Context: Mr. Parbowo Subianto, the President of the Republic of Indonesia was the Chief guest in the Republic Day parade.
Relevance of the Topic:Mains: Bilateral Relations: India-Indonesia Relations.
Key dimensions of India-Indonesia Relations
- Civilisational and Cultural ties: India and Indonesia share deep-rooted civilisational links dating back to ancient maritime trade routes and cultural exchanges. For example, the Bali Yatra festival commemorates historical trade connections between India’s Odisha region and Bali, Indonesia.
- Indonesia’s cultural elements, such as the Ramayana and Mahabharata, showcase Indian influence.
- Similarly, the spread of Hinduism and Buddhism in Indonesia emphasises on shared heritage.
- Political and strategic cooperation: The Comprehensive Strategic Partnership (established in 2018) has focused on enhancing maritime security, regional stability, and geopolitical cooperation.
- India and Indonesia conduct joint military exercises, such as the "Samudra Shakti" naval exercises, which strengthen defense coordination and ensure maritime safety in the Indian Ocean region.
- Both countries cooperate closely in multilateral forums like ASEAN, G20, BRICS and the United Nations, highlighting their shared commitment to regional and global stability.
- Economic cooperation: Bilateral trade has reached $29.4 billion in FY 2023-24, with the ambitious goal of increasing it to $50 billion by 2025. Key traded commodities include Indonesian palm oil, coal, and Indian pharmaceuticals and textiles.
- India is the second-largest buyer of Indonesian coal, which supports India’s growing energy demands.
- There have been joint ventures in renewable energy, agriculture, and technology. For instance, Indian companies like Tata Power have invested in Indonesia’s coal and energy sectors.
- Space cooperation: Both countries have collaborated on satellite technology and space exploration. For example, India’s ISRO assisted Indonesia in launching communication satellites, enhancing connectivity and disaster management capabilities in the region.
- Health and education:
- Health sector cooperation includes establishing healthcare facilities, hospital management training, and collaborative research on tropical diseases.
- Educational exchanges involve scholarships, such as those offered under the Indian Council for Cultural Relations (ICCR), and cultural programs to strengthen people-to-people ties. Indian universities attract Indonesian students pursuing higher studies.
- Tourism:
- Indonesia is a popular destination for Indian travelers, with over 650,000 Indian tourists visiting Bali in 2023 alone.
- Initiatives like the Visa-on-Arrival program facilitate seamless travel for Indians.
- Role of the Indian diaspora:
- The Indian diaspora in Indonesia plays a pivotal role in strengthening bilateral ties. Communities actively contribute to trade, banking, and education sectors.
- Events like Diwali celebrations by Indian expatriates promote cultural diplomacy and enhance goodwill.
- Future outlook: The Comprehensive Strategic Partnership emphasises economic growth, maritime security, and regional cooperation as pillars of future engagement.
- Indonesia’s strategic position in Southeast Asia makes it a cornerstone of India’s Act East Policy, ensuring sustained collaboration in the Indo-Pacific.
Areas of Future Collaboration
- Research and Development (R&D) Partnerships:
- India and Indonesia could collaborate on R&D to develop technologies that address specific renewable energy challenges. Innovations in energy storage, grid modernisation, and energy efficiency would benefit both nations.
- Indonesia could learn from India's advancements in solar technology, while India could benefit from Indonesia's expertise in geothermal exploration and bioenergy.
- Regional Energy Market Integration:
- Creating a regional energy market that connects Southeast Asia's and India's energy grids could facilitate shared renewable energy resources.
- Indonesia's interest in natural gas, particularly LNG, aligns with India's growing LNG demand.
India and Indonesia: Strategic Cooperation in the Indo-Pacific and beyond
Geopolitical importance of the Indo-Pacific:
- Strategic location: Indonesia’s position at the confluence of the Indian and Pacific Oceans places it at the heart of Indo-Pacific geopolitics. Its control over key sea routes like the Strait of Malacca gives Indonesia a pivotal role in global trade and regional stability. India's maritime interests align with Indonesia’s due to their shared concerns over securing critical waterways against external threats.
- Geopolitical tensions: Rising tensions in the South China Sea highlight the need for collaboration to counterbalance external pressures and ensure freedom of navigation.
Military Strategy and Defence Cooperation:
- Defence Cooperation Agreement: During PM Modi’s visit in 2018, both countries concluded a Defence Cooperation Agreement. Indonesia is seeking to diversify its defence partnerships and India acquires salience here. India’s defence industry and defence exports are gaining traction with keen interest in the BrahMos system.
- Joint Operations: Regular Coordinated Patrols (CORPAT) along the International Maritime Boundary Line (IMBL) emphasize operational synergy. The 43rd CORPAT (2024) symbolizes growing tactical alignment to counter piracy, smuggling, and illegal fishing.
- Strategic framework: The 2018 "Shared Vision for Maritime Cooperation" serves as a roadmap for addressing evolving security threats. Collaborative efforts target both conventional (territorial disputes) and non-conventional (illegal fishing, trafficking) security challenges.
- Naval strengthening: India and Indonesia focus on enhancing naval readiness to deter unlawful activities and secure maritime routes. Indonesia’s efforts for modernization of naval capabilities aligns with India’s push for regional maritime stability.
Shared Defence Priorities:
- Freedom of navigation: Both nations advocate for the unrestricted movement of goods and military assets in the Indo-Pacific. Their shared stance opposes unilateral territorial claims of China and emphasis on adherence to international law.
- Countering emerging threats: Efforts address piracy, illegal fishing, and other maritime crimes threatening regional stability. Present collaboration extends to managing contested waters and safeguarding trade routes critical to global supply chains.
- Long-term goals: Secure the free flow of international trade and protect sovereignty against illegal incursions. Reinforce alliances with like-minded nations to counterbalance external power influences in the Indo-Pacific.
Multilateral Cooperation:
- Cooperation in BRICS: Indonesia's membership of BRICS, granted in 2023, presents another avenue for collaboration. Much like India and Brazil on BRICS' platforms, India and Indonesia can leverage their partnership to bring strategic heft to this bloc. While Indonesia is unlikely to deviate significantly from Chinese preferences due to its deep economic ties with Beijing, Prabowo's autonomous policymaking tendencies pro- vide room for cooperation that transcends the "China factor".
- ASEAN Plus Policy: In the past, Indonesia played a leading role in crafting ASEAN's Outlook on the Indo-Pacific (AOIP). This was instrumental in aligning the AOIP with India's Indo-Pacific Oceans Initiative (IPOI). Indonesia has committed to supporting the maritime resources pillar under the IPOI. By collaborating on projects within this pillar, the two nations can promote a pro-regional agenda beyond ASEAN, aligning with Prabowo's vision of creating an "ASEAN Plus" policy.
- India-Indonesia-Australia trilateral: India and Indonesia, alongside Australia, already have a trilateral framework, though it lacks substantial content. It can build upon the IPOI and the Indian Ocean Rim Association (IORA), with India set to assume its chairmanship this year.
- BIMSTEC: Indonesia should be invited to join the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) to integrate it better with India's eastern neighbourhood.
- India-Japan-Indonesia Trilateral: Japan has recently expanded its Official Security Assistance (OSA) policy to include Indonesia, providing defence-related support. This opens the door for a potential India-Japan-Indonesia trilateral partnership.
By leveraging platforms such as BRICS, the IPOI, and trilateral frameworks with Australia and Japan, both India and Indonesia can forge deeper partnerships for the future. A robust India-Indonesia partnership has the potential to shape the strategic landscape of the Indo-Pacific and beyond.