Elizabeth Morgan | India forging stronger economic links with Latin America and the Caribbean

India has been in the news over the past few weeks because of the BRICS Summit in August and the G20 Summit hosted last week in New Delhi. India’s importance in international trade and its political influence is increasing.

In researching the G20, I came upon the 9th India-Latin America and the Caribbean (LAC) Conclave held in New Delhi, August 3-4. The theme was ‘Furthering Economic Partnerships for Shared and Sustained Growth’. This conclave was addressed by CARICOM Secretary General Dr Carla Barnett. It is not clear whether CARICOM and its member states were previously invited to these meetings.

This conclave was first convened in New Delhi in 2007 under the theme ‘Project Partnership – Partnering for the future’. The aim was to promote trade and investment between India and the LAC countries. India had wanted a stronger economic alliance with the LAC region. It seems that up to 2015, these meetings were hosted by India. The 7th session in 2016 was held in Guadalajara, Mexico, to give a better understanding of India to the LAC region. The 8th session was also hosted by the LAC region in Chile in October 2018. The conclave was held between 2019 and 2022.

Indian Minister of External Affairs Subrahmanyam Jaishankar, in April this year, toured four countries in the LAC – Guyana, Panama, Colombia and the Dominican Republic – to explore new areas of cooperation in the region. The minister’s delegation included representatives of the Confederation of Indian Industry. His objective was furthering India’s trade and economic interests. The minister took the opportunity to meet with CARICOM foreign ministers on his visit to Guyana. See my article on ‘Further Deepening CARICOM-India Relationships’ published on April 23, 2023.

The India-LAC Conclave held in August brought together government ministers and officials, multi-sector business leaders, investment and trade promotion agencies, industry associations, multilateral agencies, financial institutions and banks, and state governments. Sectors of focus included agriculture and food processing, chemical, consultancy, healthcare and pharmaceuticals, education and skill development, information and communications technology, logistics, power and energy, and trade.

Eleven LAC countries were represented at this conclave. I am not certain, however, whether any CARICOM member states were represented by trade and investment promotion agencies, or business associations and companies. Guyana, Jamaica, and Trinidad and Tobago have high commissions in New Delhi, and thus, I assume that they were represented.

SHARED CHALLENGES AND OPPORTUNITIES

Foreign Minister Jaishankar, in his opening address, noted that his government’s efforts to increase contacts in the LAC region have only reinforced the significance of trade and people-to-people connections, which have served as a reminder of the shared challenges and opportunities that India and LAC face. He mentioned projects, which have included the CARICOM countries, in agriculture and food processing, and infrastructure. India’s trade with LAC countries has been growing.

The minister felt that a stronger relationship between India and LAC had a lot of potential and great possibilities. By harnessing shared strengths, experiences, capabilities, and resources, a lasting partnership could be created that would benefit both India and LAC countries.

The CARICOM secretary general spoke of the constant engagement in high-level dialogue between CARICOM and India, which allowed both to forge a strong foundation on which to build a fruitful economic partnership. There had been agreement on the need for avenues to promote a stronger trade relationship and forge inter-regional business links.

India’s emergence, she said, as a global economic power presents the Global South with an opportunity to engage with a trade partner that is no stranger to the challenges in international trade confronting developing countries.

I would think that to increase the business linkages between CARICOM and India, the private sector in CARICOM member states and trade and investment promotion agencies, working with Caribbean Export, would need to be actively involved in fora such as the India-LAC Conclave.

Of course, CARICOM also has its own mechanisms, such as the CARICOM-India Joint Commission. It would be important for CARICOM countries to be also acting on the business proposals made by the Indian foreign minister during his April visit to Guyana.

Elizabeth Morgan is a specialist in international trade policy and international politics. Email feedback to columns@gleanerjm.com.