CUTS International Washington DC Center
Monthly Brief #68, November 2023
2+2 Ministerial Dialogues: Shared Visions, Shared Futures
 
In the month of November, India hosted two 2+2 ministerial dialogues with two Quad partner countries – first with the U.S. and then with Australia.
 
With the Americans, this was the fifth 2+2 Ministerial Dialogue and it successfully captured the curiosity of the global community, ratchetting the bilateral ‘comprehensive global strategic partnership’ between the two large democracies. However, one hopes that in future, this would become a 3+3 dialogue encompassing the trade ministers as well, as trade is intrinsically linked to both foreign policy and defence policy. The same formula should also be applied to Japan, Russia and Australia with whom we have similar arrangements.
 
With Australia, the second edition of the 2+2 ministerial dialogue focussed on enhancing collaboration in the Indo-Pacific region and the Quad. Among other strategic areas discussed, it included their commitment to assist the Palestinian civilians in Gaza with all possible humanitarian needs.
 
Buttressing the U.S.-India strategic partnership, we organised a day-long dialogue titled, “Deliverables to Deliveries” under the ongoing Defense News Conclave: Stories of U.S.-India Defense and Security Partnership Project supported by the U.S. Government in Mumbai on November 21, 2023. This workshop focussed on two themes, namely, U.S.-India Cooperation in Next-Level Warfare and the Significance of U.S.-India Naval Collaboration.
 
Next in line, and fourth in a series of workshops is scheduled for Hyderabad on January 05, 2024.
 
Furthermore, as we approach the most-awaited environment-related platform of this year – COP28, and understanding that there is no Planet B! And our Earth is only careening toward a climate and biodiversity disaster. Governments are acting too slowly to cope with the twin issues and the officials find it difficult to even think of ways to raise and/or design a way forward.
 
Hence, we as a focussed CSO with a human-centric approach, propose that we need innovative agnostic finance solutions with a clear implementation strategy that does not fall prey to political vagaries and COP28 is a good start! And also, to add biodiversity to the platform and approach it as a common issue.
 
Considering the fact that the rich world, having created most environmental problems due to their bad consumption and production patterns, do not keep their promises, we need to think of impactful and innovative agnostic finance solutions to address the challenges of funding climate change and biodiversity actions.
 
If you or your friends are attending COP28 in Dubai, please do participate in our event on December 10, from 15:00 to 16:00 hours at the ICC Pavilion, ICC Partner Stage. We had another event on Saturday, December 09, from 11:30 to 13:00 hours in SE Room 8.
      
Pradeep S. Mehta
Editor

P.S.: Can the agreement on the Loss and Damage Fund be crafted and operationalised in an equitable manner now? Or will the major polluters not walk the talk during the ongoing COP28? People all over the world have huge expectations and the next 12 days are very significant to all of us.
 
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This is the sixty-eighth edition of the Monthly Brief from the Center, which carries select published news or comments on a relevant issue. There are equally important issues which may have been missed out to keep the Monthly Brief short and swiftly readable.
 
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U.S. emerges as India's biggest trading partner; China at second position
The U.S. has emerged as India's biggest trading partner in 2022-23 on account of increasing economic ties between the two countries. According to the provisional data of the Commerce Ministry, the bilateral trade between India and the U.S. has increased by 7.65 percent to US$128.55 in 2022-23 as against US$119.5 billion in 2021-22. It was US$80.51 billion in 2020-21. On the other hand, during 2022-23, India's two-way commerce with China declined by about 1.5 percent to US$113.83 billion as against US$115.42 billion in 2021-22.

IPEF Supply Chain Agreement signed by the 14 IPEF Partners
At the third Indo-Pacific Economic Framework for Prosperity (IPEF) Ministerial Meeting, negotiations under the IPEF Pillar-III (Clean Economy), Pillar IV (Fair Economy), and the Agreement on the IPEF were substantially concluded. Moreover, following the substantial conclusion of the negotiations on the IPEF Supply Chain Agreement in May 2023, the IPEF Ministers signed the IPEF Supply Chain Agreement during the Ministerial Meeting.

U.S. sanctions hurting American businesses too, they are looking at Indian market: U.S.-India trade body
The plethora of U.S.-led economic sanctions imposed on Russia in the wake of Moscow’s war against Ukraine have adversely impacted the bottom lines of American businesses too who are now looking at India for their “long-term investments” even as they also seek to pull out of China due to an intense trade war between Washington and Beijing, according to Mukesh Aghi, President and CEO of the U.S.-India Strategic Partnership Forum (USISPF).

U.S. increases staff strength, opens new consulates in India to reduce visa delays
The U.S. is increasing the staff strength and opening new consulates to reduce waiting time for visa issuance from India, confirmed U.S. Ambassador Eric Garcetti. The new consulates will come up in Ahmedabad, while one consulate was recently opened in Hyderabad. The U.S. embassy is likely to issue 10-15 percent more visas than usual in the current calendar year. The number of visas issued in India also increased one-third in recent weeks.

 

Unity, not division, could help evolve climate, biodiversity finance roadmap
A campaign on Innovative Finance for Climate and the Planet by CUTS International suggests that what is required is a bouquet of innovative solutions that can be integrated with the global finance architecture. It calls for exploring a global roadmap to establish a fund of funds for the planet’s recovery with efficient utilisation of tax and non-tax measures from public and private sources and, more importantly, from non-governmental sources.

India’s energy security at risk: How geopolitical conflicts could impact oil imports and renewable energy transition
The market for renewable technology and related raw materials is very concentrated which could lead to severe energy security threat in case of geopolitical issues. However, a focus on green hydrogen and cross-border electricity trade (CBET) could address those issues. While green hydrogen technology is still in its infancy, CBET is already taking place with Bangladesh, Bhutan, and Nepal. But reaping full potential benefits of CBET requires significant infrastructure development and various other cross-border common regulations.
 
U.S. can help India become a battery manufacturing powerhouse. And decouple from China
Batteries are also key for India as it plans to install 500 GW of renewable energy and meet 50 percent of its electricity requirement from renewable energy sources by 2030. India’s success is crucial for global climate goals. For India to become a battery manufacturing powerhouse, domestic reforms are crucial but not enough. American support must focus on minerals supply chains, financing, and technology cooperation.

Bridge energy gaps in Asia and Pacific
To bridge the energy gap and promote sustainable development, increasing renewable energy and energy efficiency is imperative. The transition to renewables opens avenues for economic growth and job creation. Energy efficiency lowers the need for new supplies, relieves pressures on our energy systems, increases productivity, and reduces waste, simultaneously saving money for households and businesses. Together, renewable energy and energy efficiency foster energy security.

 

U.S.-India defence partnership is now at an all-time high: U.S. senior defence official
The U.S.-India defence partnership is important for establishing peace and stability in the Indo-Pacific Region, and it has various opportunities such as ammunition, aircraft, underwater awareness technology, and cyber security, said Rear Admiral Michael Baker, Senior Defence Official and Defence Attaché at the U.S. Embassy, New Delhi, speaking at a on “Defense News Conclave: Stories of U.S.-India Defense and Security Partnership,” organised by the U.S. Department of State through the U.S. Consulate General Kolkata and CUTS International.

Analysing the Fifth Indo-U.S. 2+2 Ministerial
The Fifth 2+2 Ministerial Dialogue, 2023, between India and the United States of America has successfully captured the curiosity of the global community, ratchetting the bilateral ‘comprehensive global strategic partnership’ between the two large democracies. Foreign Ministers of both countries, Antony J. Blinken and S. Jaishankar, and Defence Ministers, Lloyd J. Austin III and Rajnath Singh, have laid out a strategic blueprint of coalescing in multitudinous domains of converging interests.

India-U.S. committed to safeguard "open, inclusive" Indo-Pacific": Eric Garcetti
Stating that India and the U.S. have made important steps towards strengthening their defence partnership, U.S. Ambassador to India, Eric Garcetti, during the India-U.S. 2+2 Ministerial Dialogue, said the two countries are committed to promoting resilient and rules-based international order to safeguard "free open and inclusive" Indo-Pacific.

India, Australia 2+2 talks focus on defence, regional security
India and Australia held talks cantered around deepening military cooperation in critical areas including anti-submarine warfare and air-to-air refuelling, security in the vast Indo-Pacific region amid China’s rising influence, hydrography cooperation and strengthening ties in sectors such as critical minerals, space, education, and science and technology. The two sides also discussed pressing geopolitical issues, including the crisis in West Asia and the war in Ukraine.

 

MoU between India and U.S. to Enhance Innovation Ecosystems
A Memorandum of Understanding (MoU) on “Enhancing Innovation Ecosystems through an Innovation Handshake” under the framework of India-U.S. Commercial Dialogue was signed between the two countries on the November 14, 2023 in San Francisco. The leaders’ Joint Statement during the historic official State Visit of Prime Minister in June 2023 announced the establishment of the “Innovation Handshake”.

Biden-Harris Administration launches National Spectrum Strategy to advance U.S. wireless leadership
The National Spectrum Strategy will advance U.S. leadership globally while also providing Americans with the best services that advanced wireless technology offers. These technologies will improve not only consumer wireless networks but also services in vital economic sectors such as aviation, transportation, manufacturing, energy and space.

Critical and emerging tech: A central platform for U.S.-India collaboration
Global trade’s landscape is swiftly evolving, where strategic and economic imperatives intertwine, with technology at their intersection. The role of technology (paywall) in international negotiations and strategy is increasingly pronounced, serving as a pivotal element in crafting national agenda.
 
USIBC and CII organise collaborative effort to promote innovation and foster development of critical and emerging technologies
The U.S. India Business Council (USIBC) and the Confederation of Indian Industry (CII) organised an industry-driven collaborative effort between the U.S. and India, promoting innovation and fostering the development of critical and emerging technologies, on the sidelines of the Asia-Pacific Economic Cooperation (APEC) Leadership Summit.

 

Industry needs to move beyond a profit-driven focus, embrace sustainability as a core principle: Pharma Leaders Round Table
Leaders of major pharmaceutical companies emphasised the need to focus on both incremental and disruptive innovation during the exclusive, closed-door Pharma Leaders Round Table at the 16th edition of CPHI & P-MEC India 2023. The round table focussed on the dual themes of innovation and sustainability, bringing together a cross-section of industry leaders to ideate the direction of growth for the Indian pharma industry over the next decade.

Chronic drug shortages stress hospitals and patients in the U.S.
A recent survey by the ECRI Institute found that shortages compromised patient care. Health care workers told the nonprofit they were sometimes unable to give patients the best drug for their condition, administered less effective drugs, delayed care and even made medical errors. The shortages prompt hospital pharmacy employees to work overtime, hunting down alternative medications.

India’s pharmaceutical exports: A tale of resilience, innovation, and challenges
India’s pharmaceutical sector has emerged as a global powerhouse, registering robust growth in exports and positioning itself as a key player in the international market. Its growth trajectory is not just a reflection of India’s manufacturing capabilities, but also of its ability to respond to global market dynamics. However, the path is strewn with challenges that require strategic navigation.
 
What it takes to drive innovation in India's medical device sector
Collaboration among stakeholders in India could be the key to promoting further the development of quality, high-end medical devices that can pinpoint and address patient needs and offer sustainability. KPMG in India, together with the Asia Pacific Medical Technology Association, recently published a report that underlines existing policies and initiatives that enable innovation in India's medical device sector.

 

Let multilateralism win day by day
An emphasis on reposing faith in multilateralism has been a hallmark of India’s G20 Presidency, which is now entering its final lap. The concluding paragraphs of the G20 New Delhi Leaders’ Declaration reiterated a commitment to the G20’s continued operation “in the spirit of multilateralism, on the basis of consensus, with all members participating on an equal footing in all its events”. It was this very “spirit of multilateralism” which carried the day at the New Delhi G20 Summit.

Stimulating international investment for development
World Investment Forum is by far the biggest platform in the UN system on international investment in sustainable development and aims to devise strategies and solutions for global investment and development challenges. Investment is the key to development. Investment fosters economic growth and employment generation, facilitates technology transfer, and enhances export capabilities, underscoring investment's multifaceted role in driving development.

Rise of China, its assertiveness in Indo-Pacific region shaped Indo-U.S. relationship: Former Foreign Secretary
The rise of China, and its assertiveness, especially in the Indo-Pacific region, has shaped the relationship between India and the U.S. in various sectors such as technology, manufacturing, defence and environment, said former Foreign Secretary Nirupama Rao speaking on ‘India’s place in the changing world’ at the Luminary Lecture Series organised by the Christian Medical College (CMC).

India warns of unsustainable financing and its subsequent debt traps at UNSC
At a UN Security Council debate earlier this week, India warned that the international community should be vigilant towards the dangers of unsustainable financing which leads to a vicious cycle of debt traps. "Peace is elusive and development a distant dream if resource crunch continues to exist. Hence, India in various fora, including in its current G20 presidency has worked towards reforms of International Financial Institutions," Counsellor in India's Permanent Mission to the UN Madhu Sudan said.