The first ever visit of an Indian prime minister to Brazil in 14 years will catapult bilateral relations to a new high and pave the way for a partnership that is strategic and beneficial
When Portugal's Pedro Alvares Cabral set off for India, he discovered Brazil instead, and the country became an important Portuguese colony and stop-over in the long journey to Goa. Centuries later, Prime Minister Manmohan Singh is all set to visit the Latin American country, not by chance, but to rekindle old ties with Brazil on September 12.
Manmohan's Brazilian visit will mark the beginning of a new chapter as he meets Brazilian President Luiz Inacio Lula da Silva for an extended bilateral dialogue, followed by the first ever India-Brazil-South Africa (IBSA) summit in the Brazilian capital Brasilia. Besides catapulting the political relationship with Brazil to a new level, Manmohan's visit will also have some big-ticket announcements, which will underscore the multifaceted engagement that India now has with Brazil.
The prime minister will be accompanied by Commerce Minister Kamal Nath and Minister of State for External Affairs Anand Sharma, besides a delegation of senior officials, including National Security Adviser M.K. Narayanan. Manmohan will meet Lula in the midst of the Brazilian President's election campaign-ahead of the polls which are scheduled for October 1-but will have a wholesome meal in terms of the substantive agenda, which includes more than half a dozen agreements and Memoranda of Under-standing (MoUs) on areas such as science and technology and air services between India and Brazil.
With bilateral trade pegged at close to $2.3 billion (Rs 10,610 crore), Brazil is India's biggest trading partner in Latin America. In the last six months alone, bilateral trade has grown by 480 per cent and many Indian companies are now entering the Brazilian market. ONGC acquired a stake in a Brazilian oil block BC 10, and Indian companies such as TCS and Biocon have set up sizeable units there. Bajaj Hindustan recently announced the setting up of a subsidiary in Brazil. Manmohan and Lula will discuss the entire spectrum of the bilateral relationship, expansion of bilateral trade being a key theme.
Manmohan is expected to announce the setting up of an Indian cultural centre in Sao Paulo, and a joint committee to explore defence co-operation. The two sides might also announce the appointment of defence attaches in their missions in Brasilia and Delhi. An important element of the trip is that Brazil is currently the chair of the 44-member nuclear suppliers' group, a nod from which is essential for any nuclear commerce with India. Manmohan is expected to solicit Lula's support in building a consensus in the group, which is important for the Indo-US nuclear deal. Once the agreement is in place, there will be scope for nuclear co-operation between India and Brazil.
The visit will synergise India's political relationship with Brazil, which is on an upswing, especially since both the countries are on board the G-4 and are aspirants for permanent seats in the UN Security Council. The two sides will explore security co-operation. There have been many high-level visits between India and Brazil in the last six months-close to a dozen Indian delegations have visited Brazil. "There has been a turnaround in the bilateral relationship. The intensity of visits points to the fact that the relationship has become multidimensional and Brazil fares high on the strategic radar of India," says R. Vishwanathan, joint secretary, Latin America, in the Ministry of External Affairs.
The first step after the visit of President Lula to India in 2004 as the chief guest on Republic Day, Manmohan's visit will lay the foundation for what is poised to become an enduring strategic relationship. While in Brazil, the other significant event for Manmohan would be the IBSA summit on September 13, where an agreement aimed at boosting trade between India, Brazil and South Africa is expected to be reached. The group, formed after the World Trade Organisation's (WTO) Cancun talks in 2003, aims to foster closer political, economic and cultural ties among the three countries, which have taken co-ordinated positions on a number of international issues.
"India has started focusing on the hitherto neglected Latin America. IBSA has worked well for all three countries. It has given us bargaining power at the WTO on helping us realise our economic goals of liberalising trade in agriculture without trade-distorting subsidies," says former foreign secretary Shashank, who was closely associated with the formation of the IBSA.
On the talks menu of the IBSA summit are United Nations reforms, besides the issue of terrorism, peace and security. Economic diplomacy will be a key driver and the IBSA countries aim to reach a three-way trade target of $10 billion (Rs 46,000 crore) by 2007. The event will be preceded by a summit of corporate honchos from the three countries. Close to 50 businessmen from India alone will attend the summit. "The prime minister's visit will strengthen economic ties with Brazil and South Africa. Our businessmen will be keen on co-operation in manufacturing, automobile, pharmaceuticals and it," says Ajay Khanna, CEO, India Brand Equity Fund.
However, analysts here believe that the three countries need more inter-personal exchange and people-to-people contacts. Closer ties with a major player in Latin America will provide India with a strategic edge, especially at a time when its neighbour China is focusing heavily on the region. The Foreign Office is working on a Focus LAC strategy and the prime minister's visit is an important milestone. It is essential to ensure that enough political capital is infused in the Brazilian samba to make it a model partnership for other Latin American countries to emulate.
BOX 1
BRAZILIAN SAMBA
Despite the geographical distance, India and Brazil have forged a strategic bilateral relationship within a short span of time. It is set to be further expanded.
Prime Minister Manmohan Singh will sign agreements on civil aviation, science and technology. Five MoUs are expected.
Expanding trade ties with Brazil, Latin America's biggest economy and India's biggest trading partner in the region, will be a key driver in the summit. Bilateral trade has touched $2.3 billion and registered a 480% growth in the first six months of 2006.
Manmohan's trip is a continuation of high-level engagement. Minister of Commerce and Industry Kamal Nath and Agriculture Minister Sharad Pawar are among the dozen-odd ministers who visited Brazil since the UPA government took over.
Cultural links will be strengthened. India will announce the opening of a cultural centre in Sao Paulo, and will celebrate the Festival of India in Brazil.
Defence
Joint defence council to be set up. Defence attaches to be appointed to enhance co-operation.
Biotech
Biotech emerging as an area of co-operation. Major Indian companies have set up shop in Brazil.
Agriculture
Revival of agricultural ties. Agreement on co-operation in the field of agriculture.
Energy
MoU between ONGC and Petrobras. Potential for co-operation in nuclear and hydro power.
BOX 2
NAM SUMMIT
Castro's Last Hurrah
For Prime Minister Manmohan Singh, the pilgrimage to Fidel Castro's Cuba, the Mecca of Leftist regimes, is a balancing act on his foreign policy choices. The prime minister and his entourage will touch down in Havana on
September 14 for the 14th Non-Aligned Movement (NAM) summit of the 116-member group, the largest only after the UN. While Castro's illness has dampened spirits and his brother Raul is expected to chair the summit, diplomatic signals from Havana indicate it may be the last NAM summit Fidel Castro is hosting, though he may just make a guest appearance. The summit, to be held on the 15th and 16th, may see bilaterals hogging the limelight.
For Manmohan, already under a line of fire from the Left allies for his economic and foreign policy, the pilgrimage to Cuba is not just a means to silence his critics who feel he is tilting towards the US. It is also to reinforce the point that India, one of the founder-members of NAM, has not drifted away from its traditional position. Officials say Manmohan is expected to take advantage of the occasion to raise the issue of global terrorism and how NAM needs to reinvent itself in line with changing geopolitical realities.
Many in South Block had questioned Manmohan's decision to go to Havana skipping the UN General Assembly in New York, considering that India has fielded Shashi Tharoor as its candidate for the UN secretary-general's post. However, as the race narrows down, officials say it may not have been a bad choice. With Jordanians fielding a candidate and with some more prominent names in the running, it seems the prime minister chose to opt out to avoid any embarrassment.
A big draw of Havana is expected to be Manmohan's meeting with Pakistan President Pervez Musharraf. Although familiar sound bites are expected, Manmohan will put Pakistan on notice on the issue of terrorism. If all goes well, the stalled dialogue will be back on track. Playing a moderate, the prime minister will make the right political noise in Havana. On the whole, his NAM sojourn, low on substance, is more about being politically correct.India Today