Foreign Policy Watch: India-ASEAN

India with Indonesia

Note4Students

From UPSC perspective, the following things are important :

Mains level: India-Indonesia relations;

Why in the News?

Indonesian President Prabowo Subianto’s visit to India as the chief guest at the Republic Day parade highlighted the strong and historic relationship between the two countries.

Evolution of the bilateral relationship between India and Indonesia

  • Historical Foundations and Early Cooperation: India and Indonesia established diplomatic relations in 1949, following India’s recognition of Indonesia’s independence in 1946.
    • The early years were marked by a strong partnership against colonialism, highlighted by President Sukarno’s participation as the chief guest at India’s first Republic Day in 1950 and their collaboration during the Bandung Conference in 1955, which laid the groundwork for the Non-Aligned Movement.
  • Revitalization in the 1990s: The relationship saw a significant revival with India’s ‘Look East Policy’ initiated in the 1990s, aimed at strengthening ties with Southeast Asian nations.
    • This period marked increased political engagement and economic cooperation, culminating in the establishment of a strategic partnership during President Susilo Bambang Yudhoyono’s visit to India in 2005.
  • Contemporary Engagement and Strategic Partnership: Recent years have seen a deepening of bilateral relations through comprehensive agreements on defence, maritime security, and economic collaboration.
    • The signing of the “Shared Vision of Maritime Cooperation” in 2018 and ongoing joint military exercises reflect a commitment to enhancing security cooperation amid regional challenges, particularly concerning China’s assertiveness in the South China Sea.

What are the implications of India-Indonesia bilateral relations?

  • Strengthened Strategic Partnership: The agreement to position an Indonesian liaison officer at India’s Information Fusion Centre highlights a commitment to enhance maritime cooperation and information sharing, which is crucial for regional security amidst rising tensions in the South China Sea.
  • Collective Security Efforts: Both nations have emphasized the importance of combating terrorism and have agreed to enhance anti-terror cooperation. This reflects a mutual understanding of shared security challenges and the need for collaborative responses.
  • Maritime Dialogue: The establishment of early dialogues on maritime security and cyber security indicates a proactive approach to address emerging threats and maintain stability in the Indo-Pacific region.

How will the agreements reached during this visit impact regional security dynamics?

  • Promotion of Peaceful Resolutions: By advocating for a “full and effective” Code of Conduct (COC) in the South China Sea, India and Indonesia are positioning themselves as key players in promoting a rules-based order in the region, countering China’s assertive claims.
  • Support for International Law: Their joint statement reinforces adherence to international laws, including the 1982 UNCLOS, which could serve as a counterbalance to unilateral actions by China in the South China Sea.
  • Enhanced Cooperation with ASEAN: Both countries are likely to strengthen ties with ASEAN nations that share similar concerns about China’s maritime ambitions, fostering a united front in regional diplomacy.

What economic benefits are anticipated from enhanced collaboration?

  • Local Currency Transactions: The emphasis on using local currencies for bilateral trade is expected to reduce transaction costs and enhance trade volumes between India and Indonesia, thereby boosting economic ties.
  • Increased Trade Opportunities: Enhanced cooperation in sectors such as hydrography and defense could open new avenues for economic collaboration, potentially leading to increased investments and joint ventures.
  • Maritime Commerce: By advocating for unimpeded lawful maritime commerce, both nations aim to secure vital trade routes that are crucial for their economies, particularly in light of the South China Sea’s significance as a global trade corridor.

Way forward: 

  • Strengthen Multilateral Diplomacy: India and Indonesia should continue to collaborate with ASEAN and other regional stakeholders to promote a unified stance on maritime security, focusing on the full implementation of the South China Sea Code of Conduct and adherence to international law.
  • Enhance Economic Integration: Both nations should prioritize deepening economic ties through initiatives like local currency transactions and joint ventures in defence and maritime sectors, fostering sustainable growth and bolstering regional economic stability.

Mains PYQ:

Q Mention the significance of straits and isthmus in international trade. (UPSC IAS/2022)

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