Updated August, 14 2010 09:13:15

India looks to promote eastern ties

Ambassador Ranjit Rae talked to Viet Nam News on the occasion of India's National Day on August 15.

We welcome you as the new Indian ambassador to Viet Nam. Can you share with readers what activities you plan to carry out to foster Indian-Vietnamese bilateral relations in the three years of your term?

Ambassador Ranjit Rae

Ambassador Ranjit Rae

India and Viet Nam have travelled a long way since our exceptionally friendly and cordial relations were developed by Prime Minister Nehru and President Ho Chi Minh more than 50 years ago and are marching confidently today along the path of economic growth and prosperity. Our relationship too has transformed to reflect the changes ushered in by a more globalised and integrated world. Since 2007 our relations have been elevated to the level of a strategic partnership with multifaceted co-operation in areas as diverse as commerce, investment, defence, security, culture, education and capacity-building. Political contacts have strengthened, as reflected in several high-level visits by leaders from both sides.

I am confident that the momentum that our relations have gained will continue in the years to come. Some of the activities envisaged in the near future include an exchange of high-level and working-level visits in various areas, convening the next Joint Commission Meeting co-chaired by the Foreign Ministers of the two sides, organising an India Show in Ha Noi and HCM City which will strengthen our commercial ties and showcase our culture and culinary traditions, opening a Cultural Centre in Ha Noi, participating in the 1,000th anniversary of Ha Noi festivities with an Indian cultural troupe, increasing the number of scholarships given under bilateral technical and economic co-operation and a greater exchange of trade and business delegations from both sides.

In February this year, the Viet Nam-India Business Forum took place in New Delhi, which was jointly held by the Chambers of Commerce and Industry of both countries. What was your evaluation of the event in terms of promoting trade relations?

India at a glance

Area: 3,278,590sq.km

Population: 1,095,351,995 (est. July 2006)

Capital: New Delhi

Language: Hindi and English. Seventeen other regional languages are also recognised as State languages

Currency: Rupee

National Flag: A horizontal tricolour with bands of deep saffron, white and dark green in equal proportions. A navy-blue Asoka wheel appears in the centre of the white band.

Trade and economic links remain an important element of our bilateral engagement. Two-way trade has grown more than ten-fold since 2000 and exceeded US$2.5 billion in 2008. India emerged as the 10th largest exporter to Viet Nam in 2008. The figure for 2010 is expected to surpass $3 billion. With the signing of the India-ASEAN FTA on Trade in Goods, bilateral trade with Viet Nam is poised to grow even faster.

We are committed to increasing our bilateral trade. One of the ways in which we will do this is to facilitate exchanges between business delegations from the two sides. In this regard, the meeting of the Viet Nam-India Business Forum organised by the chambers of Commerce in February this year provided a platform for business people to explore opportunities. Last year, a 60-member trade delegation comprised of senior executives from leading Vietnamese companies accompanied Ms. Nguyen Thi Doan, Vice President of Viet Nam, during her official visit to India. This was followed by a 53-member trade delegation from the Federation of Indian Chambers of Commerce and Industry (FICCI) to participate in the Ha Noi Expo. Other important trade delegations from India in the recent times include from Chemicals&Allied Products Export Promotion Council, Confederation of Indian Industries, Gems and Jewellery Export Promotion Council, Solvent Extractors Association, Automotive Components Manufacturers Association, Cotton Textiles Export Promotion Council, Indian Chambers of Commerce, Kolkata and India-Viet Nam Chambers of Commerce and Industry.

In a meeting with Vietnamese National Assembly Chairman Nguyen Phu Trong, Indian President Pratbha Patil said that while implementing its "Look East" policy, India expects to expand relations with ASEAN countries, with priority given to Viet Nam. How will the policy be implemented? Have any projects been launched in Viet Nam yet?

In recent years, India's thrust under the "Look East" policy combined with Viet Nam's growing engagement within the region and with India has paid rich dividends. The importance we accord to this policy is reflected in our active role in various regional forums such as the ASEAN Regional Forum, East Asia Summit, Mekong-Ganges Co-operation and BIMSTEC, which helps contribute to enhancing regional dialogue and accelerating connectivity and regional integration.

Our Prime Minister, Dr Manmohan Singh, is expected to attend the 8th India-ASEAN Summit and the 5th EAS Summit in Ha Noi in October this year. The ASEAN-India Dialogue mechanism has deepened and broadened over the past years and developed into a multi-faceted and dynamic partnership contributing to regional peace, mutual understanding and closer economic interaction.

An overview of Mumbai City in India. The city, which was previously known as Bombay, is one of India's major metropolitan centres. — VNS File Photo

An overview of Mumbai City in India. The city, which was previously known as Bombay, is one of India's major metropolitan centres. — VNS File Photo

India is committed to the need to promote connectivity in the region by completing all the missing links between South and Southeast Asia and beyond. We will continue our efforts in promoting people-to-people contacts and mutual understanding through visits to India of students, and members of the media and diplomats, which help foster ASEAN-India relations at personal level. India has played an active role in promoting human resource development as a means of narrowing the development gap by establishing institutions such as the Entrepreneur Development Centres, Centres for English Language Training and IT Training Centres in CLMV countries.

India has taken the initiative for the rapid inauguration of the ASEAN-India Science and Technology Fund and the ASEAN-India Green Fund in order to support co-operation in these areas. Our Prime Minister announced a US$50 million contribution to the ASEAN-India Co-operation Fund and the ASEAN Development Fund in support of these initiatives, as well as the Initiative for ASEAN Integration programme and projects in the areas of education, energy, agriculture and forestry, small and medium enterprises, and implementation of the ASEAN ICT Master Plan.

Both India and Viet Nam are basically agrarian economies; the two countries have many similarities, presenting chances for co-operation and investment. How can this potential be utilised and are there any relevant activities in the pipeline?

Both Viet Nam and India are large producers of products such as pepper, cashew nuts, rice, coffee and natural rubber. Viet Nam is also a major exporter of these products. Our research and academic institutions in these sectors can undertake joint research and development projects to enhance productivity and yields, and develop better quality products. Indeed, Viet Nam offers vast opportunities to Indian companies in agriculture, agro-forestry and food processing areas. The finished products can be used to meet the growing demand not only in Viet Nam and India but also in third countries within and outside ASEAN. The signing of the India-ASEAN FTA and recognition of Viet Nam as a market economy by India will broaden the legal framework for business communities from both sides to enter each other's markets more aggressively and provide a competitive edge vis-a-vis other countries.

Viet Nam and India are considering the opening of a direct air routes. Can we expect that such routes could be realised soon?

The absence of direct air links between India and Viet Nam remains an obstacle in strengthening our bilateral ties, especially a freer movement of business people and tourists. The Civil Aviation authorities of India and Viet Nam are working closely to resolve the outstanding issues and complete the negotiations at an early date. I would like to inform you that India adopted the ASEAN-India Aviation Co-operation Framework in November 2008 which lays the foundation for closer aviation co-operation and open skies, to support business growth, tourism and greater interactions between our peoples. An ASEAN-India Air Transport Agreement is under discussion with the implementation timeline set for 2011. — VNS