“The Covid pandemic has taught us the importance of resilient and inclusive supply chains. For this, trust and transparency are very critical. We can use each other’s strength to contribute towards the betterment of the entire world, especially the Global South,” the PM said in his address at the Brics Business Forum in Johannesburg.
Significantly, Modi’s remarks came ahead of his likely interactions, including a possible one-on-one with Chinese President Xi Jinping, and in the presence of Beijing’s commerce minister Wang Wentao.
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South African President Cyril Ramaphosa welcomes Xi Jinping in Johannesburg
India has joined the US, Australia, Japan and others in seeking to build a “resilient supply chain”, a euphemism for reducing dependence on China, which has been flooding western markets with everything from garments to gadgets, making use of a liberal trade regime.
During the pandemic, with many countries dependent on supply of masks and test kits from the Asian giant, the world became acutely aware of the risk posed by China’s dominance and several countries have initiated steps to shore up domestic manufacturing. India too has been seeking investments through the production linked incentive scheme and other initiatives, which Modi flagged in the presence of South African President Cyril Ramaphosa and Brazilian President Luiz Inacio Lula da Silva.
Russian President Vladimir Putin has not travelled to South Africa for the summit and will join virtually.
Modi’s remarks, articulating the need to diversify supply chains, something that has found expression in the West’s “de-risking” and China+ strategies, acquire significance also because of the setting.
PM calls for Brics digital payment pact like one between India & France
The Asian giant has been flooding western markets with everything from garments to gadgets, making use of a liberal trade regime.
During the pandemic, with many countries dependent on supply of masks and test kits from the Asian giant, the world became acutely aware of the risk posed by China’s dominance and several countries have initiated steps to shore up domestic manufacturing. India too has been seeking investments through the production-linked incentive scheme and other initiatives, which Modi flagged in the presence of South African President Cyril Ramaphosa and Brazilian President Luiz Inacio Lula da Silva. Russian President Vladimir Putin has not travelled to South Africa for the summit and will join virtually.
Modi’s remarks, articulating the need to diversify supply chains, something that has found expression in the West’s “de-risking” and China+ strategies, acquire significance also because of the setting. For, China has been looking forward to use the Johannesburg meeting to promote Brics as a counter to the West-dominated international order. Tensions between India and China have increased since the LAC face-off.Amid tie-ups on UPI and payment systems with countries such as Singapore, UAE and France, Modi suggested a similar partnership among Brics nations and said India was now home to the largest number of digital transactions. He said the bloc of emerging nations could play a crucial role and underlined how India was going to be a key driver of global growth.
“Despite the churn in the global economy, India is the world’s fastest growing major economy. Soon, it will be a $5 trillion economy. There is no doubt that in the coming years, India will be the world’s growth engine. It is possible because India has used the difficult time to turn it into an opportunity to undertake economic reforms,” the PM said.
Watch PM Modi highlights economic reforms and technological leap at BRICS Business Forum in South Africa