Minister for External Affairs S. Jaishankar on Monday said that India would be exploring more “collaborative possibilities” with the US once the Donald Trump-led administration takes over.
Addressing the CII Partnership Summit 2024 on the theme of ‘India and the World,’ S. Jaishankar said: “The advent of the second Trump Administration is also obviously a major consideration in business circles. Obviously, the only safe prediction is a degree of unpredictability. Different countries have had their own experiences from the first Administration and would presumably draw from that to approach the second. Where India is concerned, I can state with confidence that the strategic convergences with the United States have only grown deeper with time. They have created a larger environment in which more collaborative possibilities can be explored.
“Naturally, between two major economies, there will always be some give and take. When we look at economic or technology domains, the case for trusted and reliable partnerships have actually increased in recent years. A lot of what lies ahead would be in fashioning terms of engagement that are perceived as mutually beneficial. And in that regard, the more that India can bring to the table, the stronger our appeal.”
He also said that economic re-balancing has started to acquire strategic connotations with the US-China friction assuming a salience that could not have been envisaged, just a few years ago.
The Ukraine conflict has created its own ripples, reflected in food, fuel and fertiliser insecurities. The Global South is also feeling the brunt of inflation, debt, currency shortages and trade volatility. In short, the world looks a tough place. And tough situations call for more friends and partners, S. Jaishankar said.
He further stated that in any economic conversation, FTAs inevitably arise as a possible avenue of partnership.
“There is much truth in that, but equally, grounds for some caution. A low per capita income country with small producers will have a natural reticence about excessive external exposure. This is all the more so if that exposure is to unfair, subsidised and large-scale competition. The nature of commerce and supply chains in the world is such that orthodox precautions are not always adequate. Yet, it would be unwise to forego opportunities and limit access. The working principle, therefore, has to be one of proceeding with caution,” the Minister observed.
S. Jaishankar said that in recent years, India has progressed with the EFTA nations, UAE, Australia and Mauritius. Some major agreements are under discussion. In a world under churn, such endeavours will naturally occupy greater mind space, he added.
Partnerships are also increasingly cognisant of demographic challenges. The mismatch between the demands for skills and its availability is actually going to increase sharply, even in this decade itself. We, in India, have noted that mobility has steadily emerged on the global agenda as an area of cooperation.
Societies that were historically resistant are now moving to have a second look, the minister added.
At the same time, he pointed out that there was a flipside as well that needs to be appreciated.
“We are seeing a trend in the proliferation of Global Capability Centres in our country. In many ways, they have an efficiency and a sensitivity which addresses contemporary needs. ‘In source’ from India may well become the new mantra,” he remarked.