The Peaceful Rise of India-aug-oct2010

The Peaceful Rise of India-China Economic Relations: A Constructivist View of India-China Relations -Lim Tai Wei 14 Introduction Stable relations between India and the People’s Republic of China (PRC) are of considerable importance to construct a peaceful post-cold war Asia. China and India are the largest Asian states among the continents together having over a third of the world’s population. Therefore their future prosperity and progress may critically alter the fate of Asia.15 China and India established diplomatic relation in the fifties when Premier Zhou Enlai and Prime Minister Jawaharlal Nehru (in 1954) co-sponsored the five principals of mutual respect (Panchsheel) for sovereignty and territorial integrity, non-aggression, non-interference in each other’s internal affairs, mutual benefit and peaceful coexistence, which have gradually become the internationally acceptable norms of governing state-to-state relations. These principles have become important in establishing a constructive relationship of cooperation between China and India.16 Stable and expanding China-India relations are therefore important both for the two billion people of the two countries and the rest of the region. Their relations entered a phase of detente, confidence building and widening cooperation in the post-Mao years with a series of confidence building measures, high level economic exchanges, rising trade and investments and cooperation in science and technology and with other wider international issues beginning to lay the basis for more stable and comprehensive relationship than in the past.17 Indira Gandhi took the first step to upgrade the diplomatic relations between the two countries. Rajiv Gandhi's visit to Beijing in December 1988 marked a turning point in the evolution of the relations between the two countries

followed by Chinese Premier Li Peng’s visit to India in 1991 and P.V. Narashimha Rao’s visit to China in 1993.

President K.R. Narayanan's visit to China in June 2000 and the visit of Chinese President Jiang Zemin to India for instance are events of great significance as these visits also reflects how the two countries have put the past aside and are now constructing their relations for the mutual interest of both the nations.18 The various initiatives unleashed during the Indian former Prime Minister's visit to China in June 2003 are significant, especially for the opening of the Sikkim land route for two-way trade.19 India and China are among the countries registering the highest economic growth rates in the world and their populations combined comprises one third of the globe’s population. China and India were the star performers in aggregate GDP growth in the 1980s and 1990 as China’s average growth of 10% per year during 1980-2001 had slowed to a range of 7-8% per year during 1998-2002; growth continues to be fueled by a rising ratio of fixed investment to GDP, which is expected to reach 42.2% in 2003 and World Bank notes that this rate of investment exceeded the levels reached in the early 1990s.20 In India, the average annual rate of growth of GDP was close to 6% during 1980-2001, reaching a peak of 7.8% in 1996-97 from the low of 1.3% in the crisis year of 1991-92 and since then, highs of 6.5% in 1998-99.21 India’s performance in the soft infrastructure with its exceptional growth in the IT sector has changed the perception of the Indian economy to a major extent, along with its good legal structure, corporate governance, banking system, financial sector, property rights security, its skilled manpower and young work force, has made it the new economic icon of

14 ICEC Council Academic Member and Invited Associate Scholar at the Centre for Southeast Asian & Pacific Studies Sri Venkateswara University.

15 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, p.13.

16 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, p.10-11.

17 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, p.13.

18 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, p.12.

19 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, p.14.

20 Srinivasan, TN,, "China and India: Economic Performance, Competition and Cooperation An Update" in the Yale University website [downloaded on 1 September 2009], available at www.econ.yale.edu/.../C&I%20Economic%20Performance%20Update.pdf, p.2-3.

21 Srinivasan, TN,, "China and India: Economic Performance, Competition and Cooperation An Update" in the Yale University website [downloaded on 1 September 2009], available at www.econ.yale.edu/.../C&I%20Economic%20Performance%20Update.pdf, p.3.

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emerging powers.22 India’s development model is managing to deliver long term economic payoffs at much lower levels of investment and, in an increasingly networked world, India is a brand leader enabling a technologically networked world.23 There are many issues on which China and India may cooperate and coordinate as they share wide-ranging interest on many major international issues, all of them are committed to build a just and fair, new international political and economic order. These issues include advocating the principles of peaceful co-existence and respecting the right of development to change the unfair international trade regime.24 The Chinese Communist Party leader Hu Jintao, confirmed that joint relations move forward with the new generation of Chinese leadership and China's official English journal, Beijing Review has put it in the way that Ancient China pursued a strategy of 'uniting those far away against those next door,' but today's China needs to pursue the policy of being ‘partner to its neighbors’.25 Since the December 1988 summit, India-China relations have entered a phase of confidence building. This change in the bilateral dynamics is of great significance to the two countries as well as to the rest of the world as India-China has increasingly begun to see each other and their relationship as crucial factors in their foreign policies shaping the perception of other states towards these two states.26 India-China relations have already shown considerable improvement during the last two decades and, since 1988 the two countries have been pursuing a proactive policy of strengthening economic ties and addressing sensitive areas of bilateral relations more positively. The factors facilitating the process were the major shifts in the global economic architecture in the early 1990s that had

opened up a conducive environment for deepening the bilateral relations.27 Chinese President Hu Jintao said during his visit to India in November 2006 that China and India could "strengthen their trade and business links" and that there are enormous and manifold opportunities.

A joint study group, established by the heads of both complementarities between India and China in expanded trade and economic cooperation recommended a series of measures to facilitate bilateral trades in good, services, investments etc based complementarities between two countries. 28 The discussions at the Ministerial-level Joint Economic Group in New Delhi on March 16, 2006 showed a determination for further development of the bilateral trade and economic relationship in the next five years. Business leaders in both countries are identifying opportunities for cooperation in many areas, including energy and, on 21 November 2006, India and China agreed to double the trade between two countries to US $40 billion by 2010.29 Economic Complementarity China and India are engaged in economic development and modernization. China is keen to participate in various projects for development of infrastructure in India while Indian goods and services have entered the Chinese market, Chinese goods are also doing well in the Indian market.30 Trade cooperation and integration between China and India may foster outward-oriented development and generate economic and social benefits, which may also be a countervailing measure to withstand the excesses of economic globalization.31 With cross border investments, trade and communication links spreading through the region and creating an increasingly intricate structure of interdependence, India

22 Ummu Salma Bava, India's Role in the Emerging World Order - A Briefing Paper on New Powers in Global Change for Friedrich-Ebert Stiftung (New Delhi: Centre for European Studies School of International Studies Jawaharlal Nehru University), Undated.

23 Ummu Salma Bava, India's Role in the Emerging World Order - A Briefing Paper on New Powers in Global Change for Friedrich-Ebert Stiftung (New Delhi: Centre for European Studies School of International Studies Jawaharlal Nehru University), Undated.

24 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, p.7.

25 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, p.10.

26 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, pp. 10-11.

27 Seethi, KM, "Emerging India and China Potentials and Constraints ", Paper Presented at The Mahatma Gandhi-Daisaku Ikeda Peace Research Conference The Rise of China and India: Towards a Harmonious Region?" dated 21 August 2008, p.9.

28 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p. 23.

29 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p. 23.

30 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, pp. 14-15.

31 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.3.

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and China may shape the future evolution of global capitalism. By ensuring the stability and economic growth of the two countries; both developing states can expand friendly and cooperative ties with each other and maintain peace and cooperation to secure prosperity and stability of the East Asian region in the new era.32 Economic relations constitute the most dynamic aspect of bilateral ties between India and China and the trade between the two has grown remarkably well over the last one decade while bilateral trade has expanded at a 50 per cent rate during the last six years and is expected to increase by a further 54 per cent in the coming years; India’s trade with China has doubled in the last two years and the trade target of $20 billion by 2008 was reached two years ahead of schedule with the revised target of $40 billion by 2010 likely to be achieved two years ahead of schedule.33 The trade between the two countries has really been making the most impressive growth surpassing the targets already set with the target of US$20 billion bilateral trade by 2008 surpassed even in 2006 and therefore, the trade target was upgraded for the year 2010 from US$40 to US$60 billion.34 Indo-China trade has been growing very rapidly since mid1990s; in 1994-95. India’s export to China was $254.3 million, which grew to $5344.88 million in 2004-05 registering an exponential growth of 35.60% per annum and the trend of India’s imports from China has shown a similar trend - India’s import from China was $761.04 million in 1994-95, increased to $6768.92 million in 2004-05, showing an annual exponential growth of 24.10%.35 Total trade between India and China touched $18 billion in 2005 and total trade between two countries has been growing at an annual exponential rate of 28.13% between 1994-95 and 2004-05, which is much higher than the rate of growth of India’s overall trade during this period; even India’s exports to China have been growingat much faster rate than its total

trade, which roughly grew by 20% annually in dollar terms in the same period.36 India’s exports to China were $5344.88 million in 2004-05, registering an impressive growth of 80.39% compared to 2003-04, when it registered growth of 49.60% over previous year. This shows that India’s exports to China have been growing very rapidly and significantly while India’s imports from China have also been increasing significantly over last ten years (India’s import from China was $6768.92 million in 2004-05 showing a growth of 67% over the previous year while India’s total trade (both exports and imports) to China, it was $12113.8 million in 2004-05, registering a growth of 72.85% over the previous year.37 China’s largest import items from India were ores, slag & ash which were valued at around $4.3 billion in 2004, followed by iron & steel whose import was $602 million.38 Among other items, iron and ore are the single largest items of India’s exports to China in 2004-05, though the trend has been increasing over the years. However, these are the most important items in India’s export basket followed by primary and semi-finished iron and steel, which are the second largest items that India exports to China while other major product/product categories of India’s export basket to China are: plastic & linoleum products, processed minerals, inorganic/organic/agro chemicals, ores and minerals, drugs, pharmaceuticals and fine chemicals, machinery and instruments, residual chemicals & allied products, non-ferrous metals, marine products, cotton yarn, fabrics and make up etc.39 India’s import of principal commodities from China from 1998-99 to 2004-05 and the major import items from China are electronic goods which have been consistently increasing over the years while the second largest imported items are coal, coke and lubricants; for e.g. India imports substantial amount of coal from China, which suddenly

32 Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_3-2004.pdf, p.13.

33 Seethi, KM, "Emerging India and China Potentials and Constraints ", Paper Presented at The Mahatma Gandhi-Daisaku Ikeda Peace Research Conference The Rise of China and India: Towards a Harmonious Region?" dated 21 August 2008, p.9.

34 Muni, SD, "India and China: Towards Slow and Steady Cooperation" dated 18 Jan 2008 in ISAS Brief NO. 45 (ISAS), 2008.

35 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.4.

36 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.4.

37 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.4.

38 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.22.

39 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.4.

40 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.6.

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shot up in 2004-05, though it was modest in the early years.40 Organic chemicals are the third largest import item from China during the last several years and other important import items are: non-electrical machinery, electrical machinery, medical and pharmaceutical products, textile yarn, fabrics and make ups, silk yarn and fabrics, non-ferrous metals, silver, iron and steel, inorganic chemicals, raw silk non-metallic manufactures, manmade filament/spun yarn/waste, metaliferrous ores and metal scrap etc and there are 20 major items in India’s import basket from China which have been identified, covering more than 80% of India’s imports from China.41 Another important feature of trade between India and China has been the composition of items imported by both countries. While India imports basically finished and manufactured products and less of primary and intermediary products, on the contrary, China imports basically primary and intermediary products from India with least of finished products. Again, India’s commodity concentration in imports from China is very high on manufactured goods; on the other hand, China’s commodity concentration of imports from India is very high on primary and intermediary goods.42 The Visit of Manmohan Singh Indian Prime Minister Dr Manmohan Singh’s visit to China from 13 - 15 January 2008 was a step in the direction of keeping the momentum of building incremental and evolutionary cooperation between the Asian giants. The two countries signed 11 documents of mutual understanding and cooperation on subjects ranging from the railways and planning to agriculture and rural development. The most important of these agreements was the vision statement signed by the two prime ministers that promised to build "a harmonious world of durable peace and common prosperity" through the "strategic and cooperative partnership" between their countries.43 During Prime Minister Manmohan Singh’s visit to China in January 2008, it was decided to increase the trade target

from $ 40 billion to $ 60 billion by 2010. It may be noted here that India’s trade with China is greater than that with Japan, the US, or the entire world.44 After similar adjustments, China’s trade with India is only slightly below that with Japan, the US, or the entire world. During Manmohan Singh’s visit, the two countries also signed a document 'Shared Vision for the 21st Century' which reflects not only the common perceptions of India and China but also their desire to purposefully cooperate in the future and to promote global durable peace and common prosperity on the basis of Panchsheel. However, the most important aspect of the document is the favoring of an "open and inclusive international system"45 by the two countries.

In this statement, they have discussed an open, inclusive and democratic (not multipolar) international system based on the famous principles of Panchsheel - about regional integration of Asia; about "an international energy order that is fair, equitable, secure and stable"; about "working together and with the international community"; and also about bilateral matters and the resolution of differences through peaceful negotiations".46 At the "India-China Economic, Trade and Investment Summit" on 14 January 2008, Prime Minister Manmohan Singh encouraged the business community to "acquire insights into each others markets, business customs and management styles".47 Conclusion: 'Chindia' India and China are the two largest and fastest growing economies in Asia. The first step to create a vibrant regional trading bloc between China and India may be to move towards a Preferential Trade Agreement (PTA) with reduced tariffs implemented in a phased manner, covering commonly agreed, selected, and manufactured services and agricultural products before proceeding to a Free Trade Agreements (FTA) with stipulations of a free flow of goods, services, investment, labor, and capital.48 China and India are emerging as major economic powers and for sustainable development of the world and Asian economies, China and

40 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.6.

41 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.6.

42 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.22.

43 Muni, SD, "India and China: Towards Slow and Steady Cooperation" dated 18 Jan 2008 in ISAS Brief NO. 45 (ISAS), 2008.

44 Seethi, KM, "Emerging India and China Potentials and Constraints ", Paper Presented at The Mahatma Gandhi-Daisaku Ikeda Peace Research Conference The Rise of China and India: Towards a Harmonious Region?" dated 21 August 2008, p.9.

45 Seethi, KM, "Emerging India and China Potentials and Constraints ", Paper Presented at The Mahatma Gandhi-Daisaku Ikeda Peace Research Conference The Rise of China and India: Towards a Harmonious Region?" dated 21 August 2008, p.9.

46 Muni, SD, "India and China: Towards Slow and Steady Cooperation" dated 18 Jan 2008 in ISAS Brief NO. 45 (ISAS), 2008.

47 Muni, SD, "India and China: Towards Slow and Steady Cooperation" dated 18 Jan 2008 in ISAS Brief NO. 45 (ISAS), 2008.

48 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.23.

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India may be integrated into the Asian economy and simultaneously with the rest of the world.

Open regionalism and trade cooperation between the world’s two largest developing economies may foster outward-oriented development and intraregional trade based on comparative advantage and complementarities.49 The word "Chindia" is derived from the combination of the two words "China" and "India" and it reflects the idea that India and China are rising and it is possible that they cooperate and their relations may become positive.

According to the Chindia theory, the strengths of both countries are complementary and China is strong on industry, merchandise goods, and infrastructure, whereas India is strong on service sector and information technology (simply put, China is strong on hardware, whereas India is strong on software) and so, in 2006, Prime Minister Wen Jia Bao, declared that Sino-India cooperation may be like two pagodas: one is on hardware and the other is on software.50 The challenges before these nations of 2.5 billion are numerous and formidable, and they may not be addressed without building new coalitions of bargain and negotiation in an increasingly complex interdependent world.51 Both are rising economic powers and they need peace and stability to realise their aspirations.52 Appendix Agreements/MOUs Signed between India and China 1954: Trade Agreement between the Republic of India and the People’s Republic of China.

1984: Trade Agreement between the Government of the Republic of India and the Government of the People’s Republic of China.

1991: Trade Protocol between the Government of the Republic of India and the Government of the People’s Republic of China for the Calendar Year 1992.

1992: Protocol between the Government of the Republic of India and the Government of the People’s Republic of China on Custom Regulation, Banking Arrangements and Related matters for Border Trade.

1992: Memorandum of Understanding on co-operation in Agriculture between the Ministry of Agriculture of the Republic

of India and the Ministry of Agriculture of The People’s Republic of China.

1993: Memorandum of Understanding between the Government of Republic of India and The Government of the People’s Republic of China on co-operation in the Field of Geology and Mineral Resources.

1993: Agreement on Environment Co-operation.

1995: Memorandum of Understanding between Ministry of Metallurgical Industry of the Government of the People’s Republic of China and the Ministry of Steel of the Government of the Republic of India.

2000: Memorandum of Understanding signed during the 6th Joint Economic Group Meeting in Beijing on February 21-22, 2000 on co-operation in the field of steel between India and China.

2000: Memorandum of Understanding on co-operation in the field of Information Technology. (July) 2000: Memorandum of Understanding on co-operation in the field of Labour (Employment services, vocational training and social security). (September) 2002: MOU on the Application of Phytosanitary Measures between the Ministry of Agriculture of the Republic of India and the State General Administration of the People’s Republic of China for Quality Supervision and Inspection and Quarantine (AQSIQ). (January) 2002: MOU between Department of Science and Technology of the Republic of India and the State Administration of Foreign Experts Affairs of People’s Republic of China on Exchange of Personnel between India and China. (January) 2002: MOU between Department of Science and Technology of the Republic of India and the Chinese Academy of Sciences of the People’s Republic of China on Cooperation in Science and Technology. (January) 2002: Agreement between India and China on Cooperation in the field of Tourism. (January) 2002: MOU between the Ministry of Water Resources of India and Ministry of Water Resources of China upon provision of hydrological information of the Yaluzangbu / Brahmaputra river in flood season by China to India

(Source: Kundu, Nivedita Das, "Russia-India-China: Prospects for Trilateral Cooperation" in the Helsinki website [downloaded on 1 Sept 2009], available at www.helsinki.fi/aleksanteri/english/publications/.../ap_ 3-2004.pdf, pp. 43-48.)

49 Bhattacharya, Swapan K. and Biswa N. Bhattacharyay, "Gains and Losses of India-China Trade Cooperation –a gravity model impact analysis" dated April 2007 in the Cesifo Working Paper No. 1970 Category 7: Trade Policy [downloaded on 1 Sept 2009], available at from the SSRN website: www.ssrn.com, from the RePEc website: www.repec.org, from the Cesifo website: www.cesifo-group.de, p.23.

50 Thepchatree, Prapat, "The Rise of China and India and its implications to Southeast Asia: A Thai Perspective", unpublished draft, p.17.

51 Seethi, KM, "Emerging India and China Potentials and Constraints ", Paper Presented at The Mahatma Gandhi-Daisaku Ikeda Peace Research Conference The Rise of China and India: Towards a Harmonious Region?" dated 21 August 2008, p.12.

52 Muni, SD, "India and China: Towards Slow and Steady Cooperation" dated 18 Jan 2008 in ISAS Brief NO. 45 (ISAS), 2008.

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