India is working hard to make the Indo-Pacific region more stable and prosperous through the Act East Policy. This policy has been in place for ten years and puts a big focus on ASEAN. It has big plans for India’s role in the region.
The relationship between India and ASEAN started in 1992. Over the years, they have made many important agreements. These include the Vision Statement in 2012 and the Joint Statement on a new partnership in 2022.
The Act East Policy has grown a lot. It aims to bring peace, stability, and prosperity to the area. India’s efforts to connect with southeast Asia are a big part of its foreign policy.
India and ASEAN have a huge trade relationship, over $130 billion. India is the second biggest trading partner of ASEAN, after the US. This shows how important the Act East Policy is for the economy.
Key Takeaways
- India’s Act East Policy has been in effect for a decade, with a focus on southeast Asia outreach and ASEAN as a priority.
- The policy aims to promote peace, stability, and prosperity in the Indo-Pacific region.
- Notable agreements and statements have been issued over the years, including the Vision Statement in 2012 and the Joint Statement on a new partnership in 2022.
- India-ASEAN trade has exceeded $130 billion, with India standing as the second biggest trading partner of ASEAN after the US.
- The Act East Policy has far-reaching implications for India’s eastward engagement and regional stability.
- The policy’s implementation involves various sectors, including economic integration, security cooperation, and cultural diplomacy.
Understanding the Genesis of India’s Act East Policy
India’s Act East Policy started with the country’s economic opening up. It aimed to grow economic and political ties with Southeast Asia. The policy came from the Look East Policy, launched in 1991 by Prime Minister Narasimha Rao. This policy focused on boosting trade and cooperation with Southeast Asia.
The Act East Policy, introduced in 2014, looks to strengthen ties with East Asia, including Japan and South Korea. This change reflects India’s growing economic and military strength. It also shows India’s wish to have a bigger role in regional affairs.
The policy shift is driven by India’s ambition to be more influential. It aims to engage with 10 ASEAN countries and build stronger ties with East Asia. Key actions under the policy include:
- Investment initiatives in Northeast India, such as the allocation of Rs 13,000 crores from Japan for various projects
- Key infrastructural projects, including the Asian Trilateral Highway and the Kaladan Multi-Modal Transport Project, to enhance connectivity
- Defense cooperation through various treaties, including the India-Vietnam Memorandum of Understanding (MoU) signed in 2014
India’s Act East Policy has greatly increased economic ties with Southeast Asia. Trade between India and ASEAN hit over $80 billion in 2017-18. It has also boosted investment in India, with Japanese investments rising by 176% between 2014 and 2016-17.
Core Objectives of the Act East Policy Framework
The Act East Policy aims to boost ties with Southeast Asia through diplomatic strategy. It seeks to increase economic integration by growing trade and investment. It also aims to improve regional cooperation on security and connectivity.
Key projects under this policy include the India-Myanmar-Thailand trilateral highway. This highway covers over 1,360 kilometers. India also joins regional efforts like SAFTA, BIMSTEC, and BCIM to boost economic ties.
Trade with ASEAN nations has grown to $86.9 billion. India’s work with ASEAN focuses on diplomatic strategy. This includes regular meetings with ASEAN leaders.
The Act East Policy aims to enhance regional cooperation and economic integration in the Indo-Pacific. It also supports India’s diplomatic strategy and interests in the area.
Strategic Pillars of India’s Eastward Engagement
India’s move towards Southeast Asia is based on key areas. These include economic ties, security cooperation, and cultural exchanges. The country aims to boost regional economic integration with Southeast Asia. It wants to improve trade and investment links.
India’s foreign relations with Southeast Asia have grown stronger. This is thanks to upgraded partnerships with countries like Indonesia, Vietnam, and Malaysia. These efforts have made their ties more strategic.
The regional economic integration has created a huge market. It has 1.8 billion people and a GDP of about $3 trillion. India’s trade with ASEAN has hit $80 billion and aims to reach $200 billion.
India’s ties with southeast asia are vital for the Indo-Pacific region. The country is involved in over 30 high-level dialogues with ASEAN. These cover various areas.
India’s engagement with southeast asia goes beyond economics and politics. It also focuses on cultural diplomacy. This aims to increase people-to-people contacts and understanding.
| Country | Trade (in billion USD) |
|---|---|
| India-ASEAN | 81.33 |
| India-Indonesia | 20.4 |
| India-Vietnam | 12.8 |
ASEAN as the Centerpiece of Act East Policy
ASEAN cooperation is at the heart of India’s Act East Policy. It aims to boost cooperation in trade, investment, and connectivity. This policy seeks to create strategic partnerships for regional stability and prosperity.
India sees ASEAN as a key partner for its eastward engagement. Regional connectivity is a major focus of their cooperation. They work together to strengthen their economic ties, focusing on trade and investment.
Some key areas of cooperation include:
- Trade and investment
- Connectivity and infrastructure development
- Cultural and people-to-people exchanges
India’s partnership with ASEAN is vital to its Act East Policy. The country aims to strengthen its strategic partnerships with ASEAN countries. This will promote regional connectivity and cooperation.
| Country | Trade Volume | Investment |
|---|---|---|
| India | $80 billion | $10 billion |
| ASEAN | $100 billion | $20 billion |
Maritime Dimensions and Naval Cooperation
India’s maritime interests are key to its strategy. The country is working on several security projects in the indo-pacific region. The Act East Policy focuses on boosting naval power, improving awareness, and building capacity.
The policy aims to keep a balance of power in the indo-pacific. It focuses on four main areas: securing the Indian Ocean, working with Southeast Asia, building strategic partnerships, and managing China relations. India is teaming up with countries like the United States, Japan, Australia, France, and Russia for these efforts.
Some key initiatives include:
- Improving naval strength and trade in the region
- Increasing defense exports and air travel links
- Expanding the Indo-Pacific policy to the Western Indian Ocean and Arabian Sea
India has set up the Information Fusion Centre-IOR (IFC-IOR) to better understand the sea. It plans to be more active in helping during disasters and rescues. The Indian Navy is now more involved in the Asia Pacific, showing a rise in engagement and partnerships.
India wants to improve sea security and cooperation in the indo-pacific. This is vital for the region’s stability and growth. Working with other nations is key to achieving this goal.
| Country | Initiative | Year |
|---|---|---|
| India and ASEAN | Maritime cooperation | 2015 |
| India and the United States | Naval exercises | 2017 |
| India and Japan | Strategic partnership | 2018 |
Economic Integration and Trade Relations
India’s Act East Policy has been key in boosting regional economic integration with Southeast Asia. It aims to improve trade relations and economic integration with ASEAN. The ASEAN-India Trade in Goods Agreement is a big step forward, helping trade between India and Southeast Asia grow.
Some key initiatives have helped grow trade relations between India and ASEAN. These include:
- India-Myanmar-Thailand Trilateral Highway Project
- Kaladan Multi-modal Transit Transport Project
- Rhi-Tiddim Road Project
These projects have improved connectivity and boosted economic integration between India and Southeast Asia.
Recent data shows India’s trade with ASEAN has surged, hitting $71.6 billion in 2016-17. This growth shows India’s Act East Policy is working well. It’s promoting regional economic integration and trade relations with Southeast Asia.
| Country | Trade Value (2016-17) |
|---|---|
| India-ASEAN | $71.6 billion |
| India-Myanmar | $1.7 billion |
| India-Thailand | $8.3 billion |
Infrastructure Development and Connectivity Projects
India’s Act East Policy has led to big investments in infrastructure and connectivity projects. These aim to boost regional connectivity and grow the economy in the North-East Region. The focus is on building physical infrastructure, digital connectivity, and transport corridors.
Projects like NH-153, NH-36, and NH-152 have been upgraded to two lanes with paved shoulders. This makes it easier to connect with ASEAN countries. The East-West Corridor is almost done, linking major routes like NH-31. A 4-lane road from Itanagar is also being built.
These efforts aim to improve the economy in the region. Poor infrastructure and limited connectivity have held it back. With these projects, the North-East Region is set to play a big role in India’s Act East Policy.
- Development of NH-153, NH-36, and NH-152
- Completion of the East-West Corridor
- Proposed 4-lane connectivity from Itanagar
These projects are key to better regional connectivity, economic growth, and India’s role in the Act East Policy.
Cultural and People-to-People Relations
India’s Act East Policy focuses on cultural diplomacy and people-to-people relations. It aims to build stronger ties with the Indo-Pacific region. This strategy highlights the value of regional cooperation for economic growth, security, and stability.
Some key initiatives include:
- Cultural festivals and events to promote cross-cultural understanding
- Education programs and scholarships to encourage people-to-people exchanges
- Collaboration on regional projects, such as the Asian Trilateral Highway and the Kaladan Multi-Modal Transport Project
These efforts have boosted people-to-people relations and cultural diplomacy in the region. India seeks to create a more stable and prosperous Indo-Pacific through these actions.
As India engages more with the Indo-Pacific, regional cooperation will grow in importance. By focusing on cultural diplomacy and people-to-people relations, India aims to foster a more united and collaborative region.
| Initiative | Purpose | Outcome |
|---|---|---|
| Cultural Festivals | Promote cross-cultural understanding | Increased people-to-people exchanges |
| Education Programs | Encourage people-to-people exchanges | Improved regional cooperation |
| Regional Projects | Promote economic growth and stability | Increased regional trade and investment |
Security Cooperation and Defense Partnerships
India’s Act East Policy has made big strides in security cooperation and defense partnerships with Southeast Asia. The country has made several defense agreements. These include deals on military cooperation, fighting terrorism, and sharing intelligence.
These agreements help India work closer with countries like Singapore, Vietnam, and Indonesia. This has boosted their security ties.
Some key steps include:
- Military cooperation frameworks to promote joint exercises and training programs
- Counter-terrorism initiatives to combat terrorism and extremism in the region
- Intelligence sharing mechanisms to enhance cooperation on security issues
These efforts have grown security cooperation and defense partnerships between India and Southeast Asia. They help keep the region stable and secure. The Indian government sees security cooperation and defense partnerships as key to its Act East Policy. It knows fighting common security threats, like counter-terrorism, needs teamwork.
Impact on Regional Power Dynamics
The indo-pacific region has seen big changes in power dynamics, thanks to India’s Act East Policy. India’s growing ties with Southeast Asia are changing the security landscape. Its economic and military cooperation with ASEAN is boosting stability and growth.
Some key points about India’s role in the indo-pacific include:
- India is part of the East Asia Summit, which includes ASEAN, Japan, China, South Korea, Australia, and New Zealand.
- India’s trade with ASEAN hit $44 billion in the 2022-2023 fiscal year.
- India is working on military cooperation with Southeast Asia, like selling 100 BrahMos missiles to the Philippines.
The power dynamics in the indo-pacific are complex. India’s partnership with Southeast Asia is key to the region’s security. As India deepens its ties, it’s important to think about the effects on stability and prosperity.
Looking at India’s Act East Policy’s impact helps us understand the indo-pacific’s complex politics. This knowledge can guide policy and partnerships, helping the region become more stable and prosperous.
| Country | Trade Volume (2022-2023) |
|---|---|
| India-ASEAN | $44 billion (exports), $87.5 billion (imports) |
| China-ASEAN | $650 billion (exports), $550 billion (imports) |
Challenges and Obstacles in Implementation
India’s Act East Policy faces many challenges. These include economic hurdles, geopolitical challenges, and infrastructure constraints. These obstacles make it hard to reach the policy’s goals, like boosting Culture, Commerce, Connectivity, and Capacity Building.
Some of the key challenges include:
- Economic hurdles: The policy has seen limited economic gains. This is due to poor infrastructure and a lack of investment.
- Geopolitical challenges: The region’s complex politics, including China’s role, make it tough to implement the policy.
- Infrastructure constraints: The policy’s success depends on better roads, railways, and waterways. Without these, connectivity and commerce suffer.
To overcome these hurdles, the Indian government must focus on several areas. It needs to improve the lives of marginalized communities and ensure local voices are heard. It should also boost economic ties, cultural exchanges, and strategic partnerships with Southeast Asia, East Asia, and Oceania.
By tackling these challenges, India can fully realize the Act East Policy’s benefits. This will help the country grow and develop.
| Challenge | Description |
|---|---|
| Economic Hurdles | Limited economic benefits, inadequate infrastructure, and lack of investment |
| Geopolitical Challenges | China’s influence, regional dynamics, and security concerns |
| Infrastructure Constraints | Lack of adequate roads, railways, waterways, and connectivity |
Future Trajectories of the Act East Policy
India’s Act East Policy has big plans for the Indo-Pacific region. It aims to boost regional cooperation and strategic partnerships. As it grows, it will deeply influence India’s role in the area.
The Act East Policy has helped a lot with regional cooperation and economic ties in the Indo-Pacific. With the region’s growing role in global trade and politics, India’s path will depend on its ability to manage complex relationships.
Several factors will guide India’s path in the region, including:
- Deepening regional cooperation with ASEAN and Australia
- Expanding economic integration and trade
- Strengthening strategic partnerships and security ties
As India keeps working on its Act East Policy, it will face both chances and hurdles. But with smart planning and strategic moves, it can overcome these obstacles. This will help it reach its goals of boosting regional cooperation and economic growth.
Success Stories and Best Practices
India’s Act East Policy has brought many success stories and best practices. It focuses on better connections between Northeast India and Southeast Asia. This has led to economic growth and cultural exchanges.
The region’s natural resources, like minerals and forests, are used for sustainable development. This is a key part of the policy.
Some notable success stories include:
- Infrastructure projects, like road improvements and the Dhubri-Phulbari bridge, have boosted market access and trade.
- Cultural exchange programs have strengthened people-to-people ties and shared knowledge.
- Regional cooperation, such as the ASEAN-India Free Trade Area, has increased trade and investment.
These stories show the Act East Policy’s power to drive regional development and cooperation. By learning from these, India can deepen its ties with Southeast Asia. This will make the region more integrated and prosperous.
Policy Recommendations for Enhanced Engagement
To make India’s Act East Policy stronger, we need to make some changes. We should boost trade and investment first. Then, we should work on long-term plans like better institutional ties and more people-to-people exchanges.
For multilateral cooperation, India can team up with ASEAN in many ways. This includes the ASEAN-India Dialogue and the East Asia Summit. These efforts will help in trade, security, and cultural exchanges. This will make our region more stable and connected.
Some important policy recommendations are:
- Boosting trade and investment between India and ASEAN countries
- Strengthening ties between institutions and promoting cultural exchanges
- Working together more on security, counter-terrorism, and other big challenges
By following these policy recommendations, India can improve its multilateral cooperation with ASEAN. This will lead to better engagement and a more stable, prosperous Indo-Pacific region.
| Country | Trade (in billion USD) | Investment (in billion USD) |
|---|---|---|
| India-ASEAN | 81.33 | 10.6 |
Conclusion
The Act East Policy has been key in boosting regional cooperation and partnerships in the Indo-Pacific. It focuses on ASEAN, promoting economic ties, security, and cultural exchange. Over 30 dialogues have been held with ASEAN, starting when India became a Strategic Partner in 2012.
This policy has three main areas: commerce, culture, and connectivity. It has helped grow trade with Southeast Asia and the Indo-Pacific. The ASEAN-India Free Trade Area (AIFTA) was set up in 2010. Trade between India and ASEAN hit over $80 billion in 2017-18.
Investments in India’s North Eastern region have also increased. Japan plans to invest around Rs 13,000 Crore there.
In regional cooperation, the Act East Policy has been vital. It helps bring stability and growth to the Indo-Pacific. The policy has also boosted defense ties, with India’s Navy joining forces with the US and Japan.
Looking ahead, the Act East Policy will remain important for India’s Indo-Pacific engagement. Its conclusion shows its role in fostering regional cooperation and strategic partnerships.
FAQ
What is India’s Act East Policy and its significance in promoting stability in the Indo-Pacific region?
India’s Act East Policy aims to boost economic, cultural, and strategic ties with Southeast Asia. It focuses on regional integration, security, and cultural exchange. This helps in making the Indo-Pacific region stable and prosperous.
How has India’s Act East Policy evolved from its inception as a Look East Policy?
The Act East Policy has grown from the Look East Policy. It now includes strategic, cultural, and security aspects. This change reflects India’s growing influence and its role in regional affairs.
What are the core objectives of the Act East Policy framework?
The Act East Policy aims to strengthen economic, cultural, and strategic ties with Southeast Asia. It focuses on regional integration, cooperation, and security. It also promotes cultural exchanges.
What are the strategic pillars of India’s eastward engagement?
India’s eastward engagement is based on economic integration, security cooperation, and cultural diplomacy. These pillars aim to boost regional integration, security, and cultural ties.
What is the significance of ASEAN in India’s Act East Policy?
ASEAN is key to India’s Act East Policy. It focuses on trade, investment, and connectivity with ASEAN countries. This promotes regional stability and prosperity.
What are the maritime dimensions of India’s Act East Policy?
The maritime aspects include strategic partnerships, naval exercises, and joint operations. These aim to enhance maritime security and cooperation in the Indo-Pacific.
How does India’s Act East Policy promote economic integration and trade relations?
The policy boosts trade agreements and economic cooperation with Southeast Asia. It promotes regional economic integration.
What are the infrastructure development and connectivity projects under India’s Act East Policy?
The policy includes physical and digital infrastructure projects. These aim to improve regional connectivity and economic integration.
How does India’s Act East Policy promote cultural and people-to-people relations?
The policy fosters cultural diplomacy and people-to-people exchanges. It aims to enhance mutual understanding and cooperation with Southeast Asia.
What are the security cooperation and defense partnerships under India’s Act East Policy?
The policy includes military cooperation, counter-terrorism, and intelligence sharing. These aim to strengthen security cooperation and counter-terrorism efforts.
What is the impact of India’s Act East Policy on regional power dynamics?
The policy significantly influences regional power dynamics. It promotes cooperation, stability, and prosperity. It also enhances India’s strategic partnerships with Southeast Asia.
What are the challenges and obstacles in implementing India’s Act East Policy?
Challenges include economic hurdles, geopolitical challenges, and infrastructure constraints. Overcoming these requires careful planning and cooperation.
What are the future trajectories of India’s Act East Policy?
The policy’s future includes enhanced regional cooperation and strategic partnerships. It aims to promote stability and prosperity in the Indo-Pacific region.
What are the success stories and best practices of India’s Act East Policy?
Success stories include regional cooperation, strategic partnerships, and economic integration projects. These have promoted mutual understanding and economic development.
What are the policy recommendations for enhanced engagement under India’s Act East Policy?
Recommendations include short-term adjustments, long-term frameworks, and multilateral cooperation. These aim to promote regional cooperation, stability, and prosperity.
