The meeting was held in the context of growing feeling among BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation) member countries that despite its inception in Bangkok in 1997, not much work on the ground has occurred. With some effort, members could have achieved much more.

India has not done too badly for itself within the BIMSTEC. In 2014-15, it sold goods worth $22.33 billion to its neighbours, a growth of 16% over the previous year. Its purchases over the same period accounted for $9.3 billion.

The trend of growth is unmistakable. From an aggregate of $ 25.16 billion in 2005, total trade and business rose to $74.63 billion in 2013-14.

While such figures point to the high economic potential that exists in South and Southeast Asia regions — Thailand and Myanmar provide countries like India and Bangladesh a direct linkage with Southeast Asia — there is a general concern that much more could have been achieved. The BIMSTEC region has a population of 440 million, spread over an area of 1.6 million square kilometers , including Northeast India and North Bengal.

More importantly, economic progress in the East fits in effectively with India’s own Look East initiative, while Thailand has its Look West policy. Thai business delegations have been visiting Assam and other NE states, participating and organising trade fairs and seminars. They have expressed their interest in tourism and food processing industries, to start with.

Originally, the grouping was set up with a view to introduce and improve, existing levels of trade, industries, business , infrastructure, technology transfer, tourism, power environment protection and research, outlined in a 14-point agenda. Despite the undoubted progress made in some sectors, work has not yet started in others.

The main problem with the group is that it has no independent funding. Also, within the region there is very uneven economic growth, which makes the adoption of a comprehensive policy and programme a highly complex business. The absence of China, again means the biggest Asian market cannot be tapped.

On the positive side, BIMSTEC is a far more effective organisation than the SAARC, where Indo-Pak tensions have virtually stalled economic progress in India’s West. Relations among countries in the East and Southeast are far better.

Bangladesh representatives, analysing the feasibility of ready to implement schemes in the short term, have insisted on initiating and completing programmes to improve transport connectivity, building bridges etc, and to establish power linkages as soon as possible. The idea of linking the group’s developmental agenda and programmes in some areas with those of the similarly contemplated bigger BCIM Economic corridor project, is also under examination.

Bangladesh, China, India and Myanmar constitute the BCIM. However, while Yunan province with its capital at Kunming has registered impressive economic growth in recent years, work within the BCIM has been affected by the lack of agreement between India and China over certain issues.

Still, closer interaction among BCIM and BIMSTEC members could well enable China to outsource some of its production to Bangladesh and Myanmar, where labour costs are lower. India could do the same in some areas.

The entire region is very rich in terms of their energy resources. It boasts ample reserves of gas and oil, large deposits of fossil fuel, biomass and hydropower. Solar energy is being developed and Bangladesh has also ordered two nuclear power reactors from Russia. The proposal for a gas pipeline linking BIMSTEC countries was first made in 2004, to be built over the next 20 years. Such a pipeline could certainly help solve increasing power demands in Bangladesh, NE India and parts of Myanmar.

Interestingly, one takeaway from the BIMSTEC grouping has been the growth of bi-lateral trade and business. There is far more business now being conducted between Thailand and Myanmar, Myanmar and India and most importantly, between India and Bangladesh, which is an added bonus. (IPA Service)