Human integration and cooperation generate dynamism and synergy in social, cultural, and economic life that yield development. Development means positive changes in the ecosystem, in other words, better living conditions for all living beings.
In order to develop security, and cultural and economic conditions, regional organisations like Nafta, EU, and Asean have been formed in advanced countries. These integrations reduced differences and enhanced the level of trust among people of the member countries. They started interaction at the people-to-people level that brought development in the regions. Regional cooperation had never been witnessed at such a level in South Asia – perhaps because of bitter political incidences the sub-continent experienced at the time of the partition of 1947.
South Asian countries – Pakistan, Bhutan, Bangladesh, Maldives, India, and Sri Lanka – established Saarc (South Asian Association for Regional Cooperation) in 1985 to broaden integration and cooperation in the field of regional security, environment, culture, trade, etc, forgetting past wounds. Afghanistan joined this association later in 2007. In its 12th summit, the association decided to create a complete free-trade area by 2016. However, because of various castes, religions, values, ethos, and political ideologies and systems, Saarc could not yet deliver on its promises. A bright future is also not seen in the horizon.
Based on the changed regional and international geopolitical scenario, a new regional cooperation organisation is emerging. Bangladesh, China, India, and Myanmar are working for the formation of an economic corridor, named BCIM-EC. The initiative has been put on a fast track since the first inter-governmental meeting between China and Bangladesh in Yunnan, China.
Chinese premier, Li Keqiang, and former Indian prime minister, Dr Manmohan Singh, appreciated the progress during their meeting in May 2013 in Delhi, India. A road show was organised starting from Kolkata, crossing Bangladesh and Myanmar, and ending in Kunming in 2012 to generate public awareness and support for the initiative.
The first Joint Study Group (JSG) meeting of the Bangladesh-China-India-Myanmar Economic Corridor was held in Kunming in December 2013. The 1st JSG meeting of BCIM-EC marked the official launch of the intergovernmental process of BCIM-EC. The next meeting will be held on November 12-13 in the beach town of Cox’s Bazar.
During the first joint study group meeting of the BCIM countries, the four countries agreed that the priorities of BCIM-EC should focus on, among other things, are the following areas: Regional connectivity, including transportation, telecommunication, and power and energy; trade and investment, sustainable development, and people-to-people exchange.
The BCIM-EC will advance multi-modal connectivity, break down trade barriers between countries, harness the economic complementarities, promote investment and trade, and facilitate people-to-people contacts. The economic corridor will also help dovetail China, Bangladesh, India, and Myanmar on the issue of development strategies, build an even closer network of common interests, and bring integration of respective interests to a higher level.
Major global player China is pursuing BCIM-EC as a part of its initiative for joint development of an “Economic Belt along the Silk Road” and a “Maritime Silk Road of the 21st Century.” President Xi Jinping of China emphasised the importance of the initiatives in his visits to Indonesia and Kazakhstan last October. These two major initiatives that China has made are to deepen reform and to open up and advance its neighbourhood diplomacy.
Revival of the more than 2,000-year-old economic belt along the Silk Road that connected major civilisations across Asia, Europe, and Africa will definitely boost global integration, where China and India will be playing leading roles.
Regional cooperation in the field of security, infrastructure, trade, and culture in BCIM countries still remain weak. Meaning, there is an immense opportunity for enhancement. The size of BCIM-EC economies was more than $10tn in 2012, where the economies of Euro countries were more than $12tn in the same period at the current market price.
In purchasing power parity method of GDP, the difference between the two regions might have been nullified. BCIM-EC will have close integration and cooperation with BRICS countries, and other East Asian countries that would create greater scope to expand. Purchasing and investing powers of these countries are also augmenting. The success of the initiative depends on the relationship between India and China.
Indian Prime Minister Narendra Modi, during his last visit to the United States, pledged to intensify cooperation with the United States in maritime security to ensure freedom of navigation. His pledge that came against the backdrop of China’s expanding maritime ambitions, raises concern about the future of BCIM-EC. On the other hand, India’s new leader, at the sixth BRICS summit, said, “BRICS must provide a united and clear voice in shaping a peaceful, balanced, and stable world.” In effect, he is trying to build a new world maintaining a balanced relationship with both giants.
Joining BCIM-EC, Bangladesh will have major benefits in the short term in the field of building badly-needed infrastructure, transportation of goods between two giant countries, removal of trade barriers, and receiving foreign direct investments. China has demonstrated to the world that it can build infrastructure, including roads, mega bridges, high-speed rails, modern ports including deep sea ports, power, etc at lightning speed. Given the available educated workforce, easy access to sea, and low labour costs, China is eager to invest in manufacturing industries of Bangladesh that will create enormous employment opportunities and boost economic growth.
Bangladesh should develop agro and IT-based industries and RMG, among other sectors, to catch Chinese outflows. India-China trade is planned to cross $100bn by 2015, which is currently about $70bn. A portion of this planned trade can be transported through roads and railways by lifting barriers. India has already accepted duty free access to 500 Bangladeshi products. The acceptance had not yet materialised fully because of a few non-tariff barriers. China has also expressed its willingness to expand the “zero tariff treatment” to Bangladesh.
Closer integration among BCIM countries will not only remove such non-tariff barriers but also open windows for thousands of other products. Myanmar has a huge amount of land that remains uncultivated because of a shortage of workforce. On the other hand, Bangladesh has a huge amount of under-employed cultivators.
Embracing openness is the game of the time. No nation can prosper by keeping its borders closed to the world. Neighbours are the first countries we should open up to. BCIM-EC creates the scope for people-to-people contact among more than one-third of the world’s population. These people are carrying the legacy of the great civilisations of humankind. These people are rising. These people are taking the lead.