Context

• President Droupadi Murmu has said development of infrastructure is a key parameter for the growth of a state. She said,  the ‘Act East Policy’ of the Government of India focuses on the overall development of the North-East Region.

About Act East Policy

• India’s Act East policy is a diplomatic initiative to promote economic, strategic and cultural relations with the Asia Pacific region at different levels.
• It was announced in 2014 to revive and upgrade the earlier Look East policy, which was launched in 1991.
• ‘Act  East’ and its early avatar, ‘Look East’ are not different; they represent two different, but continuing phases in the evolution of India’s policy towards the Asia-Pacific region.

3 Cs of Act East Policy

1. Commerce
2. Culture
3. Connectivity

Initiatives under Act East Policy

• ASEAN-India Plan of action 2020

• Principled position on South China Sea
• Re-energising BIMSTEC 
• India supports Master Plan on ASEAN Plus connectivity
•  ASEAN-India Transit Transport Agreement

Challenges

• High economic dependence of ASEAN countries on China
• India’s withdrawal from RCEP
• Dispute within ASEAN members such as boundary dispute between Myanmar and Thailand.
• Balance of trade is in favour of ASEAN.
• There are significant differences in security establishments and resources. More than tariff barriers, the non-tariff measures (NTMs) act as a major impediment to trade in this region.
• The informal trade witnessed by India on its North-East borders also complicates the matter.
• China administered soft diplomacy to extend its influence by supplying test kits, medical equipment, doctors and experts, and financial aid to ASEAN countries, which were resource deficit amid the pandemic.
• The revival of the Quadrilateral Security Dialogue, popularly known as the Quad, which consists of India, the US, Japan, and Australia has raised concerns about the future role of ASEAN in the Indo-Pacific

Way Forward

• Moving from bilateral exercises to substantive maritime cooperation and logistics interoperability such as Changi Naval base, SIMBEX.
• Increasing economic interdependence by ending protectionism and ramping up domestic capabilities
• Accelerating infrastructure projects like Kaladan.

Leveraging the advantage of India’s space and defence technology.

Reference:

https://newsonair.gov.in/News?title=%26%2339%3bAct-East-Policy%e2%80%99-focuses-on-overall-development-of-North-East-Region%2c-says-President-Droupadi-Murmu&id=450237