Why is Uzbekistan Important for India? | Latest Burning Issues

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UPSC PRELIMS MCQ

Consider the following statements about Uzbekistan –

Uzbekistan is part of the historic Caspian sea agreement
Uzbekistan shares land border with Russia
Only 1 is true
Only 2 is true
Both are true
Both are false

ANSWER – D

The Convention on the legal status of the Caspian Sea is a treaty signed at the Fifth Caspian Summit in Aktau, Kazakhstan, on 12 August 2018 by the presidents of Russia, Kazakhstan, Azerbaijan, Iran and Turkmenistan. _____________________________________________
Uzbekistan is bordered by five landlocked countries: Kazakhstan to the north; Kyrgyzstan to the northeast; Tajikistan to the southeast; Afghanistan to the south; and Turkmenistan to the southwest.

WHAT HAPPENED RECENTLY?

President of the Republic of Uzbekistan, Shavkat Mirziyoyev, who is on a two-day visit to India, was received by President Ram Nath Kovind and Prime Minister Narendra Modi at the Rashtrapati Bhavan.
This is Mirziyoyev’s maiden visit to India since assuming office in 2016.

NOTES

Addressing a joint presser with Uzbekistan President Shavkat Mirziyoyev, Prime Minister Modi said, “Both India and Uzbekistan aspire a safe and prosperous external environment. We appreciate their efforts in maintaining regional peace and stability.
I can assure you that India will help in your efforts. Both India and Uzbekistan wish a democratic, stable and prosperous Afghanistan.”

NOTES

Uzbekistan is fast getting linked to the global market for production, supplies of raw materials and services. Several excellent opportunities exist for Indian investment in non-ferrous and rare-earth metals industry.

NOTES

Thus far, India has been citing obstructions of physical connectivity, Pakistan’s hostility and the instability in Afghanistan for its desultory attitude towards Central Asia.
But such excuses can no longer hold true as distant countries like South Korea are doing enough business with the region.

ASHGABAT AGREEMENT

The Ashgabat agreement is a multimodal transport agreement between India, Iran, Kazakhstan, Oman, Pakistan, Turkmenistan and Uzbekistan for creating an international transport and transit corridor facilitating transportation of goods between Central Asia and the Persian Gulf. India and Uzbekistan set an annual bilateral trade target of $1 billion to be achieved within two years and agreed to boost connectivity as the two sides

NEEDS A MENTION

Member states of Shanghai Cooperation Organisation

NOTES

But what should worry Uzbekistan is that its trade with India is a paltry $323 million.
In fact, India’s current trade figure of about $100 billion with the SCO is grotesquely asymmetric – about $90 billion with China, $8 billion with Russia and only $1.5 billion with the Central Asian states, of which $1 billion is with Kazakhstan. Uzbekistan is a distant second.

MUST ESTABLISH CONNECTIVITY

Connectivity New Delhi should keep in mind its historic Silk Route ties with the region and make all-out attempts to break the bottlenecks, although the International North South Transport Corridor (INSTC) and the Iranian Chabahar port projects are inching closer to becoming a reality.

INDIA, UZBEKISTAN SIGN 17 AGREEMENTS

Modi also said that India has decided to extend a line of credit (LoC) of $200 million to Uzbekistan for housing and other social infrastructure projects.

17 MEMORANDUM OF UNDERSTANDING (MOUS)

(Some of the main MOUs are mentioned)

Agreement between the Government of the Republic of Uzbekistan and the Government of the Republic of India for visa-free travel for diplomatic passport holders.
Memorandum between the Ministry of Defence of the Republic of Uzbekistan and the Ministry of Defence of the Republic of India on cooperation in the field of military education.

Military might of Uzbekistan

(SOME OF THE MAIN MOUS ARE MENTIONED)

Memorandum of Understanding between the Khokimiat of Samarkand City, Samarkand region, the Republic of Uzbekistan and the Municipal Corporation of Agra, Uttar Pradesh, Republic of India.
Agreement on cooperation between the Chamber of Commerce and Industry of the Republic of Uzbekistan and the Confederation of Indian Industry on the establishment of the India- Uzbekistan business council.