Business Daily from THE HINDU group of publications Tuesday, Apr 03, 2007 ePaper |
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Opinion
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Foreign Trade Industry & Economy - Events Columns - Public Policy Note SAARC in search of a larger identity Bhanoji Rao
Today and tomorrow, New Delhi will host the 14th Summit Meeting of the South Asian Association for Regional Cooperation (SAARC), when Afghanistan will be welcomed as the eighth member. Also, the EU, China, Republic of Korea, Japan, the US and, perhaps, Iran will attend as observers. There is the possibility that some concrete action will be taken at the Summit, considering that the observers come from diverse blocs. SAARC was established when its Charter was adopted on December 8, 1985, by the Heads of State of Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka. At a media briefing recently, the Foreign Secretary, Mr Shivshankar Menon, pointed to certain possible positive outcomes of the Summit. For instance, based on the results of a multimodal transport study for the subcontinent (to be extended to include Afghanistan), it is hoped that decisions on connectivity throughout the subcontinent would be taken, besides some initiatives with regard to telecom and energy cooperation. In the matter of higher education, the Summit might give a concrete shape to a South Asia University.
Lack of Regional Identity
During March 29-31, the Andhra University Centre for SAARC Studies met to explore the New South Asia that could emerge in course of time. Two opinions were deliberated upon. First, the imminent need to develop a South Asian identity. Second, India, which, among the SAARC nations, contributes largely in terms of demography and economy, must be ready to spend more money on fostering the regional grouping.
A South Asian identity could emerge as a result of SAARC and its multidimensional activities. Humanitarian initiatives such as the SAARC Disaster Management Centre, the Regional Telemedicine Network and the Regional Food Bank, and the various regional cultural events organised from time to time will help in bringing the South Asians closer than ever before. As for economic assistance, there is the possibility of a SAARC Development Fund being established; a sizeable Indian contribution can be expected. New Delhi has already committed a hundred million dollars towards poverty eradication projects in the rest of the SAARC countries. More development aid will flow as indicated in the latest Budget. It is not as if SAARC has no contentious issues to address; bilateral tensions between key members need to be settled. The SAARC members should not wait for the pressures to ease, but must work towards establishing peace in the region. There are two key reasons why nations come together and set up formal mechanisms for cooperation. One, the threat perception that applies to the region as a whole, thus bringing together like-minded nations. Two, the desire to reap benefits from intra-regional specialisation, economies of scale and so on. The ASEAN is cited as an example of the first. The initial impetus for ASEAN formation came from the desire of the founders to collectively fight the communist threat, often supported by external sources. In contrast, the EU is an example of cooperation for realising economic gains for the members via market expansion. It is not difficult to argue for a case for cooperation among SAARC countries based on common threats poverty, illiteracy and instability created by terrorism. It is also possible that the region will benefit from trade and investment cooperation, though a regional collaborative framework is not a prerequisite for trade, which is driven by economic and business considerations and geographical proximity. Beyond economic considerations, cooperation among SAARC countries must be for promoting neighbourliness and human solidarity, besides peace, which is vital for progress.
Action Time
At the media briefing, the Foreign Secretary remarked that "the time has come for SAARC to move now to a stage of implementation rather than just studying the issues, seeing what is possible." If every SAARC member shares the same view, it could help herald a new beginning for us. (The author is Visiting Faculty, Sri Sathya Sai University, Prashanti Nilayam. He can be reached at bhanoji@gmail.com.)
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