India’s Look East Policy (LEP) was a significant shift in India’s foreign policy approach, aimed at fostering stronger economic, political, and security ties with the countries of East and Southeast Asia. This policy was formally initiated in the early 1990s, primarily under the leadership of Prime Minister P.V. Narasimha Rao, and became more prominent during the tenure of Prime Minister Atal Bihari Vajpayee in the late 1990s and 2000s. The Look East Policy represented a concerted effort by India to expand its influence and create economic opportunities in the fast-growing Asia-Pacific region, thereby complementing its global aspirations and fostering regional cooperation.
1. Historical Context and Genesis of the Policy
Historically, India had focused much of its foreign policy efforts on the West and the Middle East during the Cold War. However, the end of the Cold War and the subsequent economic liberalization of India in 1991 marked a paradigm shift. India realized the growing importance of East and Southeast Asia both economically and strategically. The Asian Tigers—South Korea, Taiwan, Hong Kong, and Singapore—had rapidly transformed into economic powerhouses, and China had begun to assert itself as a rising global economic and military power. Thus, India saw the necessity to engage more actively with the dynamic economies of the East.
Moreover, the dissolution of the Soviet Union and the subsequent end of the Cold War reoriented India’s geopolitical focus. India’s existing relations with the United States and its desire for a more multilateral foreign policy also played a role in turning attention towards the Asia-Pacific. India’s Look East Policy sought to build deeper economic ties and foster a more collaborative relationship with the East Asian nations, aiming to create mutual benefits in trade, investment, and security.
2. Economic and Trade Dimensions of the Look East Policy
The economic dimension of the Look East Policy focused primarily on promoting trade and investment between India and East Asia. A significant component of the policy was to integrate India into the emerging economic architecture of East Asia, which was dominated by China, Japan, and the ASEAN (Association of Southeast Asian Nations) economies. By engaging with these nations, India sought to leverage the economic growth of the region for its own development.
- Trade Growth: India’s trade with East Asia grew exponentially after the adoption of the Look East Policy. Bilateral trade agreements and regional partnerships helped foster economic exchanges. For instance, India’s trade with ASEAN has grown significantly since the signing of the India-ASEAN Free Trade Area (AFTA) agreement in 2009. The policy not only improved India’s exports but also helped in attracting foreign direct investment (FDI) from East Asia, particularly in sectors like manufacturing, technology, and services.
- Infrastructure Development: The Look East Policy also led to collaborations in infrastructure projects and energy security, with countries like Japan and South Korea playing crucial roles in providing expertise and financial support for India’s infrastructure needs.
- Free Trade Agreements (FTAs): India’s growing network of free trade agreements with ASEAN, Japan, and South Korea highlighted its increasing economic engagement with the region. These agreements fostered a deeper integration into the East Asian economic bloc.
3. Political and Strategic Dimensions
In addition to economic cooperation, the Look East Policy also had a strong political and strategic dimension. As India became more involved in East and Southeast Asia, it sought to balance the growing influence of China, which was rapidly becoming the regional hegemon.
- Security Cooperation: India’s policy towards East Asia also emphasized regional security cooperation. India worked closely with ASEAN countries to address common security concerns, including terrorism, piracy, and maritime security. India’s strategic partnership with Japan also expanded in the context of regional stability and security. In particular, both India and Japan, along with other ASEAN members, supported the idea of a free and open Indo-Pacific, aiming to counterbalance China’s assertiveness in the South China Sea.
- India’s Engagement with Multilateral Forums: The Look East Policy also led India to increase its involvement in regional multilateral institutions such as the East Asia Summit (EAS) and the ASEAN Regional Forum (ARF). These forums provided India with platforms for dialogue and collaboration on regional issues ranging from trade to security.
4. India’s Act East Policy
In 2014, under the leadership of Prime Minister Narendra Modi, India’s Look East Policy evolved into a more proactive and ambitious strategy called the Act East Policy. The Act East Policy is a continuation of the Look East Policy, but with a greater emphasis on India’s active engagement and leadership in the Asia-Pacific region.
- Enhanced Engagement with ASEAN: India strengthened its economic and strategic ties with ASEAN and its individual members. India has participated in various ASEAN-led regional trade and security initiatives, including the Regional Comprehensive Economic Partnership (RCEP) and ASEAN Defence Ministers’ Meeting Plus.
- India-Japan Relations: Japan became a key partner under the Act East Policy, with increasing investments in infrastructure, technology, and defense cooperation. India and Japan have also enhanced their defense collaboration, including joint military exercises and strategic dialogues.
- Northeast India as a Gateway: A significant focus of the Act East Policy is on developing India’s northeastern states as a gateway to Southeast Asia. This has included improving connectivity, building infrastructure, and promoting trade with countries like Myanmar, Thailand, and Bangladesh.
5. Challenges and Limitations
Despite its successes, the Look East Policy has faced several challenges. The rise of China as a regional superpower has made it difficult for India to exert significant influence over the region. China’s Belt and Road Initiative (BRI) has been a direct competition to India’s influence, as China has invested heavily in infrastructure and energy projects across Southeast Asia and beyond.
Furthermore, the continuing tensions with Pakistan have somewhat limited India’s ability to fully engage in certain regional forums, particularly those where Pakistan is a member. The complex geopolitical environment of East Asia, where countries like China, the United States, and Japan play influential roles, also presents challenges for India’s independent policy-making.
6. Conclusion
The Look East Policy, and later its evolution into the Act East Policy, has significantly shaped India’s relations with East Asia. It has not only opened new opportunities for economic cooperation but also strengthened India’s strategic positioning in the Asia-Pacific region. While challenges remain, particularly in the context of China’s growing regional power, India’s engagement with East Asia continues to deepen, with strong prospects for future growth in trade, security cooperation, and cultural exchanges.
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