top of page

By:

Hridbina Chatterjee

29 August 2024 at 10:13:30 am

The Northeast Powers the Indo–Thailand Partnership

As India’s ‘Act East’ converges with Thailand’s ‘Act West’, the Northeast is evolving from a distant frontier into the strategic hinge connecting the Bay of Bengal, ASEAN and the wider Indo-Pacific economy. The geopolitical landscape of the Indo-Pacific is witnessing a structural convergence where India’s long-standing ‘Act East’ policy directly aligns with Thailand’s strategic ‘Act West’ reorientation. Historically viewed as separate diplomatic trajectories, these two frameworks have unified...

The Northeast Powers the Indo–Thailand Partnership

As India’s ‘Act East’ converges with Thailand’s ‘Act West’, the Northeast is evolving from a distant frontier into the strategic hinge connecting the Bay of Bengal, ASEAN and the wider Indo-Pacific economy. The geopolitical landscape of the Indo-Pacific is witnessing a structural convergence where India’s long-standing ‘Act East’ policy directly aligns with Thailand’s strategic ‘Act West’ reorientation. Historically viewed as separate diplomatic trajectories, these two frameworks have unified into a functional, outcome-driven partnership. What was once a diplomatic aspiration is increasingly becoming an economic reality. At the absolute centre of this cross-border integration sits Northeast India. For centuries, the Northeast has served as a natural bridge between the Indian subcontinent and mainland Southeast Asia through trade routes, cultural exchanges and the spread of Buddhism. Colonial-era partition, followed by the geopolitical disruptions after India’s Independence, progressively converted this historic crossroads into a peripheral frontier. Long regarded as a sensitive, landlocked frontier, the ‘Ashtalakshmi’ region comprising India’s eight northeastern states is rapidly transforming into a highly strategic, land-linked gateway. This shift is being accelerated by Thailand’s calculated pivot towards South Asia to diversify its economic dependencies and secure alternative supply chains amid sharpening US-China competition. India’s Look East Policy, launched in the early 1990s after economic liberalisation, recognised the importance of reconnecting with Southeast Asia, but inadequate infrastructure and security concerns limited its impact on the Northeast. The transition to the more action-oriented ‘Act East’ policy reflected the understanding that connectivity had to be backed by roads, logistics, digital infrastructure and sustained diplomatic engagement. Thailand’s parallel westward outreach has finally given that vision a natural strategic partner. By establishing a Comprehensive Strategic Partnership with India, Thailand is undertaking an economic reorientation - from simply engaging in traditional bilateral trade with India to intentionally accessing the vast Bay of Bengal market through BIMSTEC’s institutional framework. Bangkok’s vision is to create a prosperous, resilient and open regional ecosystem, as laid out in Thailand’s ‘Bangkok Vision 2030’. This strategic outlook clearly indicates that connectivity through Northeast India will be central to achieving this objective. As a result, the region is transitioning into an industrial, logistics and resource anchor that directly connects maritime and continental value chains spanning the Indian Ocean and the Mekong sub-region. Economic Corridors The region’s physical infrastructure reflects this strategic alignment and has been shaped by the demands of a changing global economy. The implementation of multi-modal economic corridors, particularly the India–Myanmar–Thailand (IMT) Trilateral Highway, has begun to reshape the economic geography of Southeast Asia. The importance of overland connectivity has become even more apparent after repeated disruptions to global shipping, be it the Covid-19 pandemic to the Red Sea crisis and growing geopolitical tensions in the Indo-Pacific. By linking Moreh in Manipur to Mae Sot in Thailand via Myanmar, this integrated overland corridor creates new opportunities to bypass vulnerable maritime choke points and offers a land-based complement to the heavily congested Siliguri Corridor. If completed and secured, the corridor could fundamentally alter freight movement between South and Southeast Asia. The resulting intermodal transport network positions the northeastern states as platforms serving both India’s domestic economy and ASEAN-connected markets through expanded warehousing, manufacturing and processing capabilities. Alongside physical infrastructure, digital and financial integration is creating a more seamless cross-border business environment. The growing internationalisation of India’s digital public infrastructure, particularly the real-time Unified Payments Interface (UPI), represents a significant economic enabler. As India and Thailand move towards local-currency trade settlements and greater digital payment interoperability, Northeast India’s MSMEs gain direct, low-cost financial access to their Thai counterparts. This reduces transaction costs for regional entrepreneurs, making cross-border e-commerce, agricultural trade and handicraft exports commercially viable for communities that have long remained outside formal international banking networks. Industrial Synergy Northeast India’s emerging economic opportunity also stems from its growing importance as a mineral and industrial hub. Government exploration has identified significant deposits of critical minerals including lithium, cobalt, nickel and rare earth elements that will be indispensable for the global energy transition. Thailand possesses advanced industrial capabilities in electric vehicles (EVs), robotics and high-value electronics, making its manufacturing ecosystem highly complementary to the Northeast’s resource base. This creates the foundations of a closed-loop value chain: raw materials and semi-processed inputs from Northeast India can feed Thai manufacturing, while Thai capital, technology and industrial expertise can help establish local processing facilities within the region. Such collaboration would enable the Northeast to move beyond merely exporting raw materials and instead capture greater value within global supply chains. The result would be higher-skilled employment and stronger industrial capabilities for the region’s young workforce. Another major opportunity lies in agriculture and food processing. Northeast India possesses substantial untapped potential in organic farming and already produces premium cash crops, exotic fruits and traditional spices. Thailand’s globally recognised expertise in food processing technology and supply-chain management makes the region an attractive sourcing destination. Joint ventures in agro-processing facilities within the Northeast’s Special Economic Zones are creating opportunities for local farmers to capture greater value from their produce. By meeting Thai processing standards, producers will increasingly be able to export finished consumer products directly to Southeast Asian retail markets instead of shipping low-value raw commodities. This shift from commodity exports to value-added manufacturing represents one of the most important drivers of sustainable regional prosperity. Regional Stability The Northeast is also benefiting from expanding tourism links. Increased air connectivity between Northeast India and Southeast Asia, coupled with visa-on-arrival arrangements, is strengthening two-way travel. Visitors from Southeast Asia are drawn by the region’s shared civilisational, cultural and religious heritage, particularly its Buddhist traditions and indigenous cultures. Simultaneously, the region is expanding its wellness and medical tourism infrastructure by combining traditional knowledge systems such as Ayurveda with modern healthcare facilities. This blend of heritage, wellness and affordability offers the Northeast a distinctive niche within Asia’s rapidly growing tourism economy. Beyond economics, the deepening strategic alignment contributes to greater regional stability. Decades of economic isolation left the Northeast vulnerable to illegal migration, cross-border trafficking and localised insurgencies. As communities become integrated into formal international trade networks, economic incentives increasingly favour stability over illicit activity. Dedicated central government funding for border infrastructure and village development through 2029 seeks to transform frontier settlements into vibrant economic nodes rather than neglected outposts. As legitimate commerce expands, illicit economies are likely to become progressively less attractive. The convergence of India’s ‘Act East’ and Thailand’s ‘Act West’ policies has evolved into a substantive geopolitical reality. Shared strategic vulnerabilities and complementary economic strengths have led both countries to recognise that resilient Indo-Pacific connectivity runs through the Bay of Bengal. BIMSTEC has increasingly emerged as the institutional bridge linking South Asia and Southeast Asia at a time when older regional arrangements have struggled to deliver meaningful economic integration. In that sense, the India-Thailand partnership extends beyond bilateral diplomacy by contributing to shaping a more balanced and resilient architecture for the wider Bay of Bengal region. Northeast India, once perceived as a distant frontier, is steadily emerging as the continental pivot connecting South Asia with Southeast Asia. The true measure of this transformation will be whether the Northeast becomes the indispensable corridor through which the Indo-Pacific’s next phase of economic integration is built. (The author is a policy analyst with an M.A. in International Relations from Jadavpur University, Kolkata. Her works explore South Asian geopolitics with an emphasis on the strategic significance of India’s Northeast. Views personal.)

Ajit Pawar dreamt big for Baramati

Mumbai/Pune: Shunned as a dry and drought-prone sub-district of Pune on the Deccan Plateau barely five decades ago, Baramati today symbolizes one of Maharashtra’s most striking examples of systematic rural transformation with the lion’s share of credit going to the state’s numero uno Sharad Pawar clan.

 

The prime activity of farming thrives here, cooperatives flourish, industries are booming, education soars and the infrastructure is envied even by many developed urban centres.

 

Little wonder that the Pune region ranks lowest in terms of farmers suicides – in 2024, there were only 24 deaths, as per official data, said Vidarbha Jan Andolan Samiti President Kishore Tiwari, who has chronicled distress in farmlands of the state for three decades.

 

“The Pawars ensured that the region got adequate funds, irrigation, power and other planned facilities that helped the farmers immensely… We wish all other districts in the state to emulate this example, especially Vidarbha which is regarded as the farmland suicides hotbed,” Tiwari told The Perfect Voice.

 

Though the foundations of the sea-change was laid by Sharad Pawar, later it was his nephew Ajit Pawar who architected his uncle’s long-term vision to reality through untiring efforts, single-minded dedication and tough groundwork for over four decades to achieve what is the famed ‘Baramati Model’.

 

As several lakhs of mourners turned up from all over Western Maharashtra and other places to bid a final adieu to Ajit Pawar on Thursday (Jan. 29), many were seen weeping, crying and wailing, and some expressed concerns for the future of Baramati and Pune district – in the absence of their active ‘messiah’.

 

While Sharad Pawar laid the ground-map for Baramati, Ajit Pawar implemented it by ensuring that government policies, big and small projects and different schemes not only reached the region but tangibly changed the lives of the locals.

 

As he grew in politics and entered governance in various positions, Ajit Pawar quickly grasped how the official machinery worked, and along with his stern approach, fiscal and administrative discipline plus knowledge of his home turf, he kickstarted the evolution of Baramati and surroundings.

 

Way back in 2009, when he was not even a Deputy CM, Ajit Pawar told a group of visiting journalists from Mumbai his dreams of catapulting Baramati onto the world map in various aspects of a model of rural-led development and progress that touched each citizen.

 

For this, he persistently advocated the upgradation of the small Baramati Airport, built by the MIDC in 1996, having a short runway (1770 metres long x 30 metres wide), where his ill-fated aircraft crashed on Wednesday morning. The airport is mostly used for small aircraft operations and training purposes.

 

Former Chief Minister Prithviraj Chavan under whose tenure Ajit Pawar first became the Deputy CM, said that “he was a rare politician, a young visionary, dynamic and decisive, passionately pro-farmer and supportive of the cooperative sector”.

 

“When I was CM and he was the Deputy CM, he helped me take many tough decisions in the public interest. He was a sure-shot to lead the state (as CM), sooner than later. We have lost a great national-level leader whom coming generations would emulate,” Chavan told The Perfect Voice, acknowledging Ajit Pawar’s contributions to the state.

 

Baramati Effect

A local party activist, Milind Jadhav recalled how, when the Nationalist Congress Party (NCP) founded by Sharad Pawar suffered a vertical split in July 2023, “every home and family in Baramati was splintered”.

 

“All the people were at a loss to decide whom to support in the ‘kaka-putnya’ political war, particularly during the 2024 Lok Sabha and Assembly elections. Thankfully, the politics was strictly kept at bay from Baramati’s development and also the Pawar household, he said.

 

Despite the political wranglings, Ajit Pawar visited Baramati at least once a week, reviewed important proposals, funds and expenses, status reports and other minute details, at times, showing more insight than the officialdom, was a stickler for the ‘ghadi’ (watch), often jumped up for unannounced site visits that rattled the officials.

 

The Baramati Industrial Development Corporation – part of the MIDC – came into existence in 1962 under Sharad Pawar, but under Ajit Pawar it spread wings to come up as an ideal industrial zone. National and international companies like Kalyani Steels, Bharat Forge, Godfrey Phillips, SMT Ltd. Imsofer, Schreiber, Piaggio, Ferrero, Senvion, India's first wine factory at Narayangaon (1982), and later proliferated to Nashik.

 

Simultaneously, the western Maharashtra’s agriculture backbone of sugarcane, grapes, jowar, wheat and cotton support many of the top performer cooperatives in the region and the Baramati Hi-Tech Textile Park (established in 2008 through Sharad Pawar’s efforts), support domestic apparels industry creating jobs and prosperity.

 

Strong background support comes from institutions like Agriculture Development Trust, several agriculture colleges affiliated to major agriculture universities, all combining for activities like modern farming techniques, entrepreneurship, water conservation, women’s education and empowerment, health-care besides skill development and upgradation.

 


Comments

bottom of page