International Relations

Choose the Correct Answer

Correct Answer : Option c

Explanation
Statement 1 is correct: In the South Asian region, India and its neighboring countries have made multiple attempts at fostering regional cooperation. The South Asian Association for Regional Cooperation (SAARC) was established on December 8, 1985, with the aim of expediting economic and social development among its seven member states. Various endeavors were made to enhance trade within the region, including initiatives such as the South Asia Preferential Trade Agreement (SAPTA) and the Free Trade Agreement (SAFTA). Nevertheless, despite these efforts, intra-regional trade remains disappointingly low. Notably, Pakistan is yet to ratify the free trade agreement, and the India-Pakistan dispute, coupled with India's considerable economic influence, has hindered economic exchanges and cooperative ties within SAARC.

Statement 2 is correct: The dissolution of the Soviet Union had profound consequences for India. The former Soviet Union had long been a reliable partner, supplying arms, petroleum, and providing some economic assistance. It also served as a significant market for Indian consumer goods. The collapse of the Soviet system deprived India of this valuable trading partner, with the Rupee Trade Area accounting for approximately one-fourth of India's exports. Furthermore, the Soviet Union had consistently supported India diplomatically in United Nations votes and had served as a model of centralized planning. A major concern for New Delhi was the loss of Soviet diplomatic backing at the United Nations Security Council, exposing India to international pressures on vital issues such as disarmament, nonproliferation, and the Kashmir dispute. Therefore, the collapse of the Soviet Union represented a substantial setback for India in political, strategic, and economic terms.

Statement 3 is correct: The disruption in the oil economy of the Gulf region during the Kuwait crisis highlighted to India the critical need to diversify its sources of energy procurement. This imperative stemmed from a desire to decrease reliance on its conventional suppliers in the Gulf and the former Soviet Union. In pursuit of this goal, India explored potential alternative energy sources in countries such as Myanmar, Brunei, Indonesia, and Australia within the Asia-Pacific region. Consequently, it was only logical for Indian policymakers to seek a fresh international role and shift their focus towards the economically vibrant Southeast Asia, recognizing its significance in the global landscape.