PM suggests South Asian 'Arc of Advantage'

PM IN SINGAPORE

With trade pundits predicting that the free trade agreement (FTA) with Asean will take time to happen and calls for some skilful negotiations, Prime Minister Manmohan Singh today proposed a slew of new steps for regional co-operation between Asean countries and India to create a South Asian "Arc of Advantage."

These include simplification of the existing visa regime for businessmen, co-operation in healthcare and in dealing with climate change, exchange programmes for Parliamentarians and improving the inflow of tourists.

The prime minister proposed the target of $50 billion for Indo-Asean trade by 2010. The earlier target of $30 billion by 2007 had already been met, he said.

Government officials said India's exports to Asean could see a sharp jump if the FTA is concluded as the per capita income of most of the Asean countries was higher than India, reflecting stronger purchasing power.

In what could fetch more business to Indian air carriers looking to spread their wings abroad, Singh said that India was keen to join the Open Skies regime amongst Asean countries, whenever it is finalised. "We have achieved progress in the key area of connectivity. But we seek much more from our Open Skies Policy with Asean," he said.

India's keenness to conclude the FTA with Asean and the hectic negotiations by commerce minister Kamal Nath and his team have failed to create a buzz at Singapore.

The limelight on Tuesday, when the prime minister landed here, was hogged by Myanmar. Singapore cancelled an address by UN Special Envoy Ibrahim Gambari after Myanmar leaders said the country's problems should be left to them. Some 40 Myanmarese staged a token protest and were dispersed by the police.

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Singh Sutra

Raise Indo-Asean trade to $50 billion by 2010

Simplify visa rules for businessmen

India-Asean working group on healthcare should prepare an India-Asean Healthcare Initiative

Set up India-Asean Green Fund with a corpus of $5 million

Initiate a special programme for exchange amongst Parliamentarians

Target one million tourist arrivals from Asean by 2010, up from 280,000 now