Honoured Guests,

It is a privilege for me to deliver the keynote address at this Seminar on Thailand-India Relations: Partnership for Peace and Prosperity.  On the 60th anniversary of the establishment of diplomatic relations between India and Thailand, it is indeed opportune that we should reflect on the past.  Our deliberations can, I believe, also provide inputs for charting the course for the future.

I would, at the outset, like to congratulate the Thammasat University and the India Studies Centre for the extremely valuable work that they are doing to foster closer understanding between our two countries.  As the 21st century begins and as Asian nations rise to take their proper place at the table of global affairs, we need a better understanding of each other, both at the level of states and of civil society.  We also need a new attitude towards each other to enable mutual comprehension of each others concerns and priorities.  Our countries have in the past, often looked at each others through borrowed eyes.  I am, therefore, extremely happy that the Thammasat University is playing a leading role in correcting this.  I congratulate the University and also Mr. A.N. Ram, who as Indian Ambassador to Thailand from June 1992 to December 1993, took the initiative, through contributions raised from the Indian community, to establish the first ever fully fledged Chair of Indian Studies in Thailand at this University.  The Chair was inaugurated during Prime Minister Narasimha Rao’s visit to Thailand in April 1993.  

India and Thailand are no strangers to each other.  The words, architecture, sculpture and mythology of our two countries reflects our shared cultural and civilisational linkages.  According to some historians, Hindu influence reached Thailand over 2000 years ago.  This was soon after the monks Sona Thera and Uttara Thera had spread Buddhism in Thailand in the 3rd Century BC.

India and Thailand are also maritime neighbours.  It is, perhaps, not so well-known that India’s Andaman & Nicobar Islands are much closer to Thailand’s coast than to the Indian mainland.  The distance from Imphal in mainland India to Chiang Mai would, as the crow flies, be about a thousand kilometers.

History and geography should make India and Thailand natural partners for each other.   However, three factors stood in the way of this happening till a few years ago.  I will elaborate on these factors and also on the changes that have since taken place.

First, the Cold War and its ensuing political polarization was a great divide.  From the time that India became independent in 1947 till the early 90s, the political climate between India and Thailand was never particularly warm.  Issues such as Thailand’s relationship with the US, India’s relationship with the Soviet Union and different perceptions on Vietnam and the then Kampuchea created a palpable chill in the relationship.

In 1984, Kavi Chongkittavorn, the respected Thai political commentator wrote: “Since the installation in Phnom Penh of Heng Samarin, no effort has been made to improve ties, although Thailand and India historically share very close cultural ties – the Indian cultural influence on Thai culture and other aspects of Thai life does not need any elaboration”.  

Till the mid-80s, there were few high-level visits between the two countries.  While President V.V. Giri paid a visit in 1972, no Indian Prime Minister visited Thailand till 1986, except for brief stop overs by Pandit Nehru in 1954 and by Mrs. Indira Gandhi in 1969.  General Kriangsak Chomanan was in India in 1979, but only at New Delhi airport on his way home from a visit to the Soviet Union.  In 1983, Prime Minister General Prem Tinsulanonda visited Pakistan, Bangladesh and Nepal, but not India.

While the relationship was cool, the two countries did have some exchanges.  Conscious efforts were made to develop mutual contacts.  After a gap of 14 years, there was a high-level visit of Prime Minister Rajiv Gandhi to Thailand in October 1986.  The atmospherics in this visit were good.  Prime Minister Rajiv Gandhi was accorded an extremely warm welcome.  People lined the streets whenever his motorcade passed.  The Prime Minister and Mrs. Sonia Gandhi had an hour long meeting with the King where all members of the Royal family were present.  The Prime Minister was also conferred an Honorary Doctorate by Chulalongkorn University.  The visit was prompted by a long felt need on both sides to remedy the long years of neglect.  From the Thai side, besides the important visits of the Crown Prince and of Princess Maha Chakri Sirindhorn, the only notable visit was that of Prime Minister General Chatichai Choonhavan to India in March-April 1989.

It must, however, be mentioned that despite the coolness in the political relationship between our two countries during the early years, people to people contacts as well as cooperation in the fields of education and culture continued to thrive.  Cultural links have always provided an enduring basis for further building our bilateral relationship.  In 1956 the Indian Government invited the Thai Government to construct a Thai monastery at Bodh Gaya.  The offer was graciously accepted and India provided 4.5 acres of land for this purpose.  Cultural troupes regularly visited each others country.  We also had professors of Sanskrit and Pali teaching in leading universities of Thailand.  A large number of Thai students studied in India, both on scholarships and on their own expense.  All this has contributed to there always being a large amount of mutual goodwill between our two countries.  

Later, with greater warmth in the political relationship, a year long Festival of India was held in Thailand in 1996 as India’s contribution towards the Golden Jubilee Celebrations of His Majesty the King of Thailand’s accession to the throne  during which a major exposition of the Sacred Relics of lord Buddha from India was held in Thailand.  A reciprocal month long festival of Thailand was subsequently held in India in 1998.

In the early 90s, with the end of the Cold War, our mutual political perceptions began to change.  India’s “Look East” policy that was initiated in 1991, marked a strategic shift in our perspective of the world.  Thailand was also perceived to have taken a conscious decision to diversify its relationships and to look at important non-aligned countries such as India.

The visit of Prime Minister Narasimha Rao to Thailand from 7-10 April 1993 was an important milestone in our bilateral relationship.  I must mention that he was deeply honoured to receive an Honorary Doctorate in Liberal Arts by this University during his visit.  As the visit took place when Mr. A.N. Ram was India’s Ambassador to Thailand, we must acknowledge his personal contribution to the India-Thai relationship.

While Prime Minister Narasimha Rao’s visit was an important milestone it only marked a beginning.  There is no better way to capture the essence of the relationship at that time than to quote from Ambassador A.N. Ram himself.  I seek his permission to do so.  In his analysis of the bilateral relationship in October 1993, Ambassador Ram wrote: “Thailand’s perception of India, in marked contrast to the 80s, has undertaken a dramatic change for reasons stemming out of changes in the international and regional environment, as also in India’s perceived policies and interests in South East Asia.  However, India is still peripheral to central Thai foreign policy concerns and interests and it will take some more time for our relationship to acquire a self-propelling momentum”.

How much have things changed since then!   In 1996, Thailand initiated a “Look West” policy that seeks to accord priority to development of relations with South Asia and beyond.  This complements India’s own “Look East” policy and has provided the basis for a substantive upgradation of bilateral relations.  India and Thailand have had an annual exchange of Prime Minister level visits since 2001.  This was only disrupted in 2006 because of uncertainties caused by the internal situation in Thailand.  The recent very successful visit of Prime Minister Surayud Chulanont to India from 25-27 June 2007 has continued the tradition of annual Prime Ministerial visits.

The second factor that came in the development of the India-Thai relationship had to do with India itself.  Till the 1990s, the Indian economy was growing at a slow pace of 3.5% or a sedate rate of 5.5%.  The economic potential of the relationship was, therefore, limited.  The total bilateral trade between our two countries in 1982, to take an example, was a mere US$ 59 million.  Thailand’s exports to India amounted to US$ 36 million and its imports from India totaled US$ 23 million.

The high growth of the Indian economy has changed all that.  Since India embarked upon economic reforms and liberalization in 1991, we have witnessed a spectacular rise in the annual growth rate.  The average rate of growth in the last four fiscal years has been 8.6% and in the last two fiscal years the growth rates have been 9% and 9.4%.

The growth of the Indian economy is well reflected in the figures of bilateral trade.  In 1992, bilateral trade amounted to US$ 400 million.  It crossed the US$ 1 billion mark in 2000, the US$ 2 billion mark in 2004 and the US$ 3 billion mark in 2006.  In 2007, we are poised to cross the US$ 4 billion mark.  

Our business sectors are also investing in each others country.  Thailand now accounts for US$ 830 million of approved Foreign Direct Investment in India.  Top investment sectors include food processing, hotel and tourism, construction and electrical equipment, telecommunications, trading and transportation.  India’s FDI in Thailand has also risen with the first quarter of 2007 seeing an increase of 110% over the same period last year.  The Aditiya Birla Group and the Indo Rama Group have been in Thailand for a number of years.  They, perhaps, came to this country to escape the restrictive business environment in India at that time.  They are now being joined by many other entrepreneurs who are coming for different reasons.  The companies that are now coming are doing so because they see complementarities that make India and Thailand good business partners.  These include Tata Steel which is the 5th largest producer of steel in the world.  They have invested Baht 2.5 billion in Millennium Steel, the largest steel producer in Thailand and will set up the first mini blast furnace in Thailand investing a further Baht 3.5 billion.  Their sister company Tata Motors have set up a joint venture with the Thonburi Auto Group.  The initial planned capacity of the new venture is 40,000 vehicles every year.  Over a period of time, Tata Motors plan to make Thailand their manufacturing hub for all of ASEAN.

The growing economic relationship between India and Thailand has been facilitated by the forces of globalization and regional integration.  The economics of competitive costs has generated new trade patterns and dependencies.  The easier movement of people is an added dimension.  We now have plans to take this engagement to an even higher level.  An India-ASEAN and an India-Thailand Free Trade Agreement are under discussion.  The negotiations on both agreements are at a very advanced stage.  I am hopeful that there would be a breakthrough in the negotiations on these two agreements during the course of the next few months.  Both agreements are more far reaching, both with regard to depth and product coverage, than any of the agreements that India has with other countries.  Besides an FTA in goods, we are also discussing an FTA in services and an agreement on investments.  These would virtually create a common market between our two countries and lead to the closer integration of our two economies.

The third factor that came in the way of the development of the India-Thailand relationship was the destruction of natural connections during the colonial era.  The colonial intervention in India in the 19th century caused a break in the trade and movement of people between our two countries which had existed over the ages.  This is an area in which work is now being done.  We have, at present, more than a hundred flights a week between our two countries.  The number is fast increasing.  In 2006, nearly half a million Indians visited Thailand and over 33,000 Thais traveled to India.

Much more needs to be done in the field of transportation linkages.  The India-ASEAN Car Rally held in October-November 2004 demonstrated the existence of land route connectivity between our two countries.  There are, however, missing links in the road that goes from Moreh in India, through Bagan in Myanmar, to Mae Sot in Thailand and stretches of the road need to be upgraded.  

In April 2002, India, Myanmar and Thailand agreed to cooperate in the construction of the trilateral highway that would link the two countries.  The road alignment for the highway that would be 1400 kms in length has been completed.  However, for various reasons, there has been considerable delay in the project.
The idea of a road link between India and Thailand cannot but captivate one’s imagination.  For India, it would mean road connectivity with all of ASEAN.  For Thailand, it would mean road connectivity with a market of more than a billion people.  India is today the fastest growing free market democracy.  According to a report by Goldman Sachs, among Brazil, Russia, India and China, it is India that would record the fastest rate of growth over the next 30 to 50 years.  For both countries the trilateral highway would be a highway to greater prosperity.  

The eight North Eastern States of India are often described as land locked.  They are joined to the rest of India by a narrow land corridor that skirts the north of Bangladesh.  This land corridor is only 21 to 40 kms in width and is known as the Chicken’s Neck. This has been a serious impediment for the development of the region and it has lagged behind the rest of the country in terms of infrastructure and industrial development.  We are hopeful that our “Look East” policy, the India-Thailand relationship and the trilateral highway project will change the North East of India from being land locked to being land linked.  While this is a long-term vision, it is also one that drives forward our bilateral relationship.

Both our Governments are committed to forging closer relations between North East India and Thailand.  Our Minister for the Development of the North East Region visited Thailand in March 2007 with a large business delegation.  The Thai Minister of Commerce followed this up with his valedictory address at the Third North East Summit held in New Delhi on 11 April 2007.  He subsequently led a group of Thai business leaders to the North East States of India from 22-25 June 2007.  This will now be followed by a North East India Investment Opportunity Week in Bangkok towards the latter part of this year.  We propose to have seminars, business-to-business meetings, an exhibition showcasing products from North East India, a food festival, cultural evenings and a fashion show during this week.   All of Thailand knows India, particularly as the land of Lord Buddha.  We hope that soon all of Thailand will also get to know North East India.  

I have spoken of the bilateral relationship between India and Thailand.  Given our geographical proximity and development of regional cooperation, it is also important that we discuss the relationship in the regional context.  Marrying national thinking with regional thinking is a challenge.  We need to think not only of national interests, but also of positing them against regional interests.  Regional existence means adjustments that may not always be easy.

Our perspectives for the future of the region have been outlined by our Prime Minister in his vision of an Asian Economic Community.  The Prime Minister has spoken of an integrated market, spanning the distance from the Himalayas to the Pacific Ocean, linked by efficient road, rail, air and shipping services.  He has said: “This community of nations would constitute an ‘arc of advantage’ across which there would be large-scale movement of peoples, ideas and connectivity”.  I believe that Thailand shares this perspective.

The East Asia Summit, which brings together the ten ASEAN nations, Australia, China, India, Japan, Korea & New Zealand, provides a forum for taking forward this vision.    

The India-ASEAN dialogue is another framework that brings together India and Thailand.  There has been steady progress in the India-ASEAN relationship since our ‘Look East’ policy was initiated in 1991.  We became sectoral dialogue partners of ASEAN in 1992.  In 1996, this was upgraded to full dialogue partnership.  Since 2002, we have annual summits with ASEAN – along with China, Japan and the Republic of Korea.    

The India-ASEAN FTA lies at the heart of our engagement with ASEAN.  The negotiating process for the India-ASEAN FTA has been difficult.  It could not have been otherwise.  The economies of ASEAN are among the most open in the world.  India, despite progressive and successful liberalization, comes from a background that could be perceived as protectionist.  The challenge has been to harmonize the positions of two very different partners.  

There are other frameworks too that bring India and Thailand together.  BIMSTEC or the Bay of Bengal Initiative for Multi-Sectoral Technical & Economic Cooperation was established with the first Ministerial meeting in Bangkok on 6 June 1997.  BIMSTEC was then started by Bangladesh, India, Sri Lanka and Thailand and now includes three more – Myanmar, Bhutan and Nepal.  The objective of the grouping is to serve as a bridge between South & South East Asia.  BIMSTEC focuses on trade and investment, technology, transport and communications, energy, tourism and fisheries.

India and Thailand also cooperate in MGC or Mekong Ganga Cooperation.  The MGC brings together Cambodia, India, Laos, Myanmar, Thailand and Vietnam.  The idea of forming the MGC came up in a conversation between the then Thai Foreign Minister and his Indian counterpart in New Delhi in July 2000.  Both the Ganga and the Mekong are civilisational rivers, and the MGC initiative is indicative of the shared cultural linkages among the member countries.  The focus of the MGC is on promotion of tourism and on cultural and educational cooperation.

The Asian Cooperation Dialogue, or ACD, and the Indian Ocean Rim Association for Regional Cooperation, or IOR-ARC are two other groupings that bind India and Thailand together.  Cooperation between our two countries in these various groupings can contribute to the development of the future architecture of our region.  Our long-term goal should be the creation of a harmonious and prosperous community of nations built on shared values and interests.  

I will now turn to security issues.  A significant aspect of India-Thailand cooperation, both bilaterally and through multilateral institutions, has been the growing cooperation on security issues fostered through dialogue and pragmatic measures, as well as through the establishment of legal frameworks.  Our bilateral security cooperation has focused notably on maritime security, which is a vital issue of common concern to both our countries.  We have a bilateral agreement with Thailand for joint coordinated patrols by our two Navies in the Bay of Bengal at the mouth of the Malacca Straits.  Thailand, along with other regional Navies, also participates in the bi-annual MILAN exercises conducted off the Andaman & Nicobar islands.  These have fostered closer regional cooperation on maritime security issues.  The ASEAN Regional Forum, or ARF, also brings together India and Thailand in a political and security dialogue forum covering the entire region.  The ARF has allowed for engagement of a broad range of countries with the goal of regional peace and stability.

Since I am speaking at a University, I should mention the Nalanda University proposal that would serve as yet another vehicle linking India and Thailand.  The University of Nalanda, which was established around the 5th century AD and which continued to have pre-eminent status for over seven centuries, had attracted a large number of scholars from South East and East Asia.  Lord Buddha himself preached many sermons at Nalanda.  We now have plans to redevelop Nalanda University as a major Centre of Learning.  Research in Buddhism, inter-faith dialogue and studies on the history of contacts in our region are some of the areas that naturally suggest themselves for the Centre.  We hope to cooperate with Thailand and with other countries of the region on this project.  

To summarize, India and Thailand are bound by close bonds of history, geography and culture.  In the modern age, we jointly seek a future that fuels itself both by our shared past and our current commonalities.  I do believe that India and Thailand are destined to be on the same side of history, as neighbours, as friends, and as partners in the quest for progress.

I would, before I conclude, like to share with you a quotation on Universities and education from Pandit Jawaharlal Nehru, India’s first Prime Minister.  He said: “A University stands for humanism, for tolerance, for reason, for progress, for the adventure of ideas and for the search for truth.  It stands for the onward march of the human race towards even higher objectives”.  He further said: “A vast responsibility rests on our universities and educational institutions and those who guide their destines.  They have to keep their lights burning and must not stray from the right path even when passion convulses the multitude and blinds many amongst those whose duty is to set an example to others”.  

To you Distinguished Rector and Faculty of the Thammasat University, I say: May your University continue to light the lamp of education and serve the cause of national development.

I would also like to leave behind a message for the students.  I want you to be in the vanguard of India and Thailand renewing, rediscovering and re-engaging at the societal level.  I want young Thais to discover India.  India is an ancient civilization, but a young nation.  Perhaps, the youngest in the world in terms of demographic profile.  Come to India.  You will find yourself at home there.  

Next: Thailand Hindi Parishad commemorates Gandhiji's Satyagraha Centenary.