Sansad TV: Boost To India-Japan Ties | Current Affairs & Hindu Analysis: Daily, Weekly & Monthly - UPSC PDF Download

Introduction

Japanese Prime Minister Fumio Kishida emphasised the significance of India for peace and stability in the Indo-Pacific. He urged countries not to resort to force or coercion in pursuing territorial claims. During his visit to India, Prime Minister Kishida presented his plan for fostering a free and open Indo-Pacific region while highlighting Japan's commitment to collaborating closely with New Delhi in promoting stability in South Asia. He also held extensive discussions with Prime Minister Modi on enhancing the India-Japan Special Strategic and Global Partnership.

India-Japan bilateral relations

• Japan has emerged as a major investor in India, contributing significantly to its economy. 
• In 2011, the two countries signed a Comprehensive Economic Partnership Agreement (CEPA) aimed at fostering bilateral trade growth. 
• This agreement was hailed as the most comprehensive of its kind concluded by India. 
• Japan has also been a prominent financial donor through Official Development Assistance (ODA) to India. 
• The country continues to demonstrate keen interest and support for India's major infrastructure projects such as the Delhi-Mumbai Freight Corridor, Delhi-Mumbai Industrial Corridor, Chennai-Bangalore Industrial Corridor, and the Ahmedabad-Mumbai High-Speed Rail. 
• Additionally, both nations have joint initiatives in third countries like Bangladesh, Myanmar, Sri Lanka, and Africa, including the announcement of the Asia-Africa Growth Corridor (AAGR) in 2017.

Defence ties

• The Quadrilateral Security Dialogue, involving India, the United States, Japan, and Australia, is an important strategic forum for these nations. 
• They also conduct the Malabar exercise regularly, with the participation of India, Japan, and the USA. 
• Furthermore, the two countries engage in the 2+2 dialogue at the defence and foreign minister level to strengthen their defence cooperation.

Potential areas of development

• India and Japan are actively exploring opportunities for digital partnership, particularly in fields such as AI, IoT, and big data. 
• They have a wide range of avenues for collaboration in security, including cyber security, outer space, and economic security, aimed at establishing a rules-based, free, and open international order. 
• Their economic partnership can contribute to the growth of the Indo-Pacific region as well as the global economy. 
• However, despite the CEPA, bilateral trade between India and Japan has not yielded the expected results. 
• The volume of bilateral trade declined from $18.43 billion in 2011-12 to $13.48 billion in 2016-17.

Challenges

• Trade engagements between India and Japan have fallen short of their potential. 
• Japan ranks 18th on the list of countries to which India exports and 12th on the list of countries from which India imports. 
• India's exports to Japan in recent years have decreased in value. 
• Language barriers, high quality and service standards have hindered India's access to the Japanese market. 
• Negotiations to acquire the amphibious US-2 planes have faced prolonged delays. 
• Both countries also have differing interests regarding the Regional Comprehensive Economic Partnership, and they do not have a specific China policy. 
• Strengthening naval power vis-à-vis China and expediting pending projects in the Indian Ocean and Pacific Ocean are crucial for India and Japan.

Way Forward

• Experts argue that Japan's best interests lie in a strong India, and therefore, Japan should provide increased support. 
• India can leverage Japan's expertise in medical equipment and hospitals. 
• Both nations should strive for a rules-based and inclusive world order. 
• They must focus on improving communication, connectivity, and facilitating unhindered trade, the movement of people, technology, and ideas for shared prosperity. 
• Additionally, they should further cooperate to enhance peace, stability, and prosperity in the Indo-Pacific region.