connectivity projects, capacity building, institutional development and infrastructure. We are also making efforts to enhance trade and investment ties with Myanmar. Our private companies are taking a keen interest in the opportunities emerging in various sectors of the Myanmar economy.

The Dawei port and economic zone has the potential to emerge as a major regional logistics hub and open up shorter, quicker sea routes to major Indian ports such as Chennai, Vishakhapatnam and Kolkata. Our infrastructure companies have the capacity and experience to participate in such projects and will be interested in the project.


Umesh Pandey is Asia Focus Editor, Bangkok Post.

Umesh Pandey

Bangkok Post Editor

Umesh Pandey is Editor, Bangkok Post.

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