Showing posts with label india-japan. Show all posts
Showing posts with label india-japan. Show all posts

Thursday, April 14, 2016

India-Japan: Poised for Partnership and Waiting...

If there is a code that needs to be cracked, it is the enigma of India-Japan relations.

In a recent discussion with a retired Indian diplomat, one angle of this enigma was articulated - "For more than three decades now, there has been no doubt in the Japanese government about where they want the India-Japan relations to go, and they have almost always stood by us: Construction of Bombay High, 1991 Forex Rescue, Maruti-Suzuki, and Delhi Metro...Somehow, we Indians seem to have always fallen short of our own expectations."

So, as with a cart which has one one wheel moving faster than the other, we seem to be going round and round, in slow, large circles.

Over the years, there has been no dearth of grand promises -- A network of 12 Japan Industrial Townships across India; A Dedicated Freight Corridor flanked on either side by smart new industrial cities stretching all the way from New Delhi to Mumbai; There has been talk of greater defence cooperation, including the supply of Japanese amphibious aircraft (US2), to the Indian Navy; A deal paving the way to "clean" N-power; ...and yet, for all those bilateral declarations, and lofty commitments, there is precious little to show on the ground.

What explains this yawning gap between intent and action?

A recent book by Rohan Mukherjee and Anthony Yazaki (Oxford, 2016), titled "Poised for Partnership", seems to be analysing some of these issues.with the seriousness it deserves.




Mukherjee and Yazaki see a recurrent pattern where "lofty commitments of increased cooperation were often not matched by sufficient attention to the minutiae of how such promises would be turned into reality."

The reviews look good but the pricetag seems rather forbidding. I wonder in which library I could get my hands on a copy of this book.

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REFERENCES & LINKS

* Book Review - Business Standard India - http://www.business-standard.com/article/opinion/india-japan-poised-for-a-great-leap-forward-116041301148_1.html

* Anthony Yazaki -  http://cpr.unu.edu/author/yazaki
* Rohan Mukherjee - http://scholar.princeton.edu/rmukherj/home
* Chapter-I - https://scholar.princeton.edu/sites/default/files/rmukherj/files/mukherjee_and_yazaki_-_poised_for_partnership_-_chapter_1_introduction_0.pdf 

http://www.vccircle.com/news/finance/2016/04/08/india-looks-japan-achieve-its-disinvestment-targets

Fitzpatrick, Michael (2015):  Why is hi-tech Japan using cassette tapes and faxes? BBC Business, URL - http://www.bbc.com/news/business-34667380
http://dinakarr.blogspot.in/2014/01/india-japan-looking-into-hazy-skies.html
http://dinakarr.blogspot.in/2010/09/rare-earths-vs-common-sense.html grin emoticon

Thursday, March 27, 2014

Shutdown in Japan


Three years ago this month, we were huddled in an evacuation center in Western Japan, bracing for the next aftershock.

A television flickered to life, and a newsreader wearing a bright yellow helmet, announced that there had been explosions at a nuclear power plant a 100 miles away.  In the days and weeks that followed there were extended power outages. People in the Kanto area were advised not to waste electricity. Escalators stopped working at metro stations, lighting in public buildings was reduced to a bare minimum.

Japan's power situation then turned from bad to worse as all its nuclear plants were shut down one-by-one. Import of fossil fuel shot up.

What is the situation now?

The loss of nuclear capacity resulted in a shift in Japan's energy mix toward oil and natural gas. Japan is now the third largest oil consumer and importer in the world behind the United States and China. It also ranks as the world's largest importer of liquefied natural gas (LNG) and second largest importer of coal behind China.

(source - EIA, 2013)

The import comes to about 18 quadrillion (10^15) BTU every year.

How long can this be sustained?



LINKS

- EIA on Japan - http://www.eia.gov/todayinenergy/detail.cfm?id=13711
- EIA on India -- http://www.eia.gov/countries/cab.cfm?fips=IN
- Japan - Rising Trade Deficit -- http://www.bloomberg.com/news/2014-01-26/japan-record-annual-trade-deficit-shows-import-drag-on-recovery.html
- Difference between CNG / LPG / LNG -- http://www.afsglobal.com/faq/gas-comparisons.html




Monday, January 09, 2012

Udon in India's Spaghetti Bowl



In the spaghetti bowl of international trade agreements, India's plate seems to be garnised very 'comprehensively'. We have comprehensive partnerships, comprehensive cooperation, and then those that sit on the fence between cooperation and partnership!

The word seems to be a favorite with governments. But if examined its usage a little more closely, it turns out that even though it sounds very decisive and all-encompassing they don't really mean it.

CECA involves only 'cooperation' towards tariff reduction in a phased manner on all items except those on the 'negative list' and tariff quota rate (TQR) items. On the other hand, the 'partnership' in a CEPA is extra-comprehensive, so it also covers trade in services and investment. 

Here is a summary of such trade agreements from the website of the Ministry of Commerce & Industry (MoCI) and other sources:

  • Comprehensive Economic Partnership Agreement (CEPA) - Sri Lanka (2000); Singapore (2005); Korea (2009); Japan (2011);  Negotiations on with Canada
  • Comprehensive Economic Cooperation Agreement (CECA)  - Thailand (2001), Singapore (2005), Negotiations on with Australia, Indonesia
  • Comprehensive Economic Cooperation and Partnership Agreement (CECPA) negotiations - Mauritius
  • Preferential Trade Agreement (PTA) - Chile (2005); Negotiations on with South African Customs Union (SACU), MERCOSUR
  • Free Trade Agreement (FTA) negotiations - New Zealand, ASEAN, Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC), Gulf Cooperation Council (GCC)
  • Trade Agreements - Pakistan

The most recent CEPA signed between India and Japan is perhaps a case of adding udon to the spaghetti bowl of trade agreements. The pact is expected to provide access to the $5-trillion-GDP Japanese market. It is also the first CEPA with a developed country. About 94% of the tariffs between Japan and India will be eliminated within 10 years (about 97% by Japan and about 90% by India) on a trade value basis.

Given the ongoing recession and slowdown, it is still too early to know if the agreement between both government's will actually lead to a boost in bilateral trade.

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LINKS / REFERENCES

* Dhar, Biswajit (2011): All that the India-Japan CEPA Promises, FT 9 Sep 11, URL - http://www.financialexpress.com/news/all-that-the-indiajapan-cepa-promises/843865/0

* Raghavan, BK (2011): India-Japan CEPA holds great promise, BL 7 Sep 2011, URL - http://www.thehindubusinessline.com/opinion/columns/b-s-raghavan/article2430062.ece

* India-Japan Cepa comes into force on August 1 - HUMA SIDDIQUI, FT 30 Jul 2011 URL - http://www.financialexpress.com/news/indiajapan-cepa-comes-into-force-on-august-1/824406/0

* India-Korea CEPA - http://www.aepcindia.com/files/INDIA-KOREA-CEPA-Website.pdf

* PTI (2011): Ministry team to explain FTA benefits to stakeholders, BL 21 Feb 2011, URL - http://www.thehindubusinessline.com/industry-and-economy/economy/article1477059.ece?homepage=true

* India - Trade Agreements - http://en.reingex.com/India-Free-Trade-Agreements.shtml

* http://www.gktoday.in/bankpo-question-answers/what-is-difference-between-ceca-and-cepa/
* http://www.differencebetween.com/difference-between-ceca-and-vs-cepa/

* Update on India's Foreign Trade - URL - http://commerce.nic.in/tradestats/Indiastrade_press.pdf
* System on Foreign Trade Performance Analysis (FTPA) - http://commerce.nic.in/ftpa/default.asp

* Dept. of Commerce, MoCI-India, URL - http://commerce.nic.in/trade/international_ta_current_details.asp




Wednesday, June 15, 2011

India-Japan CEPA


A few months ago at ADBI Tokyo, an interesting discussion had come up on the merits of bilateral trade agreements. The question was: do trade agreements between two government really have an impact on trade ? The answer was not too flattering for governments... apparently FTA's and CEPA's have only a marginal impact business and trade decisions in the Asian region.

It is nearly four months since a Comprehensive Economic Partnership Agreement was signed between India and Japan (16 Feb., 2011). This was the second such agreement India signed with any developed country (Singapore was the first), and the outcome of five years of negotiations. It is expected to boost bilateral trade from the current level of $10.3 billion to $25 billion by 2014.

Is the India-Japan CEPA translating into an increase in trade between the two countries?

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LINKS:

* Ranjan, Prabhash (2011). INDO-JAPAN CEPA AND SOVEREIGNTY ISSUES. Financial Express, 31 March 2011
* Sharma, Anand (2011). INDIA-JAPAN SIGNS CEPA - TO GIVE IMPETUS TO TRADE AND INVESTMENTS. DARE, 17 Feb 2011
* FE Bureau (2011). INDIA-JAPAN CEPA TO BOOKST BILATRAL TRADE TO $25 BILLION. Financial Express, 17 Feb 2011
* India's Foreign Trade (Ministry of Commerce & Industry, India): February 2011March 2011,
* Official Press Release (MoCI): 16 Feb 2011 - http://commerce.nic.in/pressrelease/pressrelease_detail.asp?id=2732
* World Bank: India's Trade Policy - http://go.worldbank.org/RJEB2JGTC0