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STRATEGIC PARTNERSHIP

THE FIFTH EUROPEAN Union-India annual summit at the Hague marks a highpoint in bilateral cooperation, with leaders calling for revitalising joint initiatives to strengthen multilateral institutions. The formal endorsement on Monday of the E.U.'s Strategic Partnership with India is recognition of this country's vibrant democratic institutions, growing economic power, and increasing clout on the regional and international stage. It is significant that India is only the fifth country — besides the U.S., Canada, Russia, and China — with whom the E.U. has established such an equation. Against this background, progress on an agreement for India to participate in the E.U.'s Galileo global positioning system was only to be expected. India has long desired a role for itself in this prestigious satellite navigation system given its extraordinary potential for scientific research. The benefits to the transport and entertainment sectors make participation in the programme even more attractive. The establishment of an Energy Panel to explore India's participation in developing fusion energy has also been finalised. While endeavours to explore non-conventional energy sources are important, such technology must be deployed strictly for civilian purposes and with scrupulous regard for norms of public health and safety. Given India's expanding global influence, it is no coincidence that the question of a permanent seat on the United Nations Security Council should have figured on the sidelines of the summit.

The strategic partnership to be launched in January 2005 is a culmination of a steady enhancement of relations from trade and investment to wider political issues over the years. The E.U. continues to be India's largest trading partner and source of foreign direct investment. But there is recognition on both sides that the volume of trade and investment remains below potential: India is only the E.U.'s 14th trading partner. Differences persist with regard to trade barriers, market access, protection for intellectual property, and subsidies. The Joint Initiative on Enhancing Trade and Investment (2001) and the Trade and Industrial Development Programme (2003) are expected to facilitate India's integration into the global economy. At the same time, partnership in the areas of development cooperation, science and technology and education has witnessed substantial progress.

Relations between India and the European Union have been characterised by shared values of democracy, secularism, multiculturalism, and decentralisation. Over the years, both partners have leveraged this common ground to evolve positions consistent with international law. In addition, joint initiatives in the areas of conflict prevention, sustainable development, fight against terrorism, and non-proliferation of weapons of mass destruction have been the hallmark of E.U.-India summits. The commitment reiterated at the Hague to combat terrorism, with an emphasis on respect for human rights, fundamental freedoms, and the rule of law, is especially welcome. This is a clear recognition that the roots of terrorism cannot be wiped out unless its specific causes are addressed. India has achieved relative success in balancing the competing claims of different nationalities and ethnic groups within the framework of a federal union. The E.U., on the other side, has made a commendable progress in achieving a kind of confederal unity among different nation states. While uneven development and unequal distribution of growth pose major challenges to India, the E.U. is beset with new problems following the May 2004 enlargement that has brought on board the former East European states. There is a great deal that India and the European Union can learn from each other's experience.

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