Indonesian Political, Business & Finance News

Indian Minister of Foreign Affairs Yashwant Sinha attended the

| Source: JP

Indian Minister of Foreign Affairs Yashwant Sinha attended the
Joint Commission between India and Indonesia on Monday. A day
later, he talked with The Jakarta Post's Kornelius Purba about
the role of India as a new dialog partner of the Association of
Southeast Asian Nations (ASEAN) along with China, Japan and South
Korea. The following is an excerpt of the interview:

Question: As a new dialog partner, what can India contribute
to ASEAN?

Answer: We have been very close historically with this part of
the world and we are trying not only to revive the relationship,
but we are trying to give it a 21st-century dimension.

First, we have very direct interests in security concerns of
this region as they (ASEAN countries) have with respect to South
Asia or with India. And terrorism is a threat that many countries
in the region face. So we can cooperate here ...

Second, there is a lot of gun running, people smuggling and
narcotics smuggling in this region. Then there is piracy, so safe
passage in the sea lanes is another major issue.

Then there are issues of defense cooperation. India has built
up remarkable capability in training, military technology and in
hardware. Many of our ships have visited many ports. All this can
be another area of cooperation. This is as far as the overall
security concern.

How about economic cooperation?

While we are very happy that East Asia has gotten over the
financial crisis of 1997-1998, all of us should work together to
ensure that that kind of crisis does not happen again. India,
which was not adversely affected by that crisis, has quite a lot
of experience in managing the external factors ... Our experience
of economic development in ameliorating the condition of the
poorer people is again very important.

Our industrial experience, where small and medium enterprises
have played a very important role in our economy, is again
something which we can share. Most of all, the technological
advantage that India has made in information technology,
biotechnology, pharmaceutical technology, in space and nuclear
technology, is again an area that we can share our experience.

There is an enormous potential for trade in this region, and
India is a country of over 1 billion people. We have a very
strong middle class, much larger than the entire populations of
many countries in Europe, and with the same kind, if not more
purchasing power. So the market here and the market in India are
natural partners in economic development.

Then there is a tremendous possibility of making investment in
India, and investment from India into this region. So we are
looking at tremendous possibilities. ASEAN itself has not fully
integrated yet, because there are three stages of development
here. There are countries like Malaysia, Singapore and Thailand
(as well as Brunei) which are at a high level of development.

And we have countries like Indonesia which is not quite on the
same level. And then we have Myanmar, Laos, Cambodia and Vietnam.
So we are cooperating with ASEAN to do something special for
these countries, the initiative for ASEAN integration.

We have started negotiating with ASEAN over Free Trade
Agreements (FTA). So there is a lot that ASEAN and India can
contribute to each other (involving) a larger area, people-to-
people contact, cultural, educational contacts.

And there are also historical links. I watched the Ramayana
dance at the Prambanan temple. I went to see the Borobudur temple
(both in Central Java), I went to Bali. There is so much in
common, not only with Indonesia but with other parts of Southeast
Asia also.

Both Indonesia and India have been regarded as the leader in
their respective regional group, ASEAN for Indonesia and India
for South Asian Regional Cooperation (SARC), and there are
complaints regarding their respective role as the "big brother"
of their smaller neighbors. Your comment?

I can't see a reason for these complaints -- if there is such
a complaint. We are an equal partner in SARC ... Both India and
Indonesia have the advantage of a large population.

But despite the population, size, economic and military
strength, we want to deal with countries in the SARC region on
the basis of sovereign equality. And therefore no country needs
to fear India. We are offering the huge Indian market.

And Indonesia's large population is a very powerful magnet for
the products of the ASEAN region. Therefore nobody in ASEAN needs
to fear Indonesia, or feel that Indonesia is a 'big brother'.
Similarly nobody in SARC has such a feeling about India.

What is India's position at the World Trade Organization (WTO)
talks in Cancun later this month, especially in regard to the
agricultural sector? How can India work together with ASEAN on
this issue?

There are three factors involved here: market access, export
subsidies and domestic support for agriculture. Now what we
oppose is the fact that the European Union and the United States
came together and produced the draft which laid all the emphasis
on market access, but did not deal with the issues of export
subsidies and domestic support. We feel -- not only India, but
also Southeast Asia and many other parts of the world -- that
agriculture is not merely an economic activity.

It is a way of life. We have 650 million farmers in India, who
are not only dependent on agriculture for their livelihood, but
they provide and have provided for centuries the way of life that
we have now. And this cannot be satisfied by permitting
unrestricted and unequal imports, just as they have to protect
their uncompetitive agriculture which is dependent entirely on
domestic support and export subsidies.

Small family-based farms here in India, in this region and in
the SARC region, have to be recognized as a central fact. We
don't subsidize our farmers as much as the Western countries do.
And therefore we do not have a level playing field. And that is
why India has worked together with other developing countries to
put forward an alternative draft to be discussed in Cancun, and
hopefully a resolution will be found.

Many Indonesians may not realize that Indonesia and India are
close geographically, because Nicobar island is so close to
Nanggroe Aceh Darussalam waters. Are there any sea boundary
problems with Indonesia?

(Nicobar) is only 50 nautical kilometers between the northern
tip of Indonesia and the southern tip of India, between Aceh and
southern Nicobar islands. So we have a lot of interest for both
sides (the two countries are still discussing the determination
of their respective Exclusive Economic Zone in the area -- Ed.)

What are the most important aspects for our bilateral ties?

The most important task is to cooperate fully as far as the
common terrorism threat is concerned. We have also taken a number
of steps to increase our economic engagement, and to increase
people-to-people contacts.

India has close ties with Myanmar while ASEAN has strongly
urged the military junta there to release Aung San Suu Kyi. What
is your government's stance on this issue?

We have said that the process of national reconciliation must
go on. We are the world's greatest and largest democracy and
therefore we would like democratic forces to take Myanmar towards
democracy and that Aung San Suu Kyi should be released, so that
this new situation (the political stalemate) with other regional
group members could be resolved.

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