Keynote Address by EAM at the inaugural session of 2nd Seminar on India-China Relations

November 01, 2010

Your Excellency Mr Zhou Yongkang, Member of the Standing Committee of the Politburo and Secretary of the Political and Legislative Affairs Committee of the Central Committee of the Communist Party of China;

Mr Wang Jiaarui, Minister of the International Department of the Central Committee of the Communist Party of China

Dr Karan Singhji, Chairman, Foreign Affairs Cell, All India Congress Committee;

Distinguished delegates from the Communist Party of China;

Members of the Indian National Congress;

Dear Colleagues;

Ladies and Gentlemen

It gives me great pleasure to inaugurate this 2nd Seminar on India-China Relations being organized jointly the Indian National Congress and the Communist Party of China. I warmly welcome the Chinese delegation led by Mr Zhou Yongkang to India. I also take this opportunity to thank Dr Karan Singh for institutionalizing this forum of inter-change of ideas between the two political parties. I thank Dr Mridula Mukherji, Director of the Nehru Memorial Library and Museum for hosting the Seminar. Holding today’s event in Teen Murti Bhawan has a special significance as it’s most illustrious resident Pandit Jawaharlal Nehru worked tirelessly throughout his life for strengthening bilateral ties between our countries.

2. As I speak to you today on India-China Relations, at a time when the motor of the world’s economic growth has shifted to Asia, I recall Pandit Nehru’s vision of these relations. Panditji who had deep consciousness of the rich heritage of our cultural and civilizational interaction and our millennial ties envisioned that India and China would come together as a unified force. He expected our two countries to exemplify the idea he called “Asianism”. His vision was for both nations to rediscover Asia’s pride of place after years of living under colonial rule and domination by foreign powers.

3. Today both India and China are demonstrating remarkable economic growth and social development and playing an increasingly important role in world affairs. On this road which we have traversed, we have had trials and tribulations but what is encouraging is that today’s post Cold-War world provides us the opportunity to work together to strengthen each other. There is deep realization in both China and India of the need to engage each other, and to cooperate rather than compete.

4. We cannot talk of India-China ties without seeing the reflection of history, and everyday new and more interesting evidence of age old relations are brought out by scholars. Our dear friend Tan Chung, who has contributed immensely to the development of India-China relations and understanding between the two countries, makes an astute observation quoting Reverend Daozuan, the prominent academic authority of the Tang Dynasty, that the term used to describe China by the Chinese people, that is Zhongguo (Chung Kuo) or Middle Kingdom, has been used in the past in China to even describe India or Madhyadesa. Tan Chung makes an interesting point that in the voluminous Chinese Buddhist literature over nearly two thousand years, the term Zhongguo denotes not China but Madhyadesa, the Buddha’s country- Magadha. No doubt such visceral ties have led many to say that India and China were ‘Buddhist twins’.

5. These civilizational ties between our two countries were described very eloquently by another great son of our soil, Gurdev Rabindranath Tagore who, when he arrived in China in 1942, said and I quote “I don’t know why, as soon as I arrived in China, I felt as though I was returning to my native place. Maybe I was an Indian monk in a previous life, who stayed on a particular mountain, in a particular cave, enjoying freedom”. Unquote. Gurudev instinctively sensed the grand harmony that has existed between India and China.

6. In the late 1940s, when we reached out to each other, India and China had a natural bonding and understood each other’s aspirations in a way that nobody else could. Not surprisingly, the post-1945 order was reluctant to recognize the legitimate concerns and interests of these two nations. As a challenge, leaders of our two countries had the courage and the vision to chart their own course. The Panchasheela, or, the five principles of peaceful co-existence, was their unique contribution to contemporary diplomacy. This year when we are celebrating 60 years of diplomatic ties between India and China, we obviously seek to honour and uphold that tradition of working together. Our endeavour is to draw inspiration from those early years of our existence as independent nations to cooperate more closely in the future.

7. As rising powers, India and China are often projected to have a competitive relationship. In the final analysis, it is up to us to disprove such scenarios by concrete examples of cooperation. Certainly, there is a strong case for a global issues partnership between India and China as two large developing Asian economies. And we are working together on key challenges that will define the 21st century. However, unless we address some of the issues of bilateral concern, our relationship will not attain its true potential for building our common future in this Asian century. While we accept that there will be outstanding issues between two large countries, we have to address on each other’s concerns and exhibit sensitivities on issues impinging each other’s security and well-being if we are to make our relationship forge ahead.

8. China is today the world’s second largest economy. India is also marching relentlessly on the way towards economic well-being. Getting our growth strategy right in an ever-changing world has its own challenges. As Asian states, we recognize that our continent lags behind Europe and the Americas in terms of economic and infrastructural integration and security cooperation. If India and China work purposefully in this direction, the whole world stands to benefit. After all, between us we are raising the living standard of almost one-third of humanity. Given the magnitude of our development efforts, there is much that can be gained through our close cooperation as we do face similar challenges of urbanization, resource consumption, food and energy security, inclusive growth and skills development. We must ask ourselves whether as neighbours and partners, each of whom are large and rising economies, are we making the best of opportunities? Can we not leverage each others’ strengths? Can we not be more sensitive to each other’s concerns? I am of the strong view that the India-China relationship is grossly under-realized and the capacities for expansion are enormous.

9. A strong and stable relationship between India and China has consequences for the entire world. Because we are different, our divergences are often exaggerated, sadly sometimes by our own people. India and China must not just cooperate; they must be seen to be doing so by the rest of the world. Our Prime Minister, Dr. Manmohan Singh, often emphasizes that the world is large enough to accommodate the aspirations of both countries. But this is not an inevitable outcome. It is a goal that requires strong political will, sustained engagement and a high degree of mutual sensitivity. What can we do to make this cooperation stronger? I believe that we need to work on a wide variety of fronts as progress on one will reinforce the others.

10. At the political level we have to work closely to consolidate and strengthen our political partnership and understanding. We welcome Premier Wen Jiabao’s proposed visit before the end of the year. He will receive a warm welcome. The hotline between the two Prime Ministers will soon become operational. In addition I would suggest that Indian and Chinese leadership at all levels in the government and amongst political parties should meet frequently to boost trust and understanding. A number of dialogues and forums already exist between India and China that need to keep meeting regularly and productively. Regular meetings lead to better communication, more understanding and strengthen confidence. I would, therefore, strongly encourage an intensive and sustained engagement between the two systems.

11. Economics closely follows politics and here I would like to call upon business and industry leaders of both countries to deepen the engagement and stake in each other’s economy. China is now India’s largest trading partner in goods. Trade between our two countries this year is well on its way to achieve the US$ 60 billion target set by the Prime Ministers of our countries. While both our GDPs are growing at a fast pace and so is bilateral trade, our inter-dependence is still insufficient towards building substantive stakes in each other. Our economic engagement needs to go well beyond trade in goods and investment. We hope China will provide Indian companies a level playing field particularly in the pharmaceutical and IT sectors where we face barriers which restrict market access.

12. Within the framework of our political and economic relations I would also make the case for enhanced cooperation in multipliers such as science and technology and energy which will enable us to leverage our cooperation to bring benefits to our peoples. Both China and India have obtained considerable skill in development of cost effective and innovative technologies. Our scientists and engineers need to engage more with each other in order to allow the diffusion of these technologies. Similarly, a whole new set of challenges confront us on the energy front, where the quest is not only to obtain affordable energy but also to check carbon emission. Climate change has indeed thrown at us a challenge which can only be countered by cooperation. Our cooperation within BASIC framework reveals some new directions in which we can work together.

13. Lastly but more importantly, I would emphasize the need to build people-to-people contacts. Our interactions during the ages along the Silk Route, which saw inter-exchange of goods and ideas, have led to our mutual enrichment. Sadly, as modern nations we seem to be lacking in emulating our ancestors. There is a need to comprehensively revolutionize this aspect of our relations through cultural exchanges, education, films, sports, cuisine and tourism.

14. Ladies and Gentlemen, I have attempted to spell out what I visualize is a recipe for strengthening the India – China relationship in order to build our common future in Asia. The destinies of India and China were linked in the past. The growth of our relationship will be determined by the extent of our awareness that they are linked in the future as well. Far from sliding into complacency, we must keep pushing the pace of the relationship with new ideas and more activity. The world is watching both India and China and what we do together will decide not only our destiny but the history of the world.

Thank you very much. Jai Hind.

New Delhi

November 01, 2010