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The two sides has adopted the Plan of Action for 2021-2025 that covers the formation of an economic corridor.

ASEAN and India have agreed to explore ways to boost trade in the context that New Delhi has withdrawn from a mega regional free trade agreement that embraces 30% of global GDP.

India’s Prime Minister Narendra Modi (center) and leaders of ASEAN member states at the ASEAN-India Summit. Photo: MEA

India’s Prime Minister Narendra Modi at the ASEAN-India Summit last week called for an “early review” of the ASEAN-India Trade in Goods Agreement (AITGA) (that progressively reduces and eliminates duties on 76.4% coverage of goods) and “underlined the importance of diversification and resilience of supply chains for post-Covid economic recovery.”

Trade between India and ASEAN (which comprises ten countries namely Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam) reached US$87 billion in 2019, almost doubling that since the ASEAN-India Free Trade Area (AIFTA) came into effect in January 2010.

However, experts have warned that once the Regional Comprehensive Economic Partnership (RCEP) agreement between ASEAN and China, South Korea, Japan, Australia and New Zealand is enacted, trade between RCEP nations will assume primacy, which could affect trade ties with other countries including India.

RCEP, whose negotiations were initiated in November 2012, aims to establish an economic platform between the 10 ASEAN member states and partners, focusing on trade in goods, services and investment.

RCEP becomes the largest free trade agreement in the world encompassing about 30% of global trade.

In November 2019, PM Modi told the RCEP summit in Thailand that India was walking out of the agreement after negotiations for more than six years, as it did not address India’s concerns about being flooded by goods from China, trade deficits and need to protect its agricultural and dairy sectors.

Secretary Riva Ganguly Das of India’s Ministry of External Affairs (MEA) said “As far as India is concerned, we did not join RCEP as it does not address the outstanding issues and concerns of India. However, we remain committed to deepening our trade relations with ASEAN.”

Vietnam’s Prime Minister Nguyen Xuan Phuc said at a press conference in Hanoi on the occasion of the 37th ASEAN Summit last week that ASEAN member states always welcome and facilitate India’s participation in RCEP if New Delhi sees it necessary.

Regarding the relations, at the 17th ASEAN-India Summit held last week, PM Modi also highlighted India’s “Indo-Pacific policy” as an area of convergence for ASEAN and India. He said that there are many similarities between India’s Indo-Pacific Oceans Initiative and ASEAN’s Outlook on Indo-Pacific.

All countries stressed the importance of “a rules-based order in the region including through upholding adherence to international law, especially the UNCLOS. The leaders affirmed the importance of maintaining and promoting peace, stability, safety and security in the South China Sea in particular freedom of navigation and overflight.” UNCLOS stands for the United Nations Convention on the Law of the Sea.

In addition, the two sides’ top priority is to speed up all types of connectivity initiatives regarding physical, economic, social, digital, financial, and maritime.

At the summit, Mr. Modi announced US$1 million contribution to the ASEAN Covid-19 Recovery Fund.

Tightened relations ahead

Professor Prabir De, ASEAN-India Centre (AIC), Research and Information System for Developing Countries, said ASEAN and India have successfully completed the Plan of Action (2016-2020) to implement the ASEAN-India Partnership for peace, progress and shared prosperity.

Leaders have adopted a new set of Plan of Action for 2021-2025 to further enhance the cooperation in areas of mutual interest, and continue bringing about tangible benefits to the peoples of both sides as well as contributing to the promotion of peace, stability, and prosperity in the region.

Areas of mutual interest include financial technology (fintech), connectivity, start-ups, and innovation, empowerment of youth and women and the development of micro-, small- and medium-sized enterprise (MSMEs). In addition, engaging in new areas like energy, maritime safety and security, blue economy, digital connectivity and e-commerce will effectively respond to the growing demand of new partnerships.

ASEAN-India connectivity could serve as a basis for Indo-Pacific infrastructure cooperation. The India-Myanmar-Thailand Trilateral Highway and its extension to Cambodia, Lao PDR and Vietnam is pivotal to the next phase of ASEAN-India relation. In the post-Covid-19, restoring connectivity and resilience of supply chains will be key to ASEAN-India economic integration, particularly the development of Northeast India. The 2021-2025 Plan of Action recommends for transforming Trilateral Highway into an Economic Corridor.

Another great opportunity to scale up the ASEAN-India engagements is the development of value chains.

India’s engagements with ASEAN nations in coping with the Covid-19 challenges have paved the way for friendship, good neighborliness, peaceful co-existence and prosperity in the region, the professor noted.

In a simple ceremony held today at Vietnam’s Ministry of Foreign Affairs, the Ambassador of India to Vietnam presented relief supplies gifted for the victims of flood and landslides in Vietnam

The relief material is being provided by the National Disaster Management Authority of India to Vietnam’s Central Steering Committee for National Disaster Prevention and Control and was brought to Vietnam by Indian Navy Ship INS Kiltan.

The Deputy Foreign Minister of Vietnam thanked the people and the government of India for this warm gesture and recalled Prime Minister Phuc thanking Prime Minister Modi during their Virtual Summit last month for India’s assistance to Vietnam to recover from the devastating floods in the central provinces.

The relief supplies are symbolic of the warm and friendly ties between India and Vietnam and in line with the long tradition of the two countries standing for each other in times of adversity. In 2020, to support the common fight against the COVID-19 pandemic, the government and the people of Vietnam had gifted facemasks to the Indian Red Cross Society.

During the exchange held today, the Deputy Foreign Minister of Vietnam affirmed that the Ministry of Foreign Affairs will work closely with the Embassy of India to implement the Joint Vision on Peace, Prosperity and People adopted by the leaders during the Virtual Summit on December 21, 2020 to further strengthen the India-Vietnam Comprehensive Strategic Partnership.

Both sides will collaborate in wide-ranging areas in 2021 covering sectors such as defence and security, trade and investment, digital economy, new technologies, renewable energy, civil nuclear cooperation, space, capacity building, cultural heritage conservation, water resource management, and development partnership.

Indian Defense Minister Rajnath Singh affirms that Vietnam is the most important partner in India’s Look East policy.

A delegation of Vietnam People’s Army led by Senior Lieutenant General Phan Van Giang is visiting India to discuss ways to enhance security cooperation between the two nations.

Senior Lieutenant General Phan Van Giang, Vietnam’s Chief of General Staff and Deputy Defense Minister and Indian Army Chief General Bipin Rawat. Photo: Indian Army

Phan Van Giang, Chief of General Staff and Deputy Defense Minister, called upon and interacted with Indian Army Chief General Bipin Rawat on November 25.

Giang also discussed issues of mutual and strategic concerns with India’s Defense Minister Rajnath Singh during a five-day visit beginning on November 24, Vietnamese and Indian media reported.

Senior Lieutenant General Phan Van Giang, Vietnamese Chief of General Staff and India’s Defense Minister Rajnath Singh. Photo: Vietnamplus

In the same day, Giang inspected Tri-Services Guard of Honor at South Block lawns in New Delhi, followed by a number of activities namely the signing of several agreements between the two militaries, courtesy calls on leaders of the Indian Defense Ministry and the Indian Government, meeting with the National Security Advisor to the Prime Minister of India, among others.

Vietnam and India have advanced robust defense cooperation which has benefited extensively from India’s Look East policy.

The two sides inked some agreements during the visit. Photo: Vietnamplus

Early October, Vietnam and India held the latest iteration of their defense policy dialogue which once again put the spotlight on growing security ties between the two Asian states.

Vietnam and India have been looking to advance their existing defense relationship as part of their wider ties, which were elevated to a comprehensive strategic partnership in 2016.

Defense ties have grown in recent years to include not just the traditional components in this realm of ties like exchanges and port calls but also the training of personnel, capacity-building funding and equipment, coast guard collaboration, and pacts on areas such as white shipping and outer space, according to Prashanth Parameswaran at The Diplomat.

International experts said that India has set aside differences for a very good cause.

Since the spread of the novel coronavirus globally, India on March 15 convened a video conference of the South Asian Association for Regional Cooperation (SAARC) states to collectively rein in the threat of the pandemic.

India’s Prime Minister Narendra Modi at SAARC Summit on March 15. Photo: PTI

In the summit chaired by Indian Prime Minister Narendra Modi, India pledged US$10 million toward a Covid-19 emergency fund that will draw voluntary contributions by all members namely Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka.

India announced that it would be putting together a team of specialists for the SAARC states with Indian Rapid Response Teams of doctors, health professionals, and testing equipment.

It also included online training capsules for emergency response staff using the model India used to raise capacity of emergency staff across India; a review video conference of doctors and medical professionals to consider specific measures and best practices; and a review video conference of trade officials to consider the impact of travel restrictions on intra-regional trade.

India’s proposal now is a positive move toward smooth South Asian integration that is more effective when institutions set powerful demonstrations by helping countries in need.

Brabim Karki wrote for The Diplomat that the move signaled India’s willingness for dialogue, setting aside all differences for a very good cause.

Shortly after the WHO described the spread as pandemic, Prime Minister Narendra Modi on March 15 took the first step by inviting its immediate neighbors of South Asia for a first virtual meet. This is in line with India’s “Neighborhood First Policy”.

Modi said “We can respond best by coming together, not growing apart, collaboration, not confusion, preparation not panic.”

Dependable international partner

India appears in a broader way a trustworthy partner of the global community.

In terms of pharmacy, its medicines are available in appropriate 150 countries while 62% of vaccines and 20% of global generic drugs are sourced from India, according to Indian Ambassador to Vietnam Pranay Verma.

In the neighborhood, India is sending the drug to Afghanistan, Bhutan, Bangladesh Nepal, the Maldives, Mauritius, Sri Lanka, and Myanmar, according to PTI.

In the face of Covid-19, it has granted assistance to South Asia, Africa, Latin America and Caribbean while it bridged between developed and developing world in healthcare and pandemic response.

It is followed by using e-ITEC to share clinical management and therapeutic experience in 10 courses with 800 medical professionals involved.

In addition, its all medicine exports are opened to keep global supply chains open and free.

Vaccine production

India-made COVAXIN vaccine. Photo: Telangana Today

In India, private sector meets nearly two-thirds of healthcare needs of people. In addition, most of the healthcare goods like drugs, vaccines, diagnostic tests, biomedical equipment, among others, are supplied by the private sector.

India’s two homegrown vaccines COVAXIN developed by Bharat Biotech and ZyCov-D by Zydus Cadila have now been given the go-ahead to start phase II of their experimental vaccine trial.

While COVAXIN was the first Indian vaccine to be issued the go-ahead for the advent of clinical trials in the first week of July, ZyCOV-D was the first vaccine to head to the trials.

While both Bharat Biotech and Zydus Cadila have not commented on the announcement yet, early reports suggested that the vaccines have been showing promising results, so far, according to Times of India.

Regarding the production of vaccines against Covid-19, Indian Ambassador to Vietnam Pranay Verma said it’s not India’s pharmaceutical capacity but the country’s efforts to develop products that can save many lives amid the global health crisis.

India’s worst-hit state ramped up its coronavirus restrictions as nationwide the daily infections exceeded 100,000 for the first time on Monday.