The United States leadership is squirming to resolidify ties
with parts of the world that either bombed, invaded, or
marginalized in recent decades. The prime example of
marginalization is India. However, without the current gigantic
trade surpluses boosting Indian confidence in America, Prime
Minister Narendra Modi will have to do much less tightrope-walking
between Washington and the emerging multipolar world. Since the end
of the Cold War, India has practiced a multi-aligned foreign
policy. This may soon change.
Its no secret that Indian businesses are raking in billions on
discounted Russian crude oil. According to the latest reports,
Indian refiners saved over $7.17 billion in foreign exchange in the
14 months which ended in May 2023. Russian tankers flood Indias
Gulf of Kutch, home to the worlds biggest refining operation.
Ironically or poetically, India then ships refined oil to markets
like the European Union at a hefty value-added price. If the trend
goes unchecked, India will surpass Saudi Arabia as the largest oil
exporter to the EU.
Changing gears. Russian Foreign Minister Sergey Lavrov said
recently that Iran will be formally approved as a member of the
regional Shanghai Cooperation Organization with China, Russia, and
Central Asian countries. Iran also has sights on becoming a member
of the BRICS. India is a member of both organizations. This
organization represents about 40% of the worlds population, 20% of
the worlds GDP, and 60% of the Eurasia landmass. This quote from a
CBS News report frames whats taking place:
Chinas Xi Jinping urged the leaders of Russia,
Iran, and other allied allies to boost ties and resist Western
sanctions on Tuesday as the leaders of the Shanghai Cooperation
Organization met virtually for a summit hosted by India. The
Shanghai alliance encompasses a vast stretch of the globe from
Moscow to Beijing and includes around half the worlds population
when observer and dialogue partner nations are
included.
Along with Russia, China, India, and new member Iran, the other
full members of the trade and security alliance are Kazakhstan,
Kyrgyzstan, Pakistan, Tajikistan, and Uzbekistan. According to the
meetup reports, Belarus will become a member at the next SCO
summit.
Then theres the news that the International North-South
Transport Corridor (INSTC), Iran, Russia, and India, gathered for
the third time in Tehran recently to discuss solutions for
promoting freight transit through the newly developed international
corridor. Created in 2000 by Iran, Russia, and India, this
7,200-km-long INSTC works as a multi-modal network of ship, rail,
and road routes for moving freight between India, Iran, Azerbaijan,
Russia, Central Asia, and Europe.
Finally, outside some BBC cheerleading of the accomplishments of
the recent Biden-Modi meetup in Washington and TIME Magazine
harping about human rights detente failures, all th...