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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: Ilaine who wrote (22244)8/9/2002 10:32:44 PM
From: TobagoJack   of 74559
 
Hi CB, and this is what it is all about - continuation of the Great Game

stratfor.com

India Stepping Up Diplomacy in Central Asia
9 August 2002

Summary

India is stepping up ties with Central Asian nations, seeking to stake a claim in the region as U.S. influence there waxes and Chinese influence wanes. In the long run, as India expands its strategic horizons and positions itself as the main political, economic and military power in the Indian Ocean basin, it must ensure that its position in South and Central Asia is secure, and reaching out to the "Stans" is a key step.

Analysis

Indian Deputy Foreign Minister Rajendra Abhyankar paid a two-day visit Aug. 8 and 9 to Tajikistan, where he met with various officials, including Tajik President Emomali Rahmonov. The trip followed a visit by Kyrgyz President Askar Akayev to New Delhi, where he met with Indian Prime Minister Atal Behari Vajpayee, among others.

India is expanding its contact with Central Asian states amid shifting political dynamics in the region. For New Delhi, an increased presence in Central Asia solidifies its position as a central player in the global war against terrorism and aids its longer-term goal of expanding India's regional political, economic and military influence as the country tries to become the dominant power in the Indian Ocean basin.

The past week has been a busy time for Indian diplomacy in Central Asia. During his visit the Kyrgyz president voiced support for India's inclusion in the Shanghai Cooperation Organization, originally known as the Shanghai Five when China, Russia, Kazakhstan, Kyrgyzstan and Tajikistan founded it. India has been quietly lobbying for membership in the group -- which now also includes Uzbekistan -- as a way of extending its political influence farther north and balancing China's involvement.

Since the start of the U.S.-led war against terrorism, China's position in Central Asia has rapidly waned as several countries have opened their doors to the United States. Now India is trying to ride in on the U.S. coattails and establish a position in an area vital to its security and energy interests. In addition to talks with Kyrgyzstan, India is engaging Tajikistan. During the deputy foreign minister's visit to Dushanbe, Rahmonov invited Vajpayee to Tajikistan.

New Delhi views Central Asia as a key link in its broader regional goals. Central Asian states are rich sources of energy, something India always needs, but they also are strategically located between China, Russia and Iran, three regional powers that India both competes and cooperates with. In the recent talks with Tajikistan and Kyrgyzstan, security issues and terrorism were top items, but economic links also were discussed, including Indian offers to help Central Asia develop an information technology industry.

New Delhi also is looking to Central Asia as a potential client for Indian heavy industry, and to be part of an expanded trade network. Already India, Russia and Iran have taken steps to establish the so-called North-South trade corridor, and India is working with Myanmar and Thailand to build a new highway system linking South and Southeast Asia.

But in the longer term, India needs to cement a strong position in Central Asia if it is to become a major regional power. While much of New Delhi's attention has thus far been focused on expanding its reach into Southeast Asia and developing ties with Iran and Middle Eastern states, Central Asia could become a clear buffer between India and other regional powers and may offer some strategic leverage in the country's ongoing competition with Pakistan and China.
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