South Asia is one of the least economically integrated regions in the world, despite its recent burgeoning growth in terms of human capital and commercial engagements. An inter-regional and intra regional integration or cooperation is an essential for achieving economic prosperity as well as social progress and political stability in the specific regions. It is also at the same time important to acknowledge the dilemma of the direction of this progression, the familiar debate between the trade theorists and international relations theorists on the paradoxical conflict-trade linkage. While it is fairly obvious how some of the countries have gained a lot from such regional economic tie-ups in terms of peace rehabilitation or economic prosperity, as is the case with most of the countries of the European Union, It is still not entirely answered how, despite all the efforts of regional cooperation or other trading arrangements like the SAARC (South Asian Association for Regional Cooperation) and SAFTA(South-Asian Free Trade Agreement), South Asia still hasn’t witnessed an active deceleration or slackening of political instability resulting from intra regional or inter regional conflicts. This is evident from the infamous history of political vulnerability and inter-regional conflict that South Asia has faced especially after the partition of India into Pakistan and later into Bangladesh. However, the countries have come a long way from the post-colonial rudimentary state of being and has developed trade relations with its neighbors as well as other nations. Yet, the southern region of the Asian continent has still a long way to go in terms of intra regional co-operation as well as trade with each other, with the advantage of close geographical proximity that could potentially act as the catalyst to this. It is intended to address the shortfalls in the intra regional trade in South Asia with a perspective underpinning India’s commercial relations with its neighbors (focusing on Nepal and Sri Lanka) as well as external threats that could hinder or inhibit the currently existing commercial upper hand of the subcontinent.
Read more at: https://www.youngbhartiya.com/article/intra-regional-trade-in-south-asia-shortfalls-and-challenges
Image Courtesy: Reuters
