In
the 18th century, a French social critic and political philosopher,
Montesquieu, thought that commerce improves manners and cures most destructive
prejudices. The concept is now gaining currency that inter-regional as well as
intra-regional trade will lead to peace among nations that have conflicts and
seen many wars.
Two
rival nations will become reciprocally dependent if they negotiate on trade for
mutual gain with interest that it will automatically secure peace. He was
convinced that trade based on mutual dependency satisfies the needs of states
and discourages conflicts.
The
South Asian region has been facing many challenges for long, including
terrorism, border conflicts, energy crisis, population explosion, water
scarcity, climate change, volatile economic growth, poverty, irregular
urbanisation, etc.
Most
of these threats are transnational and are not confined to national boundaries,
which undermines peace and security in the region. There is a dire need for
cross-border cooperation and collaboration among countries as well as regions.
Unless all the countries in the region cooperate to cope with the emerging
challenges and threats to human security through a workable framework, they
will not be able to have a prosperous South Asia and have to face serious
consequences. In fact, traditional methods to address the challenges have
backfired.
Owing
to a lack of connectivity, South Asia is far lagging behind other regions in
the world. It is, however, believed that if countries within South Asia start
cooperating with each other in energy trade (oil and gas), transport,
telecommunications, textile, pharmaceutical and other areas, this will no doubt
bring peace and prosperity in the region. South Asian Association for Regional
Cooperation (Saarc) through its integrated policy approach could be a building
block to bridge the gap among states and achieve targets.
Improved
trade relations among South Asian states will definitely reduce conflicts
between the rivals. For instance, Pakistan going to grant most-favoured nation
(MFN) status to India is a positive step that eases tensions between the two
sides. Now is time for India to facilitate the process.
India
and Pakistan are the largest emerging economies in South Asia and their ties
will definitely have wider implications throughout the region. Friendly
relations between the two will multiply benefits for the whole South Asia and
could be a catalyst for peace in the region.
Strong
ties between India and Pakistan will pave the way for resolving other issues
between them including the Kashmir dispute because of mutual gain, interest and
dependency.
Recent
agreements between Pakistan and China on Gwadar Port and between Pakistan and
Iran on gas pipeline must be appreciated and supported by other countries
including the business community in South Asia in order to create healthy
environment.
India
initially was part of the gas pipeline project in 1999, but in 2008 pulled out
after signing a civilian and nuclear energy deal with the US. Iran has already
expressed interest in expanding the pipeline to China and Bangladesh (according
to Sustainable Development Policy Institute’s economic research bulletin
Nov-Dec 2012).
Inter-regional
trade
As
we have been witnessing that the energy crisis has eaten away most of our
industries, causing huge losses. If South Asia and Central Asia cooperate with
each other, the energy crisis can be overcome because, on one side, South Asia
is an energy-deficit region but has huge potential for growth while on the
other Central Asia is rich in oil and gas.
This
cooperation will prove to be a win-win situation for both as it will bring
economic growth to Central Asian states in the shape of oil and gas revenues
and will help South Asia speed up economic growth and development. By doing so,
both regions will definitely secure peace and prosperity.
In
order to connect South Asia and Central Asia and reap benefits of Pakistan’s
geo-strategic location, Islamabad must develop internal infrastructure,
especially transport and communications facilities. For instance, Pakistan
Railways has huge potential for national and regional trade. So, in a bid to
improve connectivity, a railway network from Wagah to Torkham can serve as a
trade bridge between countries of South Asia and Central Asia.
The
writer is a public policy analyst and consultant at the Sustainable Development
Policy Institute, Islamabad
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