Opinion India, China Go
their Own Way in Africa
By Manish Chand
China was a looming shadow at
India's first summit with 14 African countries held in New Delhi
recently that not only revealed the depth and diversity of their
relationship but also provided clues to what could give New Delhi a
competitive edge in the resource-rich continent.
But more than the summit per se that was high on deliverables as well as
symbolism, what attracted attention, bordering on obsession, was the
presumed competition between Asia's two emerging giants in the race for
Africa's resources, specially oil. Comparisons, misleading as they were,
between China's much bigger and grander summit with nearly 40 African
countries in Beijing two years ago were bruited about to underline
India's laggard approach to the continent where China is already
swimming in so much oil and profits.
The debate has not ceased even after a pointed disclaimer by Prime
Minister Manmohan Singh at the end of the summit that India is not in
race with China or any other power in the African continent. Clearly,
conjuring an India-China power game in the African continent is a
seductive theory that sells in the crowded marketplace of ideas. But dig
deeper and one finds a world of difference in the way India and China
deal with the African continent.
A close scrutiny of the ambitious and all-encompassing Delhi Declaration
and the India-Africa Framework for Cooperation - two documents that
emerged from the two-day India-Africa Forum Summit - brings to the fore
a different model for sustainable cooperation with the African
continent. In a seminal sense, the Delhi Declaration outlined a
pragmatic paradigm of the India-Africa partnership in the 21st century
that takes into account winds of change and currents of resurgence in
both sides to script a more equitable world with permanent place for
each other in an expanded UN Security Council and closer cooperation to
spur each other's economic resurgence.
In his inaugural address at the summit, Manmohan Singh stressed on the
intensification of trade and investment, energy security, food security,
capacity building and infrastructure development as key components of
New Delhi's engagement with the continent that stands in contrast with
China's commerce-driven, oil-oriented diplomacy in Africa. The framework
of cooperation has "mutually beneficial economic development" at its
heart and encompasses a broad canvas that includes, among other things,
India sharing its experience and expertise to birth a green revolution
in Africa and closer cooperation in social development and capacity
building.
The tenor and content of these documents are enough to differentiate
India's approach towards the continent. China does not talk in this
language with African countries; it knows how to put money where its
mouth is: oil, extractive resources, lucrative infrastructure projects
that will give a competitive edge to Chinese business in Africa.
Besides, India's promise to be a partner in Africa's resurgence was
reflected in a raft of initiatives announced at the summit that included
granting duty-free and quote-free market access to exports from 34 least
developed African countries and doubling financial package for
development of the continent to $5.4 billion over the next five years.
New Delhi pledged another half a billion dollars for investment in
projects related to capacity building and human resource development and
increased scholarships and training slots for African students.
On the other hand, Beijing's mercantile, profit-driven style of
functioning - flooding African markets with cheap Chinese goods and
bringing in their own labour for projects in Africa that do not generate
local employment - has already crated resentment and backlash from a
section of the African leadership and the African people. Two years ago,
South African President Thabo Mbeki warned African countries against
falling into the trap of China's "neo-colonial" relationship with
Africa.
India, in contrast, has focused on value addition of resources and the
creation of local jobs for the African people. Also, there is a
fundamental difference in the nature of the engagement as China's
approach is state-driven while the private sector leads India's forays
into Africa. Harry Broadman, economic advisor on Africa to the World
Bank, illuminates this difference in approach in an article in the
latest edition of Foreign Affairs. He cites a 2006 study of 450 business
owners in Africa that found that almost half of the respondents who were
ethnically Indians had taken African nationalities, against only 4 per
cent of owners who were ethnic Chinese.
Clearly, there is a huge gap between the level of India's engagement in
Africa with that of China. India's trade with Africa is estimated to be
around $30 billion which is half of that of China's $56 billion in the
continent. China has also struck lucrative energy and infrastructure
deals in oil-rich countries like Sudan, Angola, Mozambique, Nigeria and
Chad. Compared to that, India has a lot of catching up to do in Africa's
hydrocarbons sector.
Aggressive Chinese diplomacy, reflected in whirlwind visits by the top
Chinese leadership to various African countries, and the morally neutral
attitude of the Chinese towards doing business with some oil-rich
regimes in Africa with dubious human rights record, are some of the
reasons that explain Beijing's success in the continent.
In contrast, India chose to take refuge in clichés of non-aligned
movement and Afro-Asian solidarity in the post-colonial cold war world
that created a gap between words and action on the ground. Where the
Chinese were quick to provide hundreds of millions of dollars of aid to
win energy and infrastructure deals, India harped on dated slogans that
were out of sync with the aspirations curve in African countries. Also,
the visits by Indian leaders to African countries were few and far
between. But now that India has embarked on course correction, its
Africa diplomacy is set for a big surge. India's blend of enhanced
developmental package, technology transfers, human resource development
and infrastructure development could prove to be its wining card in the
continent in the long run.
That India is headed on a winning journey in Africa, although it may
take a few more years to make it clear, was evident from the praise
showered by African leaders on India's development-centric approach and
their admiration for India as a rising economic and knowledge power.
Mbeki lauded India for its help in the reconstruction of African
countries and stressed on increased cooperation between the two sides in
the area of the UN reforms. Alpha Oumar Konare, chairman of the African
Union Commission, said India-Africa partnership will help African
countries to achieve their millennium development goals. Democratic
Republic of Congo President Joseph Kabila stressed that the partnership
will help Africa gain "a great deal from India's experience in poverty
reduction, development, micro-credit and the development of the middle
class.
If the string of enthusiastic remarks from African leaders are anything
to go by, the summit has succeeded in not only laying out a firm
blueprint for forging a more contemporary partnership between India and
Africa but also differentiating India's long-term win-win formula in
Africa. But India needs to back up this winning template with some
concrete steps on the ground: more high-level visits by Indian leaders
to African countries, opening of more missions in regions where it is
underrepresented and sustained proactive diplomacy to encourage private
sector to spur its investment in the continent. In the end, it takes two
to tango. The 21st century, as Manmohan Singh said, will be the century
of Asia and Africa, one in which the people of the two continents will
work together to purge the world of its asymmetries and promote a more
equitable world.
(Manish Chand writes on diplomatic and strategic affairs. The views
expressed are personal. He can be contacted at manish.c@ians.in)
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