India-Foreign Relationship

India’s external relation policies have been characterized by the basic tenets of Panchsheel. Peace, disarmament, self-reliance, non-alignment and development are the bedrocks of India's relations with other nations, and determine its reactions to external developments. Another pillar of Indian foreign policy is the element of consensus on vital foreign policy issues, transcending party affiliations, and including political parties, diplomats, academics and opinion-makers alike.
Some of the predicaments facing India are the challenges to the concept of the nation-state from linguistic, ethnic and religious groups, on-going changes in the external equations and in the nature of global developmental and economic policies, trade and financial regimes, and the scourges of terrorism, often exported from other countries, as well as the menace of drugs and arms-trafficking and their links with terrorist and criminal outfits. Environmental conservation, protection and promotion of human rights, and disarmament have rightly assumed great importance in the world.
Following are the few points revealing India’s relation with the rest of the world:
•India was one of the founding members of the United Nations and the Non-Aligned Movement and is an active member of several international organizations, most notably the WTO, ADB, SAARC, G8+5, East Asia Summit and G20.
•India has always taken first step to develope a friendly relation with the neighbours, The Simla Agreement provided the basis for constructive dialogue between India and Pakistan.
•Among the most encouraging recent developments in India China Economy and India-China ties is the rapid increase in bilateral trade. A few years ago, India Inc had a fear of being swamped by Chinese imports. Today, India enjoys a positive balance of trade with China.In 2004, India's total trade to China crossed US $13.6 billion, with Indian exports to China touching $ 7677.43 million and imports from china at US $ 5926.67 million.
•India's relations with the Central Asian peoples are venture old, with considerable social, cultural, intellectual and commercial interaction.
•Indo-US relations: US companies account for over one third (38%) of the total foreign investment commitments in India. From the year 1991 to 2007, the stock of FDI inflow has increased from $11.3 million to $4.9 billion.
•India's relations with the Russian Federation are characterized by friendship and cooperation, based on trust and confidence.
•The growing political and economic integration of Europe has also been adequately addressed. India has concluded a third generation agreement with the European Union and looks forward to continued development of commercial and economic relations with it. Bilateral relations with European countries also demonstrate a positive increase in both quality and range.
•India also faces the demanding agenda before the developing world. A high level ministerial delegation was therefore sent by the prime minister to the Organization of African Unity (OAU) Summit held in July 1986, in Yaounde, Cameroon. India is also engaged in building up of relations of partnership and cooperation with other African regional organizations like the South African Development Community; the Economic Community of West African States; COMESA; UNECA and the African Development Bank
•The development of relations between India and Latin America and the Caribbean countries and their regional organizations is a matter of considerable priority. A special envoy of the Indian Prime Minister participated at the Caribbean Community (CARICOM) Summit in Barbados. India has institutional arrangements with the Rio Group and the MERCOSUR. India also plans to reinvigorate and revitalize its links with the Organisation of American States
•India having close and cooperative relations with the countries of the Association of Southeast Asian Nations (ASEAN), Central Asia and the Asia-Pacific region. India has moved progressively closer to ASEAN with the commencement of Sectoral Dialogue Partnership in 1992 to Full Dialogue Partnership with them and participation in the ASEAN Regional Forum.