Page 2 of
2 The
Indian elephant returns to Africa By Chietigj Bajpaee
trade until as
recently as 1999, India-African trade is now
dwarfed by China's burgeoning trade with the
region, which amounted to $73.3 billion in 2007,
making it the region's third-largest trading
partner after the US and EU. China and Africa have
pledged to bring bilateral trade to $100 billion
by 2010. China's investment in Africa stands at
approximately $8 billion; four times India's
investment on the continent while China's aid to
African countries has often matched that of major
international organizations and Western donors.
Similar to India, China's relations with
Africa have shifted from holding a strong
ideological bias in support of communist regimes
and Marxist insurgencies to being led by market
and resource
considerations. Notably,
China now obtains a third of its oil imports from
Africa, as well as looking to the region for other
raw materials such as minerals and metals. Apart
from resource interests, China's engagement with
Africa has been driven by its desire to isolate
diplomatic recognition of Taiwan, maintain a
peaceful international environment or "harmonious
world" so that Beijing can focus on internal
development needs, prevent humanitarian
intervention in states with poor human rights
records, which may set a precedent for future
intervention in China, exercise leadership in the
developing world, and create a multipolar world.
In achieving these goals China has relied
on both substantive actions and symbolic gestures.
For instance, the Chinese Foreign Minister has
maintained a policy of making his first overseas
visit to Africa every year; the Chinese government
appointed its first special envoy to Africa in May
2007 to address the genocide in the Darfur region
of Sudan, and China hosted the heads of state of
48 African countries at the Forum on China-Africa
Cooperation in November 2006. Since 1990, China
has also deployed troops on 15 UN peacekeeping
operations in Africa, making it the largest
contributor among the five permanent members of
the UN Security Council.
In taking a
holistic approach toward engagement with the
region, China has often overtaken India in Africa.
For instance, India has often lost energy assets
to China as the latter has adopted a more
strategic approach that integrates financial
incentives with aid, infrastructure projects,
diplomatic incentives and arms packages. For
instance, in 2004, China's Export-Import Bank
extended $2 billion in soft loans to Angola, which
led Angolan company Sonangol to support the bid by
China's CNPC (China National Petroleum
Corporation) over that of India's ONGC for a stake
in an offshore block.
Aside from India and
China's growing role in the region, the United
States has also been increasing its presence in
Africa. It is estimated that African crude will
account for a quarter of the United States' oil
imports by 2015. On the security front, the US
established the United States Africa Command
(AFRICOM) in October 2007, which will be fully
operational by September 2008.
A new
framework for engagement India is finally
developing a "Look West" policy to complement its
"Look East" policy. India's rediscovery of Africa
has been fueled by its pragmatic concerns, namely
meeting resource needs. However, this pragmatic
relationship continues to be embedded in shared
culture and history. In addition to this, a string
of shared strategic concerns have brought India
and Africa closer together, including the need to
address shared security threats emanating from
maritime piracy, terrorism, health epidemics such
as HIV/AIDS, climate change and food security.
Nonetheless, India is keen to distinguish
its role in Africa from Western states, which were
seen to be exploiting the region's people and
resources. In his opening address to the first
India-Africa Forum summit, Manmohan noted that the
India-Africa partnership is "anchored in the
fundamental principles of equality, mutual respect
and mutual benefit". Indian Junior Minister for
External Affairs Anand Sharma has also noted that
"India's engagement with Africa is time tested,
different and cannot be compared to any other
country."
Meanwhile, China has been
accused of fueling the region's instabilities by
forming close relationships with pariah regimes
such as Sudan, Zimbabwe and Angola, and selling
arms to the region. China has also been accused of
extracting resources from Africa without
benefiting the region's people and undermining the
local environment. The World Bank has noted that
Indian companies generally have a better record
than Chinese companies in Africa, with the former
employing more locals that then latter. Sharma
stated that "the first principle of India's
involvement in Africa is unlike China. China says
go out and exploits natural resources, our
strategy is to go out there and add value."
Nonetheless, India's engagement with
Africa has not been without controversy. Notably,
there is a long-established history of labor
unrest between ethnic Indians and indigenous
Africans in countries such as Kenya and Uganda.
For instance, on October 11, 2007, Indian
steelworkers were abducted in Nigeria over a pay
dispute with union members. India also engages
with many of the region's same unsavory regimes
that China does.
Notably, Indian firm OVL
has a 25% stake in Sudan's Greater Nile Oil
Project while India's trade with Zimbabwe amounted
to $40 million in 2006. So far, India vhas avoided
the international scrutiny that China has incurred
over its policies in Africa although this is
likely to change as it steps up its engagement
with the region.
Conclusion Africa remains
vulnerable to instabilities ranging from piracy to
terrorism, inter-state and tribal conflict, AIDS
and political instabilities. Given the weak
governments and significant Muslim populations of
the region, the African continent is also a
potential hub for Islamic extremism and terrorism.
Finally, oil-rich countries in Africa have been
unable to escape the "curse of oil", which has
fueled corruption, conflict and environmental
degradation across the region. Adding "great
power" competition to this volatile mix could
further destabilize the region.
Africa's
most prominent Indian, Mahatma Gandhi, who lived
in South Africa between 1893 and 1915, observed
that "the commerce between India and Africa will
be of ideas". Speaking at the opening of the first
India-Africa Forum Summit this month, Manmohan
noted this was a "new chapter in the long history
of civilizational contacts, friendship and
cooperation between India and Africa" with the
goal of achieving "economic vibrancy, peace,
stability and self-reliance". He added that he
wished to see the 21st century as the "Century of
Asia and Africa with the people of the two
continents working together to promote inclusive
globalization".
It remains to be seen if
India's re-engagement with the region will be
based on a new framework or follow a similar
pattern taken by other external powers that fuels
the region's instabilities.
Chietigj
Bajpaee is a research analyst for Asia in the
Country Intelligence Group at Global Insight.
Prior to this he worked at the Center for
Strategic and International Studies in Washington
DC, the London-based International Institute for
Strategic Studies, and for a New York-based risk
management company. The views expressed here are
his own. He can be reached at
cbajpaee@hotmail.com.
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