Context: India can join the China-led South Asian initiative for COVID-19 vaccines and poverty alleviation too if it so desires, said Bangladesh Foreign Minister.

• He denied that a six-nation grouping launched earlier in July was meant to exclude India.

China-South Asian Countries Emergency Supplies Reserve

• The creation of the China-South Asian Countries Emergency Supplies Reserve, and a Poverty Alleviation and Cooperative Development Centre set up in China on 8 July 2021.
• The initiatives are the outcome of a meeting of the Foreign Ministers of China, Afghanistan, Bangladesh, Nepal, Pakistan and Sri Lanka in April, it appeared to leave out only India, Bhutan and the Maldives.

Issues for India on China-South Asia grouping

• India’s decision to suspend vaccine exports, including to Bangladesh, who had contracted and made advance payments for 5 million doses of Covishield per month, had become a “big issue” in the country.
• India would be unlikely to consider a new grouping involving China, especially one that could be seen to dilute its role in the SAARC region.
• The absence of India from the grouping as well as from a series of consultations on COVID relief between different combinations of all SAARC member countries (other than India and Bhutan) meant to be a “Minus India” initiative.
• India is the only country of all eight SAARC nations that has not requested or accepted Chinese COVID vaccines.
• China is taking advantage of India’s pending delivery of Covid vaccine doses to neighbouring countries due to the second wave of pandemic by sending them Chinese vaccine doses.
• The China-led bloc could a plan to create what some call a northern Himalayan Quad aimed at countering the Washington-led Quad of which India is an active member.
• The development had raised concerns in India as the initiative appeared to leave out only India, Bhutan and the Maldives.