Wednesday, July 26, 2006

The noise over Nathula

The ancient silk route from Lhasa to Kalimpong ran through it, Jawaharlal Nehru crossed it on his historic journey to Bhutan in 1958, the Indian and the Chinese troops fought over it in 1962 and today the Indian Army and Chinese Border Guards face each other almost at breathing distance over it. But come 6 July 2006, it is set to formally open for trade between China and India after 44 years of closure.
This is the story of Nathula Pass, which is located at 56 kilometers east of Gangtok, Sikkim and 52 kilometers from Yatung, Tibet. There are roads leading to Nathula from both sides of the International Border. And Bhutan-China border is not so far from it too.
In Sikkim and Siliguri, there was a lot of hue and cry over it. Chief Minister of Sikkim, Mr. Pawan Kumar Chamling is positive that it will open up a lot of opportunities for Sikkim. "Employment opportunities will also grow and side by side hotels, restaurants and transportation. Multi-opportunities are there after opening of this trade route," he said.
And Nasscom President Kiran Karnik was quoted as saying, "With the opening of Nathula Pass as the China trade develops, that would be the staging point for Siliguri because that is going to be the central hub where things would be coming and then distributed all across the country. Siliguri itself will develop as a city and town".
Nathula pass has the potential to serve as a tourist corridor too.
But whatever the hue and cry, this is also one of China's relentless efforts in flooding new markets with 'Made in China' products to keep fuelling its enormous growth. San Francisco to Sapporo and Santiago, the stores are full of them. And slowly, they may fill the shops in Bhutan too if you believe they have not already done so. Anyway, this is no problem for us as we do not have any domestic manufacturers.
Initially, 29 items for export from India and 15 items for export from China have been agreed upon. Traders with a 'trade pass' can ply their wares between Serethang (Sikkim) and Renqinggang (Tibet), a distance of about eight kilometers from Nathula. The trade will be open for four months a year from June 1 to September 30 as heavy snow will make trading impossible in winter.
Although Bhutan remains a silent observer in this, we have more to gain than lose. First of all, as India and Bhutan has an open border, Bhutanese traders will have easier access to Chinese goods via India. This will add more choice and variety for the Bhutanese customers.
Secondly, though the idea may seem a bit far-fetched, this also opens up the possibility of a limited direct trade link between China and Bhutan in the future after considering all the pros and cons. Today, Bhutanese traders travel to Kathmandu and Bangkok to purchase their wares. And most of the wares that the Bhutanese traders buy from Kathmandu are Chinese products. A direct trade link with China will make the prices more customer-friendly.
Trades aside, Nathula may also serve the wider political and military interests of the Chinese. Of late, China has been strengthening its presence in the Himalayas. The recent opening of the Qinghai—Lhasa railroad and the new Nyingchi Airport in Tibet will not only boost the new trade through Nathula, but also bolster its military capabilities in the region. Nathula pass will also provide China easy access to the Bay of Bengal.
The growing military capabilities of China on its northern border may be a cause for concern for India. In the 1962 border war, the Chinese unilaterally declared a ceasefire on November 21, 1962, after defeating India in Aksai Chin. Aksai Chin remains in Chinese control today. It is believed that the Chinese withdrew unilaterally because of the approaching winter as well as the prospects of not being able to reach supplies to its troops due to poor transportation links in Tibet at that time.
However, opening of Nathula pass is probably thought of as a win-win situation for both India and China. Accepting Nathula as the Indian trade point was Beijing's first step towards fully recognising Sikkim as an integral part of India. But, despite seeming gestures of friendship, there is still deep-rooted mistrust between our two giant neighbors ranging from the suspicion on the 17th Karamapa Orgen Trinley Dorji as a Chinese spy to Chinese involvement in making Pakistan a nuclear power. There is no magic to erase the distrust overnight. But the right tension between our giant neighbors is just what we need as it is said, "Only when the strings are stretched just right, all music is in tune".

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