The Bay of Bengal is fast becoming a key area of economic and strategic competition in the Indo-Pacific. It’s the largest bay in the world and forms an important part of southern Asia. The limitations of SAARC due to multiple reasons have led to South Asian region being the least integrated region in the world vis-à-vis the European and ASEAN experiences.

BIMSTEC is a bridge between South Asia and South East Asia. BIMSTEC has gained more favour as the preferred platform for regional cooperation in South Asia

BIMSTEC provides an alternative to SAARC due to the following reasons:

• Connectivity:
  1. BIMSTEC serves two purposes for India – it makes it easier for India to share a common regional platform with its neighbours in South Asia (sans Pakistan) and secondly, BIMSTEC also establishes a linkage between South and Southeast Asia.
  2. Urgency of promoting regional and sub-regional cooperation via BIMSTEC and BBIN has to be seen in the context of China’s BRI and the compelling strategic challenge posed by China’s muscular geo-economic and geo-political interventions in Asia, particularly in India’s neighbourhood.
  3. The development of the North-eastern region, by opening up to Bangladesh and Myanmar, is another incentive for India.
• Regional Co-operation: Regional cooperation under the ambit of SAARC has become difficult made BIMSTEC more viable:
  1. Despite India’s keen interest in cooperating and strengthening intra-regional connectivity by backing the SAARC–Motor vehicle agreement, the agreement was stalled following Pakistan’s reluctance.
  2. Similarly, the SAARC satellite project that India proposed was abandoned following objection from Pakistan in 2016
  3. SAARC has also faced obstacles in the area of security cooperation. A major hindrance in this regard has been the lack of consensus on threat perceptions, since member countries disagree on the idea of threats. Example: cross-border terrorism emanating from Pakistan.
• Cordial Relationship:
  1. The member countries have generally cordial relationships, something patently missing among the SAARC countries.
  2. BIMSTEC’s major strength comes from the fact that it includes two influential regional powers: Thailand and India. This adds to the comfort of smaller neighbours by reducing the fear of dominance by one big power.
• Economic vistas: As a trade bloc, BIMSTEC provides many opportunities.
  1. The region has countries with the fastest-growing economies in the world. The combined GDP in the region is around US$2 trillion and will likely grow further.
  2. Trade among the BIMSTEC member countries reached six percent in just a decade, while in SAARC, it has remained around five percent since its inception.
  3. Compared to SAARC, BIMSTEC has greater trade potential as well. Among the member countries, India’s intra-BIMSTEC trade is around 3 percent of its total trade.
  4. BIMSTEC regional grouping happens to have five nations that are also part of SAARC. The fact that this region is growing at 6.5% per annum, collectively comprises of 1.5 billion people, is the drive behind India’s focus being part of BIMSTEC.

However, there are concerns which need to be addressed.

• Infrequency of the BIMSTEC summits, the highest decision-making body of the organisation. In its 20 years of existence, the BIMSTEC summit has taken place only thrice.
• The delay in the adoption of the Free Trade Agreement (FTA), a framework that was agreed upon in 2004, fuels doubts about BIMSTEC’s efficacy.
• BBIN Motor Vehicles Agreement [MVA] is an instrument that was conceived to transform and facilitate trade. It has not yet been completely successful as Bhutan is worried about security and environmental fallout of such an agreement.
• In the latest summit in 2018, it was noted that the Motor Vehicle Agreement and the Coastal Shipping Agreement would still need more time for finalisation.
• Both Thailand and Myanmar are criticised for having ignored BIMSTEC in favour of ASEAN.
• Region lacks physical connectivity. The tri-lateral highway connecting India-Myanmar-Thailand has been a non-starter.
• BIMSTEC has identified 14 priority sectors and has signed an FTA (2004) and a Convention on Cooperation in Combating International Terrorism, Transnational Organized Crime and Illicit Drug Trafficking (2009). The pace of implementation has been quite sluggish so far.

BIMSTEC is an extra feather to India’s act east policy:

• India was motivated to join BIMSTEC as it wanted to enhance its connectivity with ASEAN countries: a major component of its Look East Policy, now rechristened ‘Act East’
• In terms of connectivity, BIMSTEC has at last three major projects that, when finished, could transform the movement of goods and vehicles through the countries in the grouping.
  1. One is the Kaladan Multimodal project that seeks to link India and Myanmar.
  2. Another is the Asian Trilateral Highway connecting India and Thailand through Myanmar. It represents a significant step in establishing connectivity between India and Southeast Asian countries.
  3. Bangladesh, Bhutan, India and Nepal (BBIN) has signed a pact for the movement of goods and vehicles among them.
• The agenda of BIMSTEC is in sync with other regional/sub-regional organisations like the Association of Southeast Asian Nations (ASEAN), the ASEAN Regional Forum (ARF), the ASEAN Defence Ministers’ Meeting Plus (ADMM Plus), the Expanded ASEAN Maritime Forum (EAMF), etc. Simultaneously, BIMSTEC fits in the agenda of a greater role for India in the Indo-Pacific too.
• The political rivalry between India and Pakistan never allowed SAARC to be the driving factor in an augmenting regional cooperation within South Asia. Hence, it would be pragmatic for India to work closely with BIMSTEC and ASEAN to expand regional cooperation in areas of mutual concerns including terrorism, violent extremism, transnational organised crime and insurgency; food security, energy; trade and investment, connectivity and infrastructure, poverty alleviation to name a few.
• India’s stimulating outlook towards Southeast Asia vis-à-vis Asia-Pacific as expressed through Act east policy and the other way round, i.e, the Asia-Pacific’s desire to have India as a strong stakeholder in the region.
• BIMSTEC offers many opportunities to its member countries. For India, it aids in its Look East Policy and South­–South cooperation efforts. The development of the North-eastern region, by opening up to Bangladesh and Myanmar, is another incentive.

Conclusion:

BIMSTEC region is notable for its diversity, the member states need to build on the regional synergies and work towards utilising the available resources in the most optimal manner. This would help build a stronger and a more dynamic BIMSTEC.