The ensuing visit of Prime Minister John Key to India could not have been better timed. With a Free Trade Agreement getting closer to reality barely within four years after it was initiated (a record, really) and the increasing importance of India as a global economic powerhouse, New Zealand would do well by getting closer to the Asian giant.
Mr Key would undoubtedly achieve a few political scores with his affable approach but his ability to wade through a number of sensitive issues will be put to test during official talks with his Indian counterpart Dr Manmohan Singh.
These would include tariffs on New Zealand’s agricultural and dairy exports, nuclear free stand and its diplomatic silence on India’s quest for permanent membership to the UN Security Council.
If size alone mattered, New Zealand would perhaps be far below India’s international radar but Dr Singh and his Government realise the importance of this country, not only in the South Pacific but also internationally.
Apart from being the closest ally and most significant trading partner of Australia (as that country’s Prime Minister Julia Gillard recently declared, “New Zealand is Family”), Wellington has been punching above its weight on regional and international issues.
It is to the credit of successive Labour Governments, beginning with the late David Lange and continuing with former Prime Minister Helen Clark, that India was accorded a place of significance in New Zealand’s international diplomacy. It is also to the credit of Mr Key and his Trade Minister Tim Groser, who have worked to close gaps and promote a stronger working relationship and expanding bilateral trade and investment.
While Wellington’s seriousness to get closer to New Delhi has been demonstrated on a number of occasions in recent years, there has been a new sense of realisation among India’s leadership over the role that New Zealand can play towards the achievement of its goals and aspirations.
India is keen to have a significant presence in the South Pacific and looking through the ‘Wellington Window’ would work to its advantage. Such goals are achieved by subtle and shuttle diplomacy, of which New Delhi is a master.
In its bilateral and socio-political approach, India will also view New Zealand’s closeness to China, orchestrated partly by the recent Free Trade Agreement and partly by historic relationship. Beijing has taken a series of steps in recent years to consolidate the relationship, not the least of which is direct air links facilitating increased frequency of travel by businesspersons and investors from either country. There exists an ‘Open Sky Policy’ between New Zealand and India, which is largely seen as a meaningless proposition with no serious intention.
While Mr Key will undoubtedly open a new bilateral chapter with India, there is a pronounced need to look into other areas of cooperation, the most important of which would be tapping the enormous student potential.
That is the subject of our next Leader below.
