Keynote address by Minister of State for External Affairs Dr. Shashi Tharoor at the inaugural session of the 2nd India-Arab Investment Projects Conclave

08/02/2010


My esteemed colleague and distinguished predecessor Shri Anand Sharma, Hon’ble Ministers, dignitaries and Ambassadors from Arab countries, Excellencies, Chairman FICCI, leaders and captains of industry & business, distinguished guests and friends.

2. I have just stepped off a plane from the Arab world a few hours ago – an overnight flight from Muscat, Oman, to be precise – and it gives me great pleasure to be able to be with you to address this august gathering. The 2nd India-Arab Investment Projects Conclave is both appropriate and topical. The first India-Arab Investment Projects Conclave in 2008 paved the way for stronger trade and investment relations between the two regions. I am certain that this Conclave will provide an enabling institutionalised platform for businesses and investors from India and the Arab countries to cooperate and build partnerships.

3. India and the Arab world share a close and historical relationship marked by similar values. There is a genuine partnership and synergy existing between India and the Arab world, which we are all endeavouring to strengthen further. The paradigm re-alignment that has accompanied changes in the global economic order, particularly after the financial meltdown of 2009, have compelled us towards a major re-think on how we should cooperate to face the challenges in front of us. Happily for both of us, the framework for cooperation is readily available.

4. The Arab world constitutes an integral part of India’s extended neighborhood and is a region of critical importance to India in political, strategic, security and economic terms. India-Arab relations are a subject close to my heart. In my professional and personal endeavours I have had the opportunity to deal with many Arab people and I have come away very impressed not only with their intrinsic abilities and entrepreneurial skills but also with their deep sense of appreciation of the historic, cultural and civilizational ties that bind India and the Arab countries. These go back well before any of our nations emerged as modern nation states.

5. The history of our links and contacts with each other, which span several centuries, is well known. What the world knows as Arabic numerals came to the Arab world from India. Not only did Arabs and Indians knew each other before the advent of Islam, but it is even said that the Arabs played a crucial role in the emergence of the very notion of “Hindustan” and even in giving a name to the religion of Hinduism. We can argue whether it is to the Arabs, Persians or Greeks that we owe the concept of the Hindu – the people who lived across the river Sindhu or Indus - but there is no doubt that the people of India were referred to as Hindus by the Arabs long before the Hindus themselves called themselves Hindus.

6. The Arabian Sea, which washes the shores of both our regions, has played a crucial role in the cultivation of our relations. India’s cultural links with West Asia can be traced to the early years of recorded history. There is evidence, for instance, of trade links between the Harappan civilization and that of Dilmun in the Gulf. In pre-Islamic times, Arab traders acted as middlemen in trade between Bharuch in Gujarat and Puduchery and the Mediterranean through Alexandria and even through my ancestral area, the Palakkad gap, as evidenced in archaeological finds of Roman coins and artefacts in southern India. On-going excavations in the Red Sea coast continually produce fresh evidence of perhaps even older links. And it is no accident that so many distinguished Arab families in many different Arab countries bear the surname al-Hindi, or that Hind is still a desirable name used by many Arab women.

7. Some scholars trace Indian studies on the hadith to the early days of the arrival of Islam in India in the South in the 7th century and in the north in the 8th century AD. Islamic scholars from the turn of the 8th Century AD to al-Baruni in the 11th century have, in their writings, documented Indo-Arab cultural links, including Indian contributions to Arab thought and culture. Translations of Indian works were sponsored by the Abbasid Caliphate in Baghdad where, especially under Harun al-Rashid, Indian concepts in secular subjects ranging from medicine to mathematics and astronomy were absorbed into the corpus of Arab scientific writing. Scholars have also documented the compilation of a large number of Indian works in Quranic studies over the last 500 years as also in Islamic jurisprudence over a slightly longer period.

8. The adventures of seafarers who have ridden the waves and tides of the Arabian Sea on their dhows are the stuff of legend. I have even heard the story that it was an Indian seafarer who regularly travelled between Kerala and the Arab settlements on the east coast of the African continent, particularly Zanzibar, who might have guided Vasco da Gama to the Indian coast at Kozhikode. It is for scholars of history to debate the accuracy of this tale, but what is not debatable is that these ties have hundreds if not thousands of years of antiquity and are responsible for the civilizational melting pots which all of us have inherited and thrived in. Recently, to recreate the magic of times gone by, a traditional sailing boat, “The Jewel of Muscat”, has been built in Oman, in large part by boat builders from Kerala, as a replica of the 9th century dhows that sailed these waters. I had the great pleasure yesterday of setting foot on the Jewel of Muscat and admiring how, in a desire for authenticity, the builders have sewn the planks together with coir fibre, rather than using nails. The Jewel of Muscat is about to set sail on a journey from Oman to Singapore via Kerala and Sri Lanka, on the route many of our forefathers regularly sailed. I am looking forward to greeting it in Kochi in mid-March and hope many of you will join me to celebrate its safe arrival there, Insh’allah.

9. So the Arab world has left an indelible imprint on India’s history, on our culture and on our civilization. As a student of history I can argue with confidence that the past has built us an excellent platform for the future.

10. In modern times, this bond between India and the Arab world has been strengthened further. India’s approach on issues affecting the Arab world is based on principle, not expediency, and the principles on which we have based our positions have stood the test of time – whether it is related to the legitimate demands of the Palestinian people, the Suez crisis or the Algerian independence movement. India has endeavoured to follow the spirit of South-South solidarity and cooperation in our dealings with the developing countries of the Arab world.

11. But history also teaches us that the past should never be taken for granted. Just because we have had centuries-old relations does not mean that we do not have to endeavour to sustain and nurture our present day relations. If anything, it needs more hard work by all concerned so that we are not lulled into complacency.

12. The bedrock of goodwill between our two regions provides the foundation to build a strong edifice of substantial contemporary relations. We are keen to enhance our partnership with the Arab world, which has been playing an important role in shaping our political, economic, defence and security policies at both the regional and global level. Our traditional bonds have been revitalized in recent years. For India the Arab world is an important source of our energy security and is home to more than 5 million Indians. The Arab world’s rich resources and the growing demands of India’s rapidly expanding economy make us natural partners. It is not surprising to note, for instance, that that the number of flights to the Gulf region from here far exceeds the total number of flights from India to the rest of the world.

13. As the Hon’ble Minister of Commerce will no doubt confirm, our trade with Arab countries is booming. We will take a closer look at the trade figures later during the Ministerial panel discussion, but it is clear that both in the foreign and in the trade ministries of our countries we need to identify and focus our work on multipliers and leverages. For instance, if we are able to conclude the India- Gulf Cooperation Council (GCC) Free Trade Agreement (FTA) at the earliest, it would give an enormous boost to the economic engagement between our regions. But even this is not enough. You are already a major trading partner and we hope you will also become a major investment partner.

14. Another area of focus could be to work on mechanisms to institutionalize the welfare of the Indian expatriate workforce in the Arab countries, particularly in the Gulf region. While I was in Oman over the last three days I met with a number of Indian workers, heard about their problems and sought a meeting with the Manpower Minister to resolve them. I was gratified by the warm and constructive spirit in which the Minister received me and accepted my suggestions. There was a clear appreciation that these Indian workers are an asset to their receiving countries and that if conditions governing their work and life are improved, it would be a “win-win” proposition for all concerned. This will bring enormous benefits to our relations.

15. In today’s era of globalization we have to take into account the changing world economic scenario and to equip ourselves appropriately. Our endeavour should be to leverage our comparative advantage to build alliances, develop partnerships, create new avenues of growth and development and strengthen the existing ones. We need to enhance our mutual investments, joint ventures and project participation in the region and in India. It is a matter of satisfaction that our efforts are being matched by the countries of the Arab world.

16. We are keen to enhance our engagement. Our multi-faceted ties are steadily and rapidly developing. The last three years have seen a significant increase in our interactions with the countries of the Gulf region. Several high level visits and Joint Commission Meetings have facilitated many institutional arrangements in the areas of trade and investment, energy cooperation, security cooperation, cultural, scientific and educational cooperation and bilateral arrangements.

17. The Secretary General of the League of Arab States and my good friend, H.E. Mr. Amre Moussa, visited India in November-December 2008. As you are aware, during this visit the Memorandum of Cooperation between India and the League of Arab States on the establishment of an Arab-Indian Cooperation Forum was signed in New Delhi. This is a very comprehensive document that looks at deepening our relations in many sectors including energy, education, human resources development and trade and investment. We are pleased that Deputy Secretary General Ahmed Ben Helli and we are looking forward to the spirited implementation of the Memorandum which we are sure will take our relations to new heights. I look forward to cooperation from you all to carry this ambitious agenda forward.

18. Excellencies, Ladies and Gentlemen, the Arab world has always figured very high in India’s foreign policy priorities. India considers the Arab world a key part of its strategic neighbourhood. India desires to strengthen cooperation to explore opportunities across the entire spectrum of potentialities that exist. We wish to work together today with an eye on tomorrow: to consolidate our ties in emerging sectors of the economy so that we can develop a framework for future generations. Our economies are complementary. There is no reason why our efforts should not dovetail into each other’s.

19. In conclusion, I would like to underline that we have in place a framework for cooperation, which is constantly deepening and widening. While the pace of progress could be faster, a critical mass has already developed to take us into a qualitatively upgraded relationship. There are many dimensions to Indo-Arab relations, some very old and some very new. I am sure this conclave, with its emphasis on our contemporary economic relations, will help chart the way forward and give more substance to our relations in the future.

Thank you.

New Delhi
February 8, 2010

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