Wed, 28 Dec 2005

Relations between RI and India strengthen in 2005

Veeramalla Anjaiah, The Jakarta Post, Jakarta

Indonesia, the world's fourth most populous state, and India -- the world's second most populous nation -- have maintained close relations since they threw off the yoke of colonialism in the mid-1940s.

All these years, the relations between two Asian giants have been underpinned by shared socio-cultural, political and historical ties, civilizational interaction for more than two millennia, uniquely-shared characteristics and other commonalities.

Resource-rich Indonesia is the home to world's largest Muslim population while secular India is the world's biggest Hindu- majority nation.

For several decades, both countries' relations remained strong politically but weak economically.

Indian prime ministers didn't bother to visit Indonesia -- the second largest country in East Asia and a strategically important maritime neighbor -- for 14 years during the past two decades.

However, thanks to India's 1991 "Look East" policy, all this has changed. Meanwhile, Indonesia's perception of its giant nuclear neighbor has also changed dramatically.

Starting with former president Abdurrahman Wahid in 2000 and accelerating under the Megawati Soekarnoputri and President Susilo Bambang Yudhoyono administrations, Jakarta moved closer to New Delhi, propelled by shared values, commitments to democracy and multilateralism, a desire for expanded trade and common strategic perceptions.

During the past five years, every Indonesian president has visited India and two successive Indian prime ministers -- Atal Behari Vajpayee and Man Mohan Singh -- came to Jakarta.

Indonesia's bilateral relations with India -- a superpower in information technology and world's fourth-largest modern economy -- reached their zenith in November 2005 when Susilo Bambang Yudhoyono visited Bangalore, Agra and New Delhi. Prime Minister Singh also led a high-level delegation to the Asian-African Summit (AAS) in Jakarta in April 2005.

Indonesia and India -- Asia's two biggest democracies -- agreed during Susilo's visit to establish a "strategic partnership", to open a new chapter in bilateral relations.

The New Strategic Partnership (NSP) is designed to address the long-term interests of both countries through closer diplomatic coordination, stronger defense relations, enhanced economic relations especially in trade and investment, greater technological cooperation, intensified cultural ties, educational linkages and people-to-people contacts.

By working together and drawing upon each other's strengths, experts hope the NSP will enable Indonesia and India to contribute to regional and global peace, prosperity and stability.

"The three nodes of relevance in Asia are India, China and Japan. Indonesia is trying to have more balance by dealing with all three nodes," Uday Bhaskar, an Indian defense analyst and the deputy director of Delhi-based Institute of Defense Studies and Analyses (IDSA), told the Australia's ABC Online recently.

For India, according to Bhaskar, it makes a lot of sense to have strong ties with Indonesia, which has the biggest economy in Southeast Asia.

At a banquet hosted in his honor by his Indian counterpart, APJ Abdul Kalam, in New Delhi, Susilo declared that "the real glory of our friendship lies in the future" -- a future he said that was tied together.

Both countries have set an ambitious target of tripling of bilateral trade to US$10 billion by 2010 and Indonesia's Minister of Trade Mari Pangestu visited India twice in August and November 2005. The balance is expected to surpass the $4 billion-mark in 2005.

The major items Indonesia exports to India are crude palm oil, animal and vegetable oil, fat, fruits, nuts, petroleum products, fertilizers, chemicals, yarn and pulp, while Indonesia's major imports from India are animal feed, cotton, wheat, iron and steel, machinery, dyes and tanning extracts, auto parts, computer software and oil palm seeds.

Indonesia also strongly supported India's participation in the first East Asian Summit (EAS), which was held in Kuala Lumpur recently.

With the two countries' shared maritime boundaries and common security interests, officials have agreed to an annual Indonesia- India Strategic Dialog and intensify the cooperation to curb terrorism.

Susilo welcomed India's offer of cooperation in procurement of defense supplies, technologies and production and the two countries agreed to establish a joint working group to draft a comprehensive economic cooperation agreement.

Besides Susilo's visit, there were several events in 2005 that strengthened bilateral relations.

In its response to the tsunami disaster in Aceh, India -- which was also affected by the waves -- deployed two naval ships carrying medical teams and $1 million in relief materials. India's then foreign minister Natwar Singh attended the Tsunami Summit in January 2005 and the country announced another $2 million aid for Nias, which was shattered by a deadly earthquake in March 2005.

India hosted the second Joint Commission Meeting (JCM) in March 2005 in New Delhi. In this meeting, chaired by Indonesian Minister of Foreign Affairs Hassan Wirayuda, and his Indian counterpart Natwar Singh, a wide range of areas were identified for closer cooperation. In September, the Joint Consultative Forum was held in Yogyakarta.

After a gap of 25 years, India organized "Indiatech 2005" in March 2005 in Jakarta to promote its engineering products in Indonesia. Two Indian companies TVS Motors and Bajaj Auto also have announced that they would invest in Indonesia's automotive sector.

In July, Indian Chief of Naval Staff Ad. Arun Prakash visited Indonesia to strengthen defense cooperation between the two countries. His visit coincided with the arrival of Indian aircraft career INS Viraat and four other ships in Jakarta.

India also expressed its interest in helping Indonesia safeguard the Strait of Malacca from piracy.

Indonesia and India both operate a space telemetry, tracking and command ground station for satellites and geostationary launch vehicles in Biak, Papua province. India is building a $900,000 second ground station, an expansion from the previous one, in Biak.

India offered more than 100 scholarships to Indonesian students to study at Indian universities. Around 1,000 Indonesian experts as well as officials received training in India during the last 15 years. In May this year, India opened a $750,000 Vocational Training Center and it will set up another in Aceh soon.