Burma: Rangoon strengthens trade ties with India

Rangoon, 24 Nov. (AKI) – Leaders from India and Burma have strengthened bilateral economic ties after top level talks in Rangoon. India’s Foreign Secretary, Shiv Shankar Menon, met Burma’s Deputy Foreign Affairs Minister, U Kyaw Thu, to extend investment pledges discussed earlier this year. Menon’s visit followed agreements endorsed by the second in command at Burma’s State Peace and Development Council, Maung Aye, in Indian capital New Delhi seven months ago.

On that occasion, the two Asian countries that were once part of the British Commonwealth, decided to reinforce economic relations between the western Burmese port of Sittwe and the northern Indian state of Mizoram and the northeast of the country.

The Indian investment plan, worth around 212 million dollars, has been endorsed by the Burmese military junta and foreshadows further development in the region around the Kaladan river.

Burma recently awarded India the right to “build, operate and use” the port of Sittwe, strategically located in the Bay of Bengal, in a 120 million dollar project.

Both countries are interested in having free commercial access to the Bay of Bengal and Burma has agreed to allow New Delhi to invest heavily in the development of several of ports.

Once a strong supporter of the Burmese democratic movement, the Indian government appears to have changed its strategy, reaching more accords with the military junta.

According to official Burmese statistics, total trade between India and Burma is worth around 995 million dollars. India is Burma’s fourth largest trading partner, after Thailand, China and Singapore.

Meanwhile the country is continuing its crackdown on democracy activists.

More than 100 activists were sentenced to heavy jail terms of up to 65 years in the past two weeks across the spectrum of Burma’s pro-democracy movement.

Many of them took part in protests against the ruling junta provoked by fuel and food price rises in August 2007.

Source: AdnKronos.com

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