Modi’s Visit to Nepal

The core area of discussion in PM Narendra Modi’s visit to Nepal was military and financial treaties and economic relations. Learn about why Modi’s Nepal visit is strategically important.

Narendra Modi, the Prime Minister of India, has visited Nepal thrice since becoming Prime Minister in 2014. Each visit was different in terms of both the strategies and results. This is due to the political contexts in which the visits were timed, which reflected Nepal’s evolving domestic political shift from a central monarchy system to a federal republic and the complicated nature of the Indian-Nepal relations. Mr Modi’s visits have been more than just good neighbourliness; it is a recognition that the relationship had weakened in recent years and that it was vital to reverse the trend. 

India and Nepal relations

There has long been a tradition of unrestricted cross-border migration between both countries. Nepal has a population of 29 million people and covers an area of 147,181 square kilometres. It has a border with five Indian states — West Bengal, Bihar, Sikkim, Uttarakhand and Uttar Pradesh – on the south and the Tibetan autonomous territory of the People’s Republic of China on the north. The 1950 India-Nepal Treaty of Peace and Friendship is the cornerstone of the two countries’ special relationship. Both countries are also members of the South Asian Association for Regional Cooperation (SAARC).

India and Nepal trade relations

INR 161 crores were provided to Nepal in 2009-10 as grant assistance under the ‘Aid to Nepal’ budget. In addition, the Government of India has provided significant financial support to Nepal’s ongoing peace process. The total amount of India’s aid to Nepal is approximately INR 3,600 crores, including the Small Development Projects scheme, which provides development support at the grassroots level in sectors nominated by the local community. It now has over 370 projects worth approximately INR 402 crores. Around 1,500 scholarships are granted annually for Nepalese students to pursue courses in India. This is a part of India’s endeavour to help with building capacity and human resource development in Nepal.

India remains Nepal’s most important trading partner, supplier of foreign investment, and tourist destination. Bilateral trade between India & Nepal has grown significantly since the signing of the Trade Treaty in 1996. It has gained momentum since the signing of the amended Trade Treaty in 2009, which includes clauses that provide Nepal more access to the Indian market.

Most recent development deals with Nepal

The visit of PM Narendra Modi to Nepal in May 2018 had numerous objectives. Modi complimented the new political focus on sovereign equality by presenting a compelling vision for common economic development based on the growth of transborder connections, tourism, hydroelectric power and agriculture.

As of June 2020, Indian-Nepali relations had deteriorated due to the long Kalapani problem. Kalapani is a small stretch of land on the India-Nepal border, adjacent to the India-China border’s Lipulekh Pass, one of the places permitted for trade relations and the route for Tibet’s Kailash-Mansarovar yatra. Since independence, the issue has been a sore point of Indo-Nepal ties.

Conclusion

A pilgrimage is both an act of penance and a fresh start. The first may have been accomplished, but a fresh start based on the principles of “mutual trust, mutual benefit, and respect,” as Nepal now demands, will take time, avoid mixed messaging, and a sustained effort on India’s part to ensure the implementation of long-stalled economic cooperation projects. India has shown uncommon foresight and daring in moving through with the construction of the Raxaul-Kathmandu rail link, and it should take advantage of the opportunity to boost its self-confidence and that of its neighbours by finishing the project in record time. The rail link between Raxaul and Kathmandu has the potential to have a “transformational influence” on the region. India must use connectivity to strengthen its geopolitical influence in the region.

Prime Minister Narendra Modi visited Ireland on September 23, 2015. It was the second time an Indian Prime Minister had visited Ireland. The first being Jawaharlal Nehru’s visit in 1956. Ireland is an island nation located in Northwestern Europe and surrounded by the North Atlantic Ocean.

The Prime Minister of Ireland, Enda Kenny, had hosted PM Modi during his visit. The PM was attended by other dignitaries such as the Minister of Foreign Affairs and Trade, Charles Flanagan, and Ireland’s Ambassador to India, Feilim McLaughlin. The main aim of the visit was to create stronger ties and improve trade and cultural relations. Described below is the impact of the PM’s Ireland visit.

Impact on trade and commerce

India and Ireland have strong bilateral trade and business relations. Before the PM’s visit, trades with Ireland were valued at €650 million in business in 2014. This included exports worth €248m and imports worth €402 million.

The indigenous exports increased from €32 million in 2012 to €55 million in 2014. In 2019, the total bilateral trade was around €1.2 billion. The exports and the imports have also increased to €636 million and €480 million respectively. Currently, the total trade between India and Ireland is valued at €4.2 billion. This resulted from improved bilateral ties between the two nations, owing to Prime Minister Modi’s visit to Ireland.

Indian Companies in Ireland

Many Indian companies carry out trade and commerce in Ireland. They provide services to Irish markets and consumers across various industries. Pharmaceutical giants such as Reliance Genemedix and Amneal Pharmaceuticals operate in Ireland. Major IT companies such as Wipro, Infosys, TCS, and HCL also have a strong presence in the country. The trade relations were bolstered after Indian Prime Minister Narendra Modi visited Ireland.

 

Other companies like Crompton Greaves, Deepak Fasteners, Jain irrigation systems, and Shapoorji Pallonji provide consumer goods and services. Likewise, many Irish companies conduct their business in the Indian market. These companies include pharmaceutical and nutrition players like ICON and Glanbia, IT firms like Globoforce and other companies like Keventer, CRH Taxback Group, and Connolly Red Mills.

Impact on Education

Ireland has been a coveted destination for higher education for Indian students. Over 5000 Indian students have enrolled for higher studies in various institutions in Ireland. The students are admitted to engineering, technology, medicine and management colleges. More than 30 research agreements have been signed between the two nations that allow institutes in both countries to collaborate.

 

Many reputed institutes like Trinity College, Dublin, and Thapar University, Patiala, have signed MOUs for engineering and science disciplines programmes. Thus, Ireland is an essential collaborator in graduate and doctoral research. This collaboration is also considered an impact of the PM’s Ireland visit.

Indian Community in Ireland

Ireland is diplomatically significant for India also due to the large number of Indian citizens residing there. The Indian origin population is approximately 45,000 people, of whom 18,500 are Non-Resident Indians (NRI), and others are Persons of Indian Origin (PIO). The majority of the residents are working professionals employed in engineering, healthcare and management positions.

 

It has helped in establishing many policies for the Indian origin population. Two such policies in practice are wearing hijab as a part of the police uniform and the non-requirement of obtaining an additional work permit for the spouse or the partner of Critical Skill Employment Permit holders.

Cultural Impact

As a result of a large population of Indian origin citizens in Ireland and the relationship between the two nations, Ireland promotes Indian culture in various forms. One such example is the celebration of Diwali in Ireland since 2008. The event is organised every year in collaboration with Irish and Indian committees.

 

Further, an annual contemporary film festival is also a part of the celebration of Indian culture. The promotion of such events indicates the importance of cultural exchange between the two nations. The Irish communities also take a keen interest in conventional practices such as cultivating and consuming Indian herbs and spices. This connects the agricultural practices between the two nations. The cultural ties between the countries were strong, and Prime Minister Modi’s visit to Ireland helped strengthen them further.

 

Another significant practice is the celebration of International Yoga Day in Ireland. The Irish communities have accepted Yoga as a form of a healthy lifestyle. The practice is similar to the Indian tradition.

Tourism

India attracts around 44,000 Irish tourists every year. Indian tourists too visit Ireland in similar numbers. This was facilitated by the introduction of the common British-Irish visa scheme. This scheme allows the tourists to visit the U.K. and Ireland under one visa, rather than applying for two separate visas. It is valid for short stays. India also extended its Electronic Tourist Visa facility to Ireland to digitally facilitate visa approval and generation. The impact of the PM’s Ireland visit was such that it has also helped establish the tourism sector in both countries.

Conclusion

The diplomatic ties between Ireland and India have been impacted positively after Prime Minister Modi visited Ireland in 2015. It was an essential step toward strengthening the bilateral relationship between these two nations. India and Ireland have been important to each other since the 1900s.

 

In 2010 and 2017, two honorary consulates were established in Chennai and Kolkata. Later in 2019, a formal and fully functional consulate general in Mumbai. Ireland and India have also shown their allegiance to fighting terrorism after the Pulwama attack. India has also hosted several Irish dignitaries on various occasions. These visits were directed toward engagement in business, education, health and tourism.

 

Further, many agreements were signed to provide opportunities for employment to people of both countries. Prime Minister Modi’s visit to Ireland helped revive relatively stagnant relations between these two nations. Several cultural and historically similar instances bind these two nations. From Yeats and Tagore to cricket and Diwali, the cultural semblance between these two nations has helped create a strong tie between them.

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