Date: 10/02/2023

Relevance: GS-2: Effect of policies and politics of developed and developing countries on India’s interests, Indian diaspora.

Key Phrases: Initiative on Critical and Emerging Technologies, Defence Framework Agreement, foundational agreements, National Security Councils,

Context:

• The latest agreement between India and the US in the form of the iCET is a follow-through on the announcement made by the leaders of the two countries during the third Quad Leaders’ Summit held in May 2022.

Initiative on Critical and Emerging Technologies (iCET):

• The iCET was conceived as an initiative which will be spearheaded by the National Security Councils of the two countries to expand partnership in critical and emerging technologies.
• The two most prominent aims of the iCET are
  • to elevate and expand strategic technology partnerships and
  • defence industrial cooperation between India and the US.
• In the emerging and critical technologies domain, the iCET envisages an ‘innovation bridge’ with India by joining six of India’s Technology Innovation Hubs to support at least 25 joint research projects in areas such as AI and data science and apply its gains to areas such as agriculture, health, and climate.
• In the defence sector, iCET is expected to bolster cooperation in AI and military equipment.
• For both countries, weaving technology with existing defence and security cooperation reflects a recognition of today’s rapidly shifting geostrategic environment as well as the need to prepare for a tech-centric future.
• This is specifically true for the Indo-Pacific than other regions where one of the most intense competitive one-upmanships is likely to play out with China’s rapid advances in the field and the US determined to maintain a considerable tech gap with China together with its Indo-Pacific partners.
• The iCET also reflects an important characteristic of the emerging tech order in the Indo-Pacific which locates critical and emerging technologies within an environment shaped by issues of design, development, governance, democratic values and human rights.
• Open, accessible and secure technology based on mutual trust, confidence and strong institutions are expected to foster cooperation envisaged within the iCET.
• The iCET is also intended not just as a conduit for critical and emerging technology cooperation but is linked with the broader issues of the Indo-Pacific like mutual trust, confidence and an ecosystem of technological cooperation.

Problem with India-Russia Defence Deals:

• Acquired only the knowhow: Indian engineers and designers acquired only the “knowhow” of methods and procedures required for assembling or building aircraft, aero engines and armoured vehicles from parts or material supplied.
  • We neither asked nor were offered (by the Soviets/Russians) the “know-what” and “know-why” involving the principles and laws that would have enabled us to design and build our own weapon-systems.
• India has remained amongst the world’s largest importer of arms: As a direct consequence of this oversight or lapse, India has remained amongst the world’s largest importer of arms; buying from abroad weapons ranging from rifles and machine guns to battle tanks and fighters, and prime movers from diesel and aero engines to nuclear reactors.

Challenges Ahead:

1. Clearance Problem:
   • Even though ownership of technology in the US may lie with the private sector, the US Arms Export Control Act not only requires clearances from the Departments of State and Defence for (Transfer of Technology)ToT but also imposes certain restrictions on the recipient state.
2. Stiff Resistance From Russia:
   • An unstated but significant, long-term objective of the iCET is, surely, to wean India off its dependency on Russian military hardware.
   • This is likely to face stiff resistance on various grounds from Moscow as well as from domestic quarters, but national interest must prevail.
3. US industry remains firmly focused on trade:
   • While India is in dire need of technology, the US industry remains firmly focused on trade.
   • India will, therefore, need to leverage its considerable purchases in the arms, energy, civil aviation, nuclear and other sectors in a holistic manner to extract technology from the US.

Way Forward For India-US Trade Relations:

• India and the US should focus on lowering non-tariff barriers (NTBs) that businesses in both countries face.
• The two sides should list out the various NTBs, in the form of sanitary and phytosanitary standards, technical barriers, economic needs tests and complex registration requirements that businesses may face and lower them.
• The US government could consider re-instating (Generalised system of preference)GSP benefits for Indian exporters as the withdrawal has only helped other GSP beneficiaries and restoration could actually benefit the American industry using the items as cheap inputs.
• For increasing flow of investments and collaborations, the two sides could try to understand, through discussions at the Trade Policy Forum, how investment rules could be made more attractive.

Conclusion:

• Over the past 60 years, neither the quality of Soviet/Russian hardware nor the product support has ever matched that of its western counterparts, and the disruption caused by the Russia-Ukraine conflict has further aggravate the situation.
• The time has come for India to break free of Russia’s apron strings and regain “strategic autonomy” in international affairs.
• However, we must bear in mind that merely switching from Russian to American military hardware will be a case of “jumping from the frying pan into the fire”. Atmanirbharta must remain our ultimate aim.

Source: The India Express

Mains Question:

Q. The time has come for India to break free of Russia’s apron strings and regain “strategic autonomy” in international affairs. Critically examine the statement. (250 words).