SPECIAL ISSUE

PEACE BUILDING India-Korea ON THE KOREAN Growing Relations: PENINSULA: Institutionalization Present & Future A Bigger Role of India-Korea Ties for India?

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Vol. 4, No. 2, 2012 report

Growing India-Korea Cooperation in Nuclear INDIA-KOREA Energy Sector Taking a Closer Look at India- Glorious Past, Bright Future Korea Defense Cooperation Understanding Future of India-Korea Trade After CEPA

India-Korea Collaborative Activities in Nanotechnology

Potential of Health and Medical Cooperation Between India and South Korea

Education: Key Sector of Mutual Growth in Korea and India

Korea and India to Strengthen the Non-conventional Energy Sector Cooperation

New Thinking for Reducing the Risk of Investment in India

India and Korea Travel and Tourism Ties to Strengthen Further

ISSN 2092-7738

W9,900 | £6.00 | €8.00 `40 | US$8.00 | CN$8.00 230X280.indd 2 2011.9.20 10:16:25 AM

Cover Story Contents India-Korea Relations; Vol. 4, No. 2, 2012 Present and Future Page 8

Dr. Jae Kyu Park, President of Kyungnam University....Page 11

Yeo-Song Park, Director of the Indian Art Museum...... Page 26

34 Why Korea and India Should Move DIPLOMACY Towards Medical and Health Care Co-operation 15 India-Korea: by Kim Cheol Ho In Search of Regional Prosperity 35 Mutual Benefits ofT raditional Medicine by Rajiv Kumar Policy in Korea and India for Achieving 16 Growing Institutionalization of Health MDG India-Korea Ties by R.B.Singh & Nitu Goswami by Lakhvinder Singh 36 Potential of Health and Medical Cooperation between India and South Korea BUSINESS by Amitabh Arya 17 New Thinking for Reducing the Risk of Investment in India science & technology by Bonghoon Kim 18 Understanding Future of the India-Korea 38 Indo-Korea Collaborative Activities in Free Trade Agreement under CEPA Nanotechnology for Energy by Anuradha Shukla by Sivaram Arepalli 19 Growing Korean Investment in India 40 India-Korea Science and Technology Creating Sub-regional Hubs Cooperation Publisher: mr. lee Deuk Ho by Kim Cheol Ho by Shamila Janakiraman Editor-in-Chief: mr. lee Deuk Ho 20 Ssangyong Motors Advances on Top of Six Strategy Pillars ENERGY by Matthew Weigand Published by: Asia-Pacific Business 21 Korea-India Trade and Investment & Technology Report Co. 41 Nuclear Energy Cooperation Between India Leaps Ahead and Korea – Vital Energy Alternatives Registration date: 2009.09.03 by Don Kirk Driving Growth Registration number: 서올중. 라00307 22 Why is Indian Investment in Korea by Vibhu Saxena Price: `40, W9,900, US$8.00, CN$8.00, on the Rise? 42 Potential of India–South Korea Nuclear £6.00, €8.00 by Anuradha Shukla Energy Cooperation 23 Growing Korean Companies in India and By Jennifer Chang Annual subscription fee: W62,000/ Indian Companies in South Korea US$62 43 Korea and India to Strengthen the by Anshu Shrivastava Non-Conventional Energy Sector 24 Evaluation of the Economic Trade by Jeon-Dong Hee Advantages Between India and Korea 44 Nuclear Energy: Managing Editor: by Chung-Yeon Cho India & South Korea Cooperation Dr. Lakhvinder Singh 25 India-Korea Business Ties after CEPA by Anshu Shrivastava Senior Editorial Advisor: by Amanda Min Chung Han Mr. Chung-Yeon Cho EDUCATION Chief Business Development Officer: Defense & strategy Mr. Kim Cheol Ho 45 Education: Key Sector of Mutual Growth in 27 Why India-Korea Strategic Cooperation is Korea and India Critical to the Region by Yashika Dhingra Editorial Advisory Board: by Anurag Shukla 46 Human Resources Development Mr. Suresh P Prabhu 28 Taking a Closer Look at India-Korea Co-operation – Regional Perceptions Former Union Cabinet Minister for Power, Defense Cooperation by Reena Saxena Government of India by Anuradha Shukla 47 Research Cooperation Between Indian 29 India Forges Better Ties With East Asia Korean Institutes of Higher Learning Mr. N K Goyal by Rashmi Gupta by Chung-Yeon Cho President, Communications & Manufacturing 30 India-Korea Strategic Relations Association of India, CMAI by Tim Yung Min Schroeter travel Dr. Mezyad Alterkawi 32 Military and Strategic Aspects for Associate Professor, King Saud University Korea-India Relations 48 India and Korea Travel and Tourism Ties By Nicholas Hamisevicz Strengthen Further Dr. Emanuel Yi Pastreich BY Jeon-Dong Hee Director, The Asia Institute health Mr. Jungsoo Jang memory lane President, Korea Future Institute 33 India-Korea Cooperation on Green Mr. Michael Breen Technology for Sustainable Health 50 When Chai Came to the Land of the Insight Communications Consultants and Well-being Morning Calm by Manju SINGH and R.B. Singh by victor fic Dr. donald kirk Author and Journalist Dr. Eva Latham For advertisements and other business Corporate Social Responsibility Expert enquiries please contact:

To contact Asia Pacific Business and TechnologyR eport for 302, 10-9 Myeongneon Dong 1 ga advertising, submissions, subscriptions or general comments please email to [email protected] Chongru-Ku The views and opinions expressed in the articles are those of the Seoul, South Korea authors and do not in any way reflect the editorial policy of Asia Pacific Business and Technology Report Phone: 822-766-8230 Vol. 4, No. 1, 2012 Email: [email protected] PRINTED IN SOUTH KOREA

cover story INDIA-KOREA Glorious Past Bright Future India-Korea Relations; Present and Future

BY Vishnu Prakash*

’ve long been fascinated by South Korea, especially since the 1997 Asian Financial Crisis, when I I learned that it was the first OECD country to bounce back stronger than ever. And one of the reasons why it did so was, of course, its people. Korean people, women in particular, voluntarily donated their gold and jewelry to help get the nation back on its feet. I’d never even imagined seeing such a thing.

We Indians are one of the largest im- We are in a period of unprecedented The Prime Minister of India paid an of- porters of gold in the world. Some 1000 change in all the regions of Asia. The global ficial visit to SouthK orea last month. Before tons are imported each year. Indians love standing of both Korea and India has been coming here, he gave an interview to the gold. In India we have a joke – a wife will steadily rising in the political, economic, managing editor of the JoongAng Ilbo, who say, “Please, take away my husband but and cultural spheres. We are both ancient had travelled to New Delhi for the purpose. don’t take away my gold.” I’d already re- civilizations. As I read Korean history, I of- The PM likened India, a large country of 1.2 alized that there was something special ten note that there are quite a few parallels billion people, to an elephant, which may about this country of Korea. But in the af- between us, cultural, political and econom- be slow to move, but when it starts it cannot termath of the IMF crisis, that’s when my ic. Both Korea and India have similarities of be stopped. fascination with and admiration for it in- outlook and have seen significant changes. But even though India is an elephant to creased further. Since I’ve arrived here, I’ve Korea’s per capita income in 1962 was half Korea’s tiger, there are many similarities learned that the mantra for everything is of ours but now is about 10 times more. Ko- between us. The two countries have both ‘bbali bballi’, or hurry-hurry. It clearly has rea as a nation has done remarkably well, overcome great challenges in similar ways. something to do with the speed at which and I can say, as an Indian person, that as Back in the 50s, India had a ‘ship-to-mouth’ this country has transformed itself. your friends, we are happy for you. existence. If a food shipment didn’t come in

That both countries are flourishing democracies makes our relationship people-driven. There is complete consensus across the political spectrum in India to have the closest of relations with Korea, which is being built on the foundation of a strategic partnership…

Mr. Vishnu Prakash with President Mr. Lee Myung-bak and Minister of Foreign Affairs & Trade Kim Sung-Hwan at Blue House on March 19, 2012. © Embassy of India, Seoul 8 www.biztechreport.com INDIA-KOREA cover story Glorious Past Bright Future

© pib.nic.in (Above) Mr. Vishnu Prakash introducing Korean dignitaries to Prime Minister, Dr. Manmohan Singh during his recent visit to Seoul on March 25, 2012. time there would inevitably be a food crisis. Some aspects of the Korean model are percent of market share for consumer du- Now we are a net exporter of food, but we worth emulating. The country spends 9 rables like air conditioners, TV, washing have certainly seen hardship. We, I think, percent of its GDP on education. Like in machines, refrigerators is also with Korean can look back with satisfaction at what we Korea a primacy is given to education in companies like Samsung, LG and Hyundai. managed to achieve, especially in empower- India. India’s first Prime Minister said that India exports a number of products like ing the masses. educational institutions need to be the new chemicals, yarn, jewelry and raw materials India is still a developing country. We temples of India. Following his ideals, we to Korea, including bauxite and iron ore. have about 300 million poor people, but have set up many institutions of excellence There is as yet so much more we can do the percentage of poverty is coming down. throughout the nation. Our schools have together. The quality of life of the average Indian is good reputation in providing quality educa- Indian multinational corporations now improving. We have a very young popula- tion in management, information technol- have a global presence. India is seeking tion. More than 50 percent are below 25 ogy, engineering, and science. and making investments. India received years old, and 70 percent are below 35. Ev- India and Korea have complimentary FDI (foreign direct investment) of US$158 ery year, 10 million people join the work- economies. We have strengths in the sun- billion in the last ten years while US$129 force. So it is a huge challenge just to cre- rise industries, especially IT software. But billion was invested abroad by Indian com- ate enough employment opportunities in we are a huge importer of IT hardware, panies over the same period. As such, the our nation. where Korean manufactures have an edge. economic fundamentals are strong and the India is one of the oldest civilizations, The hardware demand in 2012 is estimated economy is well regulated. Already we have and one of the greatest democracies today. at over US$13 billion. We are deficient in some of the big names like Tata that bought It has a great hunger, but not for food. It is a infrastructure, but have now begun invest- out Daewoo trucks in 2004, and Mahindra & hunger for opportunity, says Tom Friedman. ing 8 percent of GDP in it per year. During Mahindra, which bought Ssangyong Motors The center of economic gravity is shifting 2102-17 we propose to invest US$1 trillion in 2010. Top IT companies from India are towards Asia. The BRICS countries together in infrastructure development, including present in Korea as well. have 23 percent of the world’s GDP. When highways, airports, metros, power plants, Then there is the power sector. We have we look ahead, by 2035 China, the USA, In- etc. We have the money, and we are collabo- a sizable power shortage in India, but we dia, Japan, Korea, and Germany are going rating with other countries in executing are adding 12,000 megawatts of power to be among the largest economies in the these projects. We would like to see Korean generation capacity per year now. Last year world. There is a Goldman-Sachs report to construction companies, which have an we added 19 gigawatts of generation capac- back this up. Korea and India are vibrant excellent track record, play a more active ity. India is also enhancing its civil nuclear and robust democracies. India will soon be a role in executing infrastructure projects in power generation capacity. We are the only 2 trillion dollar economy. Since 1991 when India. Chinese companies have already ex- country currently doing that. India plans we started reforms, we had 6-8 percent ecuted or secured US$70 billion worth infra- to scale up its capacity from 5,000 mega- growth per annum. And even though the structure projects in India. watts of nuclear energy at present, to 20000 global economic slowdown has impacted Korean companies have been very suc- MW by 2020 and 60,000 by 2035. Korea has our GDP growth somewhat, our economic cessful in India’s huge market, comprising the technology, India has the desire. India fundamentals continue to be strong. On the a 300 million strong middle class alone, would like to absorb this expertise, and we other hand, Korea is still the fastest-growing which has excellent buying power. Around can collaborate closely. OECD country in the world. Our national 20 percent of the Indian small car market Now let me take stock of India-Korea ties. challenge and objective is to put India on share is with Hyundai for example, which India and Korea are strategic partners who the path of an equitable and sustainable has in two plants in Chennai, producing enjoy a close and multifaceted relationship. economic growth. more than 600,000 cars per year. Over 50 The state visit of President Lee Myung-bak 9 www.biztechreport.com cover story INDIA-KOREA Glorious Past Bright Future to India in January 2010, was a landmark ter access for our IT, pharmaceutical and well in international forums such as the event in our ties. Our bilateral engagement agricultural products. For instance, India G20. India received excellent support from received a further fillip with the visits of the produces the best mangoes in the world. Korea for its membership of the East Asian President of India to the ROK (Korea) in July We export them to the US, Japan, Europe, Summit. Korea is an observer in SAARC. Ko- 2011 and that of the Prime Minister of In- and nearly everywhere else. But Koreans are rea is also a key pillar of India’s Look East dia to Seoul between March 24th and 26th, not getting Indian mangoes. Recently I told policy. Such ties rest on a good foundation 2012. The relationship is firmly anchored this to the trade minister and he said that and are poised to grow rapidly. There is an in a commonality of mutual interests and the matter would be looked into on priority information gap, though, which we still outlook. Ours is a problem-free and friendly (you should try an Indian mango when they need to plug. As someone who has had a relationship. We do not have any strategic are available, and if you don’t like them I close relationship with the media, I know differences. That can be said about very few will personally give you a refund!). that they have an important role to play countries. We have similar outlooks, similar With IT products as well we are seeking in informing and shaping public opinion. interests and similar challenges. better access. But these are negotiations When I presented my credentials to Presi- That both countries are flourishing de- between friends. Our commerce and trade dent Lee Myung-bak, I said that both sides mocracies makes our relationship people- ministers meet every year, to review the have generated great expectations and that driven. There is complete consensus across implementation of CEPA and examine the we have to live up to them. the political spectrum in India to have the need for upgrading. It is a process. Indian Let me close with a quotation from News- closest of relations with Korea, which is pharmaceuticals are among the best in the week about India. “What is happening to- being built on the foundation of a strate- world today. We have the largest number day is the birth of India as an independent gic partnership. The Comprehensive Eco- of pharmaceutical products registered with society – boisterous, colourful, open, vi- nomic Partnership Agreement (CEPA) was the US FDA by any foreign country. brant and, above all, ready for change … it operationalized on January 1st, 2010, and Indeed, ties are becoming truly multi- is a noisy democracy that has finally em- this has become a template for many more faceted between India and Korea. We are powered its people economically … democ- CEPAs that India has signed since, including now expanding these ties into security, racy makes for populism, pandering and with Japan and Malaysia. In two years only, defense, and even education. Some 2,500 delays. But it also makes for long-term sta- there has been nearly a 70 percent increase Korean children are studying English in In- bility.” A-P in trade between Korea and India. It crossed dia right now. About half of them are in In- Adapted from extempore talk given at Kyung Hee University US$20 billion in 2011. We have established dian schools. About 900 Indian scholars are on April 12, 2012. a new trade target of $40 billion by 2015 studying science subjects and Korean in this * The author is the Ambassador of India to Korea. which is very achievable. Our two nations country. We also want to enhance S&T co- would be witnessing a rapid growth in in- operation, including in the sphere of space vestments in both directions. We are also technology. We have offered to launch Ko- working on deepening cooperation in areas rean satellites. We also have a cultural cen- like defense, security, energy, civil aviation, ter here in Korea now where we teach yoga, Some aspects of the space and science and technology. classical Indian dance, Hindi language, and There is a challenge of a trade deficit that so on. Korean model are we are facing, and we are looking for bet- Our two countries also cooperate very worth emulating. The country spends 9 percent of its GDP on education. Like in Korea a primacy is given to education in India. India’s first Prime Minister said that educational institutions need to be the new temples of India. Following his ideals, we have set up many institutions of excellence throughout the nation.

The Prime Minister, Dr. Manmohan Singh and his wife Smt. Gursharan Kaur being welcomed by the children at the President House of South Korea, in Seoul on March 25, 2012. The South Korean © pib.nic.in President, Mr. Lee Myung-bak is also seen. 10 www.biztechreport.com Peace Building on the & Korean Peninsula: Q A Bigger Role for India? a By Lakhvinder Singh Presidents (2003–2011), among other asso- ciations. He also served as President of the University of North Korean Studies (2005– r. Jae Kyu Park is 2009). He currently serves as a presidential President of Kyungnam advisor on Korean unification affairs and D University, former as a member of the Presidential Committee Minister of Unification, and on Social Cohesion. He has received numer- former Chairman of the ous honors and awards, including the pres- National Security Council tigious Special Prize of the Jury (for Conflict (NSC) of the Republic of Prevention) from the Chirac Foundation of France in 2009. In an exclusive interview Korea. He currently serves as a in downtown Seoul with Dr. Lakhvinder presidential advisor on Korean Singh, managing editor of Asia-Pacific unification affairs and as a Business and Technology Report, member of the Presidential Dr. Park discusses the situa- Committee on Social Cohesion. tion on the Korean Penin- sula, the growing India- He played an instrumental role as the ar- Korea ties, and a possible chitect of the historic first-ever inter-Kore- future role for India in an summit of June 2000. President Park has peace building between served as the chairman of the Korean Uni- the two Koreas. Below versity Presidents Association (2001–2004), are excerpts of the ISANG YUN Peace Foundation (2005–2009), interview. and Northeast Asian Forum of University Dr. Jae Kyu Park

Since you are well-known as unicameral legislature’s annual session. At (KPA); Ri Yong Ho, the Chief of the General an expert on North Korea, this meeting, Kim Jong Un was appointed Staff of the KPA; Kim Jong Gak, who was we would like to begin with to the new position of First Chairman of recently appointed as Minister of the Peo- the National Defense Commission (NDC). ple’s Armed Forces; Kim Won Hong, who some questions on this topic. His deceased father was given the title of is Minister of State Security; and longtime Following the death of North Eternal NDC Chairman. So it seems clear foreign policy hand of Kim Jong Il, Kang Korea’s leader Kim Jong Il, the that Kim Jong Un, with these official des- Sok Ju, who is currently the Vice Premier reins of power in North Korea ignations, has complete authority over the of the DPRK government, overseeing for- have been handed over to his key organizations of rule. eign affairs. With these senior mentors, there is no third son, Kim Jong Un. Is the With Kim’s youth and third son really in charge in the confusion or turmoil in North Korea. For inexperience, surely there the next few years, they will buttress Kim North or is there much more to must be others in North Korea Jong Un’s leadership. it than what is seen? assisting him as leader. Who are Is there a possibility of a As you may remember, North Korea those people? held its third delegates meeting of the bottom-up people’s revolution Well, one key person has been Jang taking place in North Korea, Workers’ Party of Korea (WPK) on Sep- Song Thaek. He is now the Director of the tember 28, 2010. Since this meeting, Kim Administration Department of the WPK as we’ve seen in the Middle Jong Un’s succession in North Korea has and a Vice-Chairman of the NDC—both East with the Arab People’s been firmly set. No organization or indi- positions of some authority. Since Septem- Revolution? vidual can challenge his authority. From ber 2010, Jang has mentored Kim Jong Un, Such seems extremely unlikely. The September 2010 to December 2011, when paying specific attention to the economy North Korean government does not allow Kim Jong Il died, Kim Jong Un’s leadership by looking for foreign investment. He has the North Korean people to talk about succession had been successfully put for- also paid more attention to the remodel- what’s been happening in Egypt, Libya, ward, with no anti-Kim Jong Un factions ing of the city of Pyongyang. Jang seems and elsewhere. There is no public discus- or persons within the elite having ap- to be refraining from advising the young sion on the people’s revolutions in the peared knowingly. leader on matters of military and security, Middle East. Almost no information on As you may know, the key organiza- as those are not his domain. That means these revolutions reaches the ears of the tions of control in North Korea are the that military and security matters are un- North Korean public. There is no domestic Workers’ Party (of Korea), the military, der Kim Jong Un’s control. communication on the events or interna- and the State Security Agency. These or- Aside from Jang Song Thaek, there are tional information flow that reaches the ganizations are under Kim Jong Un’s tight other people who appear to be senior men- people. Overseas diplomats that return control. The WPK 4th Party Conference tors to Kim Jong Un. In my view, there are to Pyongyang keep silent. North Korean was recently held on April 11, 2012, where about seven others who are most promi- business travelers who travel back and Kim Jong Un was appointed as First Sec- nent. They are as follows: Kim Yong Nam, forth across the border are monitored and retary of the Party. In this position, Kim who is President of the Presidium of the checked. The government still exercises Jong Un is officially the leading official of SPA; Kim Kyong Hui, sister of Kim Jong Il tight control over the population, and will the WPK Central Committee’s Secretariat. and recently promoted as Secretary of the not tolerate any discussion of the issue or Days later, the 12th Supreme People’s As- Central Committee of the WPK; Choe Ry- anti-government movement. sembly (SPA) convened its fifth session. ong Hae, now Director of the General Po- In addition, Pyongyang and Beijing are This meeting is essentially North Korea’s litical Bureau of the Korean People’s Army of the same mind on this: a people’s revo-

11 www.biztechreport.com Q& a lution would be unacceptable. So North Korea can expect strong cooperation with China to prevent any such movement from emerging. With that said, the new leadership is faced with solving the country’s economic problems. If it cannot provide basic wel- fare for the people—that is, adequate food, energy, and medical service—then discon- tent within the population could rise. Is the new Kim Jong Un leadership headed for reform and opening of North Korea? If not, where do you think it is headed?

Not in the Western sense of reform and Dr. Jae Kyu Park with Kim Cheol Ho, Director Indo-Korean Business and Policy Forum, and Dr. Lakhvinder Singh, Managing Editor Asia opening. And not in the sense of the Chi- Pacific Business and Technology Report in his office in downtown Seoul. nese experience either. This past February, the new regime in North Korea’s economic situation is still Pyongyang made a bilateral deal with the problematic. The country is progressing to- United States—“the Leap Day deal.” North ward a position in which the regime will Perhaps India can work Korea agreed to implement a moratorium have to deal with the demand for reform on long-range missile launches, nuclear and opening. The regime knows it must in some positive way to tests, and nuclear activities at Yongbyon, improve the economy. To do this, North including uranium enrichment activities. Korea will follow “its own style” of reform help North Korea figure IAEA inspectors were supposed to return and opening. This does not mean reform to monitor the situation at Yongbyon. The and opening in the Western sense. It is my out that, for the long- United States was to provide North Korea understanding that the new leadership en- with a large-scale aid package of nutri- visions reform and opening in two steps. term development of the tional assistance. Delivery of the assistance The first is to increase its development country, it should choose was to be monitored. That would have of special economic and free trade zones, been welcome progress, but the recent such as at Kaesong, Hwanggumpyong, and economic development North Korean rocket launch seems to have Rajin-Sonbong. The second step will be to scuttled that deal. However, despite the apply aspects of Chinese-style reform. over nuclear weapons launch, the new regime in Pyongyang still Over a decade ago, under Kim Jong Il, seems to want to continue the deal. North Korea studied and made a plan for development, and open Under the Kim Jong Un leadership, the reform and opening policy. Kim Jong Il him- chance of North Korea completely giving self visited Shanghai to examine the city’s up to the world. up its nuclear weapons has been lowered. industry and growth. Under China’s recom- The recent fall of the dictatorships in Iraq mendation, North Korea started to study and Libya may have given the leadership in about China’s reform policy, but it was North Korea. What do you think Pyongyang pause, and enhanced the posi- not yet ready to adopt or follow China’s re- of these reports? tion of the hard-liners in Pyongyang that forms. Instead, Kim Jong Il said that North It is difficult to say exactly what has seek to develop nuclear weapons. Korea was starting its own-style reform and happened. It might be that any number of The leadership may be willing to make opening plan. He implied that North Korea people quarreled in the market. We don’t deals to halt North Korea’s nuclear pro- wanted to avoid the “negative effects” a know exactly. But that’s different from an- grams in exchange for immediate econom- policy similar to China’s would have on the ic needs. However, getting them to give North Korean society. He also said he would ti-government protests. On the whole, the up their nuclear weapons completely will not follow Western style reforms. regime appears to have the society under As I see it, North Korea will continue its tight control. continue to be a Gordian knot. the Kaesong Industrial Complex. Here Will North Korea give up its South Korea is going to have they allowed South Korean capital and nuclear weapons? presidential elections later this technology to enter, yet the labor is al- most exclusively North Korean. Through In my view, getting North Korea to com- year. What kind of change do its experience with the KIC and the Kum- pletely relinquish its nuclear weapons you see in the South Korean gang Tourist Resort, North Korea found no will be difficult. After the collapse of the government policy after the negative impact on North Korean society. USSR and the German unification in the elections vis-à-vis North Korea? In Sinuiju, North Korea will invite capital 1990s, a new slogan appeared in North What can the next South Korea and technology from China, and the same Korea, coined by Kim Jong Il: “No nukes, no Chosun.” Kim Jong Il persuaded his fa- administration do to normalize from third countries. In Rajin-Sonbong, relations with North Korea? North Korea will also try to attract Russian ther, Kim Il Sung, to pursue the develop- and Chinese investment. All these sites are ment of a “special weapon” to prevent the Under the incumbent Lee Myung-bak on the border regions, far from Pyongyang. US and South Korean pressure for unifying administration, there is, as we say, “no With these new projects with China and the Korean Peninsula. After he received his medicine” to change the current impasse Russia, I predict North Korea will proceed father’s permission, this slogan gained cur- in inter-Korean relations. North Korea has with reforms, benchmarking China, but at rency. stated that it will not work with the cur- a cautious pace. This is how I understand But before his father’s death, Kim Jong rent South Korean government. North Korean-style reform and opening. Il also sought to forgo nuclear weapons de- Once the Lee administration’s term velopment if the US would guarantee the ends, I think North Korea will look to try Media reports mention recent security of the Kims’ leadership and prom- to return to the period when inter-Korean food riots in the countryside in ise economic “compensation.” relations were on a course toward reconcil-

12 www.biztechreport.com INDIA-KOREA Glorious Past Bright Future iation and cooperation. With regard to the bility on the Korean Peninsula and in the curity strategy. Making a long-range rock- nuclear issue, I think at that time North Northeast Asian region. We can anticipate et with a satellite system takes years. It’s Korea will also look to return to the six- the US to continue to play a central role not a spur of the moment decision. North party negotiations. in this effort. Likewise, any peaceful reso- Korea first launched a long-range rocket lution to the nuclear issue will require US to put a satellite into orbit in 1998. That The Six-Party Talks began in leadership. failed. In 2006 North Korea tested some 2003. Eight years have passed more long-range rockets. Three years later since then and many say that Some reports suggest that North in 2009, they attempted another satellite nothing concrete has come out Korea might have spent as launch. It failed, too. We can only assume of those talks. Do you still have much as US$850 million on the that after the 2009 launch they began pre- faith in the multilateral six- recent rocket launch. Isn’t this paring for the next one, which occurred party framework or do we need an immense sum of money for a recently. Add it all up, and in total those a new model? country like North Korea? launches do amount to a considerable sum of money. The Six-Party Talks has had its failures. Scientists calculated the costs of making But it has achieved some success, in partic- the missile, and I don’t know how much it After North Korea’s insistence ular with the September 2005 Joint State- actually costs to put up a satellite system. to launch a satellite in April, ment. In any case, there really are no other But indeed it is a big sum to spend for any the recently concluded “Leap models. The only and best approach is to country, not just North Korea. continue these talks, with US-North Korea Day” deal between the US and dialogue to take place within their frame- So if North Korea has that kind North Korea collapsed. Where work. That is the best approach. of money to spend on a rocket do we go from here? Is there launch, the assistance which any possibility of the US and It is commonly said that the US the US is offering in exchange North Korea coming to another always puts it security interests for that program must seem agreement in the near future? above peace on the Korean comparatively small. Or do we need to wait until the Peninsula. In this context do But as you know, the food problem in presidential elections in South you think America is the right North Korea is very serious, and has been Korea in December? country to lead these talks on for the last two decades. More resources the Korean Peninsula? Actually, there will be two big presi- need to be put toward economic develop- dential elections near the end of this year: This is a misconception. The United ment and solving the food problem. one in South Korea and one in the United States has played an important role for However, the missile program appears States. A new administration will take over decades in maintaining the peace and sta- to be part of North Korea’s long-term se- in Seoul. I cannot predict what will happen in the United States. Regardless, the denu- clearization effort is too important to just sit and wait for the outcomes of these elec- North Korea’s economic situation is still tions. We must continue to make efforts to have the parties engage in dialogue, mean- problematic. The country is progressing ing that both Six-Party Talks and bilateral US-DPRK dialogue simultaneously need to toward a position in which the regime will be reactivated. China–North Korea relations are very complicated and many have to deal with the demand for reform international observers fail to fully understand the exact and opening. The regime knows it must nature of this relationship. What is your take on North Korea– improve the economy. China relations? Yes, they are indeed very complicated

Dr. Jae Kyu Park (right) with former UN Secretary-General Kofi Annan.

13 www.biztechreport.com INDIA-KOREA Glorious Past Bright Future and are difficult to to forego its nuclear weapons programs, & follow even for ex- and ultimately end nuclear weapons as Q perts. Nobody can say a threat to the world. All member states for sure what the ex- should support the efforts to encourage The fact that India act nature of the rela- North Korea to give up its nuclear weap- tionship is. ons in order to develop the North Korean has good relations economy. All nations can work to encour- Raecent media reports have age North Korea to open up to the world. shown that despite UN with both North sanctions, China recently might It is said that India is the have helped North Korea build only country among Asian and South Korea its long-range missiles. Given democracies who has good this reality, to what extent can relations with both Koreas. is significant. It South Korea work with China to Given the historical connection solve the North Korea nuclear between India and Korea, what means India can and missile issues? role do you see for it in helping Actually, according to reports, a Chi- resolve the nuclear issue on the nese company supplied a truck chassis Korean Peninsula? in a unique way to North Korea, and this was used to cus- I understand that India established of- tomize a vehicle to transport missiles. As ficial diplomatic ties withN orth Korea in constructively a permanent member of the UN Security 1973, and is one of the few countries to Council, I cannot see how China could as- maintain an embassy in Pyongyang. India sist North Korea in missile development. has provided North Koreans with train- support the In the past, during the Cold War, China ing in the field of science and technology, and the Soviet Union likely assisted the and has contributed food assistance to peace building North Koreans in some capacity; but I do North Korea through the World Food Pro- not think that is the case today. It is highly gramme, including a substantial amount and economic improbable that China would jeopardize last year. I understand that a delegation its position in the international commu- from North Korea visited India last year to nity by doing such a thing. examine India’s experience with setting development efforts Now, what South Korea can do is con- up special economic zones, and that the tinue to encourage China to persuade two countries have made efforts to inten- on the Korean North Korea to give up its nuclear weap- sify their bilateral ties. Perhaps India can ons programs. To maintain peace and work in some positive way to help North security in Northeast Asia, China should Korea figure out that, for the long-term Peninsula. strongly persuade North Korea to denu- development of the country, it should clearize. choose economic development over nu- clear weapons development, and open up been looking for business partners in Do you see any role for Asian to the world. India. This is positive. Greater economic countries to solve the crisis on cooperation will mean greater interaction the Korean Peninsula? In your view, what role between our societies and lead to greater can India and South Korea Not just Asian countries, but all coun- prosperity for our peoples. Prosperity it- tries can play some role. At the recent play in promoting peace self helps promote peace. Nuclear Security Summit held in Seoul internationally? What can the Diplomatically, India is a respected this past March, 53 heads of state and two countries do together? member of the United Nations. It has government from around the world were I can divide your question into eco- had an embassy in Pyongyang for a long in attendance. Every nation is concerned nomic cooperation and diplomatic co- time, and today seems to have good rela- about our global nuclear future. Not just operation. In economic cooperation, the tions with North Korea. The fact that In- Asian countries, but all UN member states relationship between the two countries is dia has good relations with both North have a role to play in support of interna- growing like never before. I understand and South Korea is significant. It means tional efforts to persuade North Korea many South Korean business firms have India can in a unique way constructively support the peace building and economic development efforts on the Korean Penin- sula. Perhaps at various levels, India can try to persuade North Korea to forego its nuclear weapons programs and instead pay more attention to developing its economy. If that happens, if North Korea makes that choice, it would go a long way to improving the peace and security both in the region and beyond. So do you think India could break the cycle in the Korean Peninsula? India can try to talk about economic development and bring foreign invest- ment to North Korea. As a friendly coun- try, India can also try to persuade North Korea to give up its nuclear weapons— but just as a friendly country talking soft- ly to a friend. As a spiritual and historical country, India commands high respect among Korean people on both sides of the Dr. Jae Kyu Park with Kim Jong-il of North Korea. 38th parallel. A-P

14 www.biztechreport.com INDIA-KOREA DIPLOMACY Glorious Past Bright Future India-Korea: In Search of Regional Prosperity region. An economic community consist- ing of these primary countries, including India, China, Japan, South Korea, Austra- lia and ASEAN, would have an economy roughly equal to the European Union (EU) and the North American Free Trade Agree- ment (NAFTA) in terms of GDP. Thus, in the future they have the potential to form an economic bloc vis-à-vis the EU and NAFTA. Where do India and Korea fit in this ongoing regional integration process? © pib.nic.in Korea is one of the founding members The Prime Minister, Dr. Manmohan Singh with the East Asia Summit Head of States/Governments, at the 9th ASEAN-India Summit, in Bali, Indonesia on November 19, 2011. of the ‘ASEAN+3’ and the East Asia Sum- mit. So far it has a maintained a neutral by Rajiv Kumar There are a number of obstacles to the position on the issue of membership in the further development of East Asian regional regional frameworks. However, recently it cooperation. First of all, the lack of confi- has become more proactive in regional se- ilateral trade between dence-building among the countries in the curity cooperation. The India-Korea strate- India and Korea has region may impede the institutionalization gic agreement, whereby both countries are increased significantly of regional cooperation. Amongst the rea- cooperating and consulting with each other B sons for this are historical legacies, ideologi- in developing regional architecture in the in recent years. cal confrontation and territorial disputes. broader Asia-Pacific region, points South Secondly, a series of bilateral free trade The strength of this bilateral relationship Korea’s new policy approach towards that agreements (FTAs) have been signed or are today can be ascertained from the fact that direction. being negotiated by East Asian countries. while bilateral trade in the financial year It can be safely argued that Korea’s role However, the majority of trade agreements 1992-1993 was a mere US$530 million, in in building regional institution in East Asia that they have negotiated or are currently 2010-2011 it has reached US$20 billion. Un- has thus far been quite low. The Korean re- negotiating are with states outside the re- til now, however, India-Korea cooperation gional policy approach has mostly been re- gion. Thus, there is the possibility that they has only been viewed in terms of trade and active, incremental, and without any grand will divert governments from the task of investment between the two countries. But vision. It has mainly limited its foreign developing the regional economic coopera- the time has now come when both coun- policy engagement to two issues, namely, tion process. tries need to extend their bilateral relations the North Korea issue and the USA-Korea Thirdly, East Asian regionalism, which for regional cooperation, an area which has alliance. There is a very common percep- gained great attention from East Asian lead- been ignored by both governments so far. tion in Korea that the North Korean issue ers after the Asian economic crisis in the Asia is in the middle of regaining the is the most significant for SouthK orea and late 1990s, seems to fail in achieving its dominant global position which it held that they cannot guide their foreign policy primary objective. The East Asian Summit, three centuries ago, prior to the industrial without regard for it. But this perception of which initially started with an “Asia only” revolution in Europe. According to the South Korea may not be entirely correct. To- concept, included the United States and Asian Development Bank, if Asia contin- day South Korea is a relatively strong nation Russia in its last summit and thus makes ues to follow its recent trajectory, by 2050 and it has to play a more substantial role in regional cooperation ineffective, just like its per capita income could rise six times Asian regional affairs. the ASEAN Regional Forum (ARF) and the in purchasing power parity (PPP) terms to South Korea’s expanded involvement Asia-Pacific Economic Cooperation (APEC). reach the present income levels of Europe. in Asian regional affairs can also be ex- This might prove to be one of the biggest This would enable an additional 3 billion pected to help it resolve the North Korea long-term impediments in developing the Asians to enjoy living standards similar to issue through Asian frameworks. Until now security mechanism structure in the region. those in Europe today. South Korea has heavily depended on the By logic it is not necessary that the USA and While this promising outcome, premised United States and China to help move the Russia must be a part of every East Asian re- on the major economies sustaining the North Korea issue forward. Now the time gional security grouping. East Asia can and present growth trajectory, it is plausible but has come for South Korea to rethink its poli- should have some institutions where only does not imply that the path ahead is just cies. There is need to adopt a new kind of regional countries participate and debate doing more of the same. Indeed, just main- approach to resolve this issue. It needs to about their future. taining the present growth momentum will bring about the Asian Regional frameworks It is clear that the road to East Asia’s re- require an urgent tackling of a broad array into the fold, in which the United States is gional cooperation is rocky. The pressing of politically difficult issues in the region. not the dominant player. This will send a question is which regional arrangement Asia’s rise is by no means preordained. signal that South Korea is ready to adopt a should lead East Asian regional coop- Indeed, this outcome is fraught with chal- new thinking in this new era of Asian re- eration. The first alternative is E ‘AS AN+3’ lenges which are not mutually exclusive. emergence. From this perspective South Ko- which includes the ten countries of ASEAN They can impact one another and multiply rea might be well advised to adopt a more as well as China, Japan, and South Korea. existing conflicts between Asian nations, or conciliatory approach towards the North But the major problem within this frame- even create new pressure points within and while reducing the United States’ strategic work is the Japan-China discord. Moreover, across Asia that threaten its growth, stabil- role in the Korean peninsula. many Southeast Asian countries are con- ity and security. Until now India has also been seen as an cerned over China’s growing influence in Thus in order to maintain this growth ‘invited player’ in building regional institu- this ASEAN+3 arrangement. Thus, despite momentum, the region needs to have ro- tions in the Asian region. For this reason some development, its future potential will bust cooperation among its nations. Yet it has remained a mere participant rather largely depend on how the member states the movement towards closer cooperation than a pro-active shaper of the East Asian deal with China’s growing dominance in in East Asia has certainly been developing integration process. Despite India’s claim to this framework. within the last ten years. The ASEAN Plus be an Asia-Pacific power, no country has yet The second alternative is ‘ASEAN+6’, Three (APT) and East Asian Summit (EAS) taken seriously India’s role in the regional which includes Southeast Asian and North- have emerged as potential regional frame- integration process. So far its membership east Asian countries, along with India, Aus- works of cooperation. These regional frame- within East Asian regional forums has been tralia, and New Zealand. This framework works are “process-based regionalism”–a a result of attempts by some of these coun- seems to have considerable promise in fu- series of meetings, dialogues, and consulta- tries to balance China’s growing influence ture as it includes all major nations in the tions–rather than “results-based regionalism.” Continued on Page 19 15 www.biztechreport.com DIPLOMACY INDIA-KOREA Glorious Past Bright Future Growing Institutionalization of India-Korea Ties by Lakhvinder Singh ndian-Korean diplomatic relations have come a long way since they were first set up around 50 years ago. I After more than 2000 years of religious and cultural ties, both countries decided to set up diplomatic liaison offices in each other’s capitals in 1962. During the full tide of cold war rivalry, the two nations found themselves in opposing campuses. However, despite the growing rivalry military exercises, exchange visits of ships between superpowers, India and South Ko- and aircraft, as jointly decided between the rea continued to grow their diplomatic ties two countries. The second MoU, signed be- together, and upgraded their diplomatic tween Controller of Research and Develop- ties to the full ambassadorial level in 1973. ment of DRDO and Defense Acquisition and Since then they have never looked back. Procurement Agency (DAPA), aims at identi- © pib.nic.in Today India and Korea are enjoying excel- fying futuristic defense technology areas of The Defence Minister, Shri A. K. Antony and his South Korean coun- terpart Kim Tae-young exchanging pleasantries at their talks, lent relations in all spheres. Bilateral ties mutual interest and pursuing research and in Seoul on September 03, 2010 are growing like never before. Trade ties are development projects in both countries. growing at 30 percent or more per year. A Strategically, India and Korea are also cultures like never before. To take these ties new trade target of US$40 billion in 2015 is much closer than ever before. Guiding further, cultural centers are being set up in said to be easily achievable. Korean invest- this cooperation is the India-Korea strate- both countries (an India cultural center in ment in India stands at more than US$2.3 gic partnership agreement signed during Seoul has already been set up in 2011 and a billion. Indian companies have also invest- Korean President Lee’s recent visit to New Korea cultural center in India is planned for ed more than US$1 billion in Korea. Delhi. Given the common challenges that 2012). Growing educational and academic Giving real push to this relationship is both countries are facing in ensuring secu- exchange between the two countries is also the web of agreements and MoUs which rity against non-conventional threats, both playing an important role in bringing stu- have been signed between these countries understand the importance of cooperating dents and scholars together. in recent years which are providing a sound and consulting with each other in develop- An agreement has also been signed to institutional base. Because this institutional ing a regional architecture in the broader promote parliamentary and media ex- structure has now acquired a life of its own, Asia-Pacific region. The fast-changing bal- changes. Korea is also said to be playing independent of policy and perspectives of ance of power and new role of emerging re- active role in the establishment of Nalanda the government of the day, bilateral growth gional powers is being constantly reviewed University in India to reestablish India’s is expected to continue long into the future. under this agreement. traditional connect with East Asia. An MoU Today the Indo-Korean economic rela- In recent years cooperation in the area on cooperation between the Korea National tionship is regulated by the Comprehensive of science and technology was emerging as diplomatic Academy and its Foreign Service Economic Partnership Agreement (CEPA) a priority between India and Korea. To ce- Institute is certain to bring the diplomatic signed in 2010. This economic agreement ment this cooperation both countries had community of these two countries closer has proved to be a boon as mutual trade set up an institutional infrastructure. In than ever. Agreement on the simplification has been growing more than 30 percent per this regard, the Joint Committee on Science of visa procedures is expected to promote year since its initial signing. Encouraged by and Technology has been upgraded to the more people-to-people exchanges in the this success, both countries have now set ministerial level. Additionally, a US$10 mil- near future. up a joint committee to upgrade the CEPA lion joint R&D fund has been set up for re- Both countries have also agreed to coop- to take things to a higher level. The second search projects, human resource exchange, erate on global economic and financial is- meeting of this committee is planned to be workshops and other science and technol- sues (within the G-20 process). They are also held in Seoul this year. ogy cooperation programs, which is giving consulting each other on UN reforms, in- A joint commission co-chaired by the new impetus to cooperation in these fields. cluding security council expansion. Global Foreign Minister and External Affairs Min- An MoU on cooperation between the Indian hot spots such as the Gulf, West Asia and ister of the two countries is now regulating Space Research Organization (ISRO) and the North Africa are also getting due attention diplomatic relations. Meeting every year Korea Aerospace Research Institute has fur- from both partners. Recognizing that any alternately in Seoul and New Delhi, the ther strengthened the base for joint work in disruption of peace on Korean peninsula commission is constantly reviewing these the area of space research. This has already will have worldwide economic and strate- growing relations and giving new direction opened a big window of business opportuni- gic ramifications, India is actively advocat- to the fast-developing strategic partnership. ty for two both nations in this sector. India ing a peaceful resolution of the North Ko- The seventh meeting of this commission is is actively participating in the RoK’s inter- rean nuclear and missile program. In order scheduled to be held soon in New Delhi. national open bidding for the launching of to keep sea lanes of communication open Foreign Policy & Security Dialogue (FPSD), Korean satellites, for example. and safe from piracy and terrorism, India is being held at the level of Vice Foreign Min- Recently, energy has been emerging as advocating closer cooperation with the Ko- ister, MOFAT and Secretary (East), MEA, is another area of mutual interest between rean navy. Both countries have also agreed also emerging as a useful instrument for ex- the two countries. A bilateral civil nuclear to cooperate within the UN framework in changing views and harmonizing positions cooperation agreement signed during In- adopting the Comprehensive Convention on a variety of bilateral, regional and inter- dian president Partiba Patil’s visit to Korea on International Terrorism, and also within national issues. last year is providing the legal framework the East Asia summit to make sure the pro- Defense cooperation and defense ex- to this cooperation. Agreement has opened cess is not high-jacked by one country or a changes are also on the rise. Guiding this wide opportunities for Korean companies group of countries. cooperation with a strong footing are two to invest in the Indian nuclear energy sec- Apart from these major agreements and MoUs of defense ties signed in 2010. The tor. The Korean side is said to be actively MoUs, there exist dozens of other bilateral first of these two regulates and promotes asking for a site to set up the first Korean agreements promoting smooth functioning defense-related experience and informa- nuclear reactors in India. of cooperation between the two countries. tion, mutual exchange and visits by military On the front of cultural relations, great Given all this, India-Korea ties have been personnel and experts, including civilian strides have also been made in the recent put on very strong footing and thus are ex- staff associated with defense services, mili- past. Successful execution of cultural festi- pected to continue expanding for many de- tary education and training and conduct of vals in 2011 have brought together the two cades to come. A-P 16 www.biztechreport.com Business New Thinking for Reducing the Risk of Investment in India by Bonghoon Kim orean companies have been investing K in India since the mid-1990s. Several big Korean companies have successfully established themselves there. However, most small and medium- sized companies could not © pib.nic.in The Union Minister for Micro, Small and Medium Enterprises, Shri Virbhadra Singh addressing the “7th North-East Business Summit”, in reach the Indian market. New Delhi on January 06, 2012.

In this article we will discuss the prospec- Airport: 10 airports in Gujarat functions of SEZ in India, we should check tus of small and medium-sized companies Ports: 41, along the 1,600 km coastline, the following: investing in India. which has good accessibility • Industrial function for high-tech and First of all, Korean companies need to Gas: Unique integrated gas network in manufacturing analyze more regions in India before invest- India (total 2,200) Waterway network : • Education & research functions of the ing there. Since the Indian economy opened Total 75,000 km KTR Hub in 1991, each state has been individually • Convention and International business promoting economic development, setting Water resource: 17 reservoirs and the function industrial policies, and also employing dif- Narmada Canal (10,619 sq. km); favorable • Commercial & business function ferent tax systems. As such, economic dis- water supply with 1,864 mm of annual • Rest & leisure functions harmonizing parity has occurred among the states for the rainfall (Madhban dam) with the ocean past ten years, resulting in a gap in terms Electricity: favorable electricity infra- • Eco-friendly residential function of investment risk. Traditionally, the areas system and transmission and distribu- • Religion, medical tourism function with low investment risk are the major four tion lines. High quality electricity India accounts for a great portion of the cities of India, along with areas that have fa- (Source: MAXtin India Advisory) world economy and is expected to continue vorable road, railroad and harbor facilities. Second, Korean companies need to ana- to grow over the next several decades, with Agriculture-centered areas and states under lyze more social and political risk instead a generally low investment risk. Even from the communist party have had low invest- just of calculating cash flow intoI ndia. India a social point of view, owing to the religious ment attractiveness. has a unique political system where it prac- power from all classes of population, a mu- There is generally much information on tices an advanced democracy system unlike tually harmonious atmosphere is present the investment environment in India, but other developing country, where dictator- and the risk level is considered very low. it is still difficult for Korean companies to ship or military regimes prevail. From an economic point of view, India is obtain a broader sense of the regional and The risk from the ‘quality of bureaucra- facing difficulty in establishing infrastruc- local investment environment, something cy’ is estimated to be low, which is attrib- ture, caused by the worsening deficit of the which is certainly important for any Korean uted to the high level education of India and government, as well as difficulty in acceler- company to understand before committing its abundance of university graduates who ating the engine of industrial growth due to to major investment funding there. are not only well-versed in English but also imbalance in industrial structure. Though For example, Gujarat is one of the best have excellent administrative performance these may cause slower growth, the risk ac- states in India in terms of economic envi- abilities. companying the stabilization of economy ronment but relatively few Korean compa- However, the risk from corruption is growth is very low and the economy risk is nies have invested there. Punjab is one of quite high. Bribery is often used as a mea- not considered high owing to the high stabi- the richest states in India so there is huge sure for companies to negotiate with the lization of the currency exchange rate. consumer consumption power. However, state for agreements and tax. This is due to Regionally, the southern and western again, there are few Korean companies the fact that an electronic system to handle parts of the country are considered low in there. This indicates that Korean companies documents is not yet well-established, and investment risk, while investment in the might be being influenced by factors other most paperwork is done by hand. Corrup- north-eastern part of the region is consid- than pure business logic. tion is also influenced by the financial pres- ered unattractive. However, Korean compa- For example, when planning for the in- sures coming from large family structures, nies need to compare more specific invest- vestment environment of Gujarat, the fol- where the family head has to take care and ment environments in differing regions. lowing map and information of infrastruc- feed the many extended family members. Today there more Korean companies that ture should be initial step to understand it: Third, Korean companies need to under- are planning to invest in Indian market in Roads: Establishment of road net- stand more functions of the SEZ and indus- spite of some risks. It will not be long before work between Delhi and Mumbai (total trial zones in India because it is very hard small and medium enterprises will have 137,384 km, paved road 98.9%). Railroad: for them to construct their plant outside of overwhelmingly positive views of investing 37.9% in area of Gujarat state these areas. For example, when we check in Indian growth. A-P 17 www.biztechreport.com Business INDIA-KOREA Glorious Past Bright Future Understanding Future of the India-Korea Free Trade Agreement under CEPA

like to partner India further in its quest for by Anuradha Shukla economic development. Whereas Korea is strong in manufacturing, India has a robust ndia and South services sector, which complements deeper Korea have had a cooperation.” very successful run The next official review is expected to I be held by the Ministerial Joint Committee of the CEPA, or the in Seoul in 2012. Since 2010, the bilateral Comprehensive Economic trade between India and South Korea has © pib.nic.in grown by 44 per cent from $15 billion. Partnership Agreement The Prime Minister, Dr. Manmohan Singh with the South Korean President, Mr. Lee Myung-bak, during a Joint Press Statement, (CEPA) that was set up two in Seoul on March 25, 2012. Has CEPA Proved Profitable in years ago. liberalization process as per CEPA revenues, India or South Korea? considering theoretical assumptions of Despite government endorsement of the Under the deal, bilateral trade between complete liberation in both countries. This success of CEPA over the past few years, Indi- the two countries have grown from US$12 model more specifically looked at consumer an business representatives and consultants billion in 2010 to US$21.5 billion, a growth surplus, trade creation and diversion results such as B. Sriram from the Price Water Coo- rate of more than 70 percent. The agree- as well as the impact on tariff revenues. Ac- per Consultancy believe that, “South Korea ment has been reassessed and improve- cording to one such study, ‘India is expected has agreed to reduce import tariffs on nearly ments have been implemented since 2010 to lose US$768 million while Korea will gain 95 percent of the items whereas India has by director generals of both countries. At by US$1232 million.’ agreed to limit that to 80 percent of the du- the end of the last meeting in September of tiable products. However, most automobile 2011 in Seoul, both countries were poised Review of CEPA in products have been kept out of the CEPA.” to decide on lowering tariff as well as to Business Terms Hence, there is a great need for Indian abolish some of them much before the re- The Comprehensive Economic Partner- businessmen be more pro-active and lobby quired deadline of ten years. ship Agreement came into force from Janu- for inclusion of their industry within CEPA. The new Indian ambassador to Korea, ary 1, 2010, following an agreement be- A Research on International Economic Vishnu Prakash has expressed that, “India, tween the two countries in 2009, to forge Relations (ICRIER) sponsored paper found inspired by the success of the Comprehen- stronger economic and strategic ties with that “a further 10 percent reduction in tariff sive Economic Partnership Agreement with each other. on all items except agriculture and fishery Korea, is eager to expand our ties further. Upon signing the historic CEPA, Anand products would increase Korea’s exports to We already want to further upgrade the Sharma, the Union Minister, said that, “We India by US$180 million. But it will also lead CEPA, which is just two years old, and that view the agreement with the Republic of to increases in India’s exports by US$600 shows how effective it has been. We per- Korea to serve as an economic bridge be- million.” ceive it as a very successful effort.” tween South Asia and the larger East Asian Trade statistics also reveal that in 2010, economy, paving the way for a larger re- “India imported goods worth US$11.4 bil- Preview of Indo-Korean CEPA gional economic integration across the lion and in the first eight months of the cal- The CEPA was signed on August 7, 2009, Asian continent.” endar 2011, brought in $8.5 billion worth. by the governments of India and South Ko- In September 2011, the maiden joint But India’s exports to Korea in 2010 were rea, aimed at boosting trade in industrial ministerial committee meeting was held to $5.6 billion, which rose to $5.5 billion in the sectors, as well as engaging in manpower review and assess the Comprehensive Eco- first eight months of 2011.” Hence, the pres- exchange. nomic Partnership Agreement. The com- ent skew in trade has to be corrected so as In India it was a watershed agreement; mittee included Kim Jong-Hoon, Korean to achieve favorable trade revenues for both only the second in its history after a similar Minister for Trade, along with a high-level countries. agreement with Singapore in 2005. Howev- delegation consisting of officials, business- er, it remains the first-ever free trade agree- heads as well as professionals. CEPA and Future Trade Between ment with a member of the OECD. After According to the review, Sharma re- South Korea and India the success of CEPA with South Korea, India vealed that Indian investment of US$100 The future of South Korean and Indian has since followed it up with agreements to billion FDI was achieved. He specially men- bilateral as well as comprehensive relation- other important trading partners such as tioned that, “the Delhi-Mumbai Industrial ships was well showcased by the Prime Min- Malaysia and Japan. It is currently review- Corridor (DMIC) project represents a whole ing another with Indonesia. range of opportunity for establishing new ister during his historic visit to South Korea The CEPA with South Korea technically urban townships, investment regions, and in late February, 2012. differs from an FTA in the sense that the logistic hubs in an economically vibrant Within the backdrop of the Nuclear Secu- tariffs would be lowered in phases. Both part of India. We welcome the Korean busi- rity Summit the Prime Minister was attend- countries are bound, as per the agreement, ness community to join hands with us in ing, he explored all facets of the trade and to lower their tariffs by ‘85 to 90 percent of our endeavor to develop this corridor.” bilateral relations with South Korea. the goods traded between the two countries Despite, the recessionary economic en- Addressing various forums and business over the course of a decade.’ vironment, Mr. Sharma said that trade be- representatives at various points of his visit, tween the two countries has grown fivefold he said that, “Since the implementation Analysis of CEPA So Far in the last 8 years and both the govern- of the bilateral Comprehensive Economic In the years following CEPA implementa- ments hoped that the business community Partnership Agreement (CEPA) on January tion, various studies have been carried out would “take advantage of the liberal tariff 1st, 2010, bilateral trade between India and to understand, assess and evaluate the feasi- regime” so as that “the services economy South Korea had surged by roughly 65 per- bility of the trade agreement. in particular will benefit from a liberalized cent in two years and reached a turnover of Some of these investigated the applica- regime on both sides and will form an im- US$20.6 billion in 2011.” tion of the agreement based on ‘trade in- portant building block for augmenting the Inviting the Korean business commu- dices, partial equilibrium and computable bilateral trade between our two countries.” nity to invest in India, he said that, “Invest- general equilibrium.’ Advanced economic The Korean Minister said that, “India ment from Korea is a priority for India. We tools such as SMART model and the GTAP and Korea had increased mutual trade by will take pro-active steps to address inves- model were used to evaluate the immedi- more than 44 percent to about US$17 bil- tor grievances and improve the business ate as well as long-term impact. The WITS- lion during the past year alone since the im- climate in the country. Many states of our SMART model was applied to evaluate the plementation of CEPA. South Korea would Continued on Page 22 18 www.biztechreport.com INDIA-KOREA Business Glorious Past Bright Future Continued from Page 15 in the area. India is not there as a ‘natural contender’, as the case should be in the first place. Notably, Japan brought India into the ASEAN+6 to dilute the ASEAN+3 process, where China is dominant, while South East Asian countries like Singapore, Thailand and Indonesia played a more significant role in bringing India into the East Asia Summit. Many scholars see India as a counter- weight to China’s increasing influence in the region. But this argument has limita- tions. India is a “natural and historical part- ner” of East Asian nation states and thus must not be seen as a function of growing rivalry between the two primary groups in the region. Its robust cultural and civiliza- tion connections with East Asia must not be © pib.nic.in underestimated in this regard. The Prime Minister, Dr. Manmohan Singh at the Interactive meeting with the Korean CEOs, in Seoul, on March 26, 2012. East Asian integration is essential to realize an Asian century. And that India will have a key role in shaping it cannot Growing Korean Investment in be stressed enough. For this India needs a more active policy initiative towards East Asia. India must revitalize its “Look East India Creating Sub-regional Hubs Policy” that was initiated two decades ago However, under its umbrella protection, in- to ensure it is an indispensable player in by Kim Cheol Ho dividual countries are not able to fend for this part of the world. It has to take on a themselves. Hence, the emergence of sub- leadership role in bringing all East Asian regional economic ties that help countries nations to the same table. The recent visit s India and South Korea forge new with complementary or similar demands of the Indian Prime Minister to Korea was a and supply structures to broaden and de- great opportunity to reassert its position as A pathways of velop sub-regional trading options. In fact, Asia-Pacific power. But unfortunately noth- discovering and supporting Asia has been a witness to the increase in ing much came out of it in this regard, and bilateral and trading sub-regional trading hubs so as to develop the visit has been passed off without getting more sustained economic opportunities any attention from Korean and regional ob- relationships, there is a among member nations. servers. There was much talk, no action. A surprise trade-off. great opportunity lost! Until now, in order to formulate policies As Korean investment and socio-cultural on East Asian affairs India has been heavily ties with India increase, a distinct influ- South Korean investments dependent on either foreign policy estab- ence of South Korean culture is becoming lishments which are terribly overstretched largely visible, especially in Indian outposts across Indian businesses or else Western-trained experts with lim- such as Manipur, where South Korean tele- are laying the roots ited knowledge and access to the region. Ac- vision and entertainment content are not cording to recent reports, a small country only popular but are slowing seeping into for greater localized, like Singapore might have more diplomatic the psyche of the people. This is especially sub-regional economic resources in the field than a country of 1.2 true of the young generations, as they copy billion people. It says something of the sad the traits of popular TV fiction heroes and growth. state of affairs of Indian foreign policy es- heroines. tablishment. The southern part of India, especially India, following its first ever trade agree- That Indian policy makers are generally around the Chennai region, where South ment with Singapore in 2005, opted for a ill-informed can be seen from some of the Korea has successfully established an au- more comprehensive CEPA trading struc- recent foreign policy decisions they have tomotive manufacturing hub, is another ture with South Korea, considering the taken regarding the region. India needs to region where South Korean culture and high-value export it would receive from develop more field scholarship resources to economies play a significant role. South Korea and vice-versa. assert its position as an Asia-Pacific power. Another important segment of the South Hence, the region is witness to a pleth- Nobody will take its claim seriously when Korean diaspora is located in the vast cam- ora of sub-regional trading blocs – China its top policy makers display a lack of touch pus of Delhi University, engaged especially with Japan, South Korea and India, Austra- with the region in their statements and in the study of foreign languages, from lia and New Zealand, to name a few of the speeches. Hindi to English and even Spanish. more significant ones. India needs to develop a much clearer vi- Therefore, wherever South Korea has Indian and South Korean sub-regional sion of its role in East Asia. It has to involve successfully established a local hub, there trade has tremendous latent potential that itself in the region more actively. For this, it has been a sub-regional hub created as requires greater pro-activism from mem- will have to understand East Asian people’s well. While this is true at the domestic ber countries. Being two well-established perceptions about the world and their role level within India, around the Indian sub- democracies in a region where political in it. It is very important for the Indian for- continent South Korea’s trail of investment unrest and military supremacy dominate, eign establishment to understand that what history has nurtured sub-regional co-opera- both need secure and hospitable economic East Asian countries are thinking about In- tion and growth. conditions to thrive. Hence, South Korean dia is more significant than what India is The Comprehensive Economic Partner- investments across Indian businesses are thinking about them. ship Agreement, or CEPA, has proved to be laying the roots for greater localized, sub- successful in creating sub-regional trade India and Korea can play a leading role in regional economic growth. agreements between South Korea and In- integrating the region as both countries Existing regional trade agreements be- dia, and it will likely emerge as a power- share fundamental values such as freedom, tween China, Japan and South Korea have ful socioeconomic zone of influence, if the democracy and respect for basic human in some sectors proved ineffective for high- preferential trade agreement both coun- rights. Both countries need to have a joint profit revenue earning zones. Hence, it is tries support persists in decades to come. required that newer sub-regional agree- approach towards regional cooperation so ASEAN is well-established and highly that Asia will be able to realize its century ments have to prosper to deepen and ex- regarded as a regional trading platform. plore newer trading opportunities. A-P without any further delay. A-P 19 www.biztechreport.com Business Ssangyong Motors Advances on Top of Six Strategy Pillars by Matthew Weigand ahindra & Mahindra (M&M) acquired Ssangyong Motor Co. in 2011 and plans to introduce the company’s vehicles in 2012. © Ssangyong Motor Company M New concept car model from Ssangyong Motors Previously, Chinese giant Shanghai Auto- Rexton in India later this year. M&M has a and Ssangyong Motors plan to jointly make motive Industry Corporation (SAIC) was the strong presence and an extremely strong more affordable, lower-end products for the largest shareholder until 2009, but was un- brand in India. Thus Ssangyong will be able Indian market, while rolling out high-end able to successfully build up the company. to leverage that advantage,” explained Mr. products in the Korean market. After it was forced into court receivership, Lee. Putting Ssangyong into so many foreign M&M made overtures to pick it up, and the markets is sure to boost the company’s sales Greater Trend of Indian details were finally worked out. TheM ahin- by several orders of magnitude. It is looking Acquisitions dra Group has a new vision, dubbed ‘Prom- like these two companies are a match made M&M has been making a lot of acqui- ise 2013 and Aspiration 2016’, to make in heaven. sitions lately, a trend which is reflected Ssangyong the most innovative and re- throughout the Indian corporate sector. spected Korean automotive company in the Extensive Cooperation Indian companies have purchased a total world, and things are now looking up. Mr. Ssangyong and M&M are planning ex- of 1,056 international companies for about Lee Yoo-il, President & CEO of Ssangyong tensive cooperative efforts in all areas of US$94 billion from 2006 until now, accord- Motor, strongly believes the synergies of the auto production, especially R&D, product ing to Bloomberg. Almost US$30 billion of two companies will take Ssangyong Motors development, sales, and purchasing. It is ex- that was spent in the last year and a half to the top in the very near future. pected that this cooperation will greatly en- alone. Notable deals include the purchase of “We believe that we have a lot of syn- hance Ssangyong’s cost competitiveness. In Kuwait’s Mobile Telecommunications Co by ergy opportunities, such as common mar- Bharti Aritel Ltd for US$10.7 billion, and the kets and platforms. Also, we have different purchase of UK-based Corus Group by Tata teams working on different areas: the mar- Steel for US$12.8 billion. The M&M deal keting team working on marketing synergy with Ssangyong is part of this Indian global and the R&D center working on R&D and trend. It has also undoubtedly been aided product development synergy. As a result, by the trade agreement created recently be- we can reduce costs and boost cast flow to tween India and Korea, which was signed in enhance profits,” Mr. Lee is quoted as say- February 2010. ing. He is already looking to the stars. Dr. Pawan Goenka, Chairman, Board of Good Signs Already Directors, Ssangyong Motor Company and Ssangyong Motors is growing as a global President, Automotive and Farm Equip- SUV and CUV manufacturer based on strate- ment Sectors, M&M Ltd and CEO Lee Yoo- gies to maximize synergy with M&M, which il unveiled the company’s new vision and mid- to long-term core strategic initiatives has extensive understanding of and plans on September 20, 2011 in Pyeongtaek City, for the Korean auto maker. This will proba- Korea to an audience of about 3,300 employ- bly also be aided by external factors, such as ees of Ssangyong. The business core strate- the total rising purchases of Korean autos. gies consist of six pillars: developing com- Korea’s overall auto sales in 2011 jumped petitive products, increasing global market 9.2 percent compared to 2010. This was share and sales, attaining cost leadership, mostly helped by increased overseas de- mand. Altogether, Hyundai Motor, Kia Mo- developing next-generation technologies, © Ssangyong Motor Company tors, GM Korea, Ssangyong Motors, and maximizing synergy with the Mahindra Mr. Lee Yoo-il, President and CEO of Ssangyong Motor Company. Group, and strengthening organizational Renault Samsung Motors sold 4,626,345 statements at the presentation, Chairman vehicles. In comparison, the number for capabilities. Practically, it was a part of its Pawan Goenka said, “Today we have taken a business core strategies that the Board of 2010 was 4,237,533 vehicles. Domestic giant step in the march towards reclaiming the Directors of Ssangyong Motor approved sales increased 0.6 percent at 1,474,637 ve- Ssangyong’s rightful place as a key player an investment plan amounting to US$258 hicles, and exports increased 13.7 percent in the global automotive community.” Also, million, including development of a new at 3,151,708 vehicles. CEO Lee Yoo-il stated, “The goal we have set global strategic model and a new engine, at Even though Ssangyong ranks at the bot- the first meeting in 2012, according to Mr. may be challenging, but given the tenacity tom with only 113,001 vehicles sold, aggres- Lee. The company will launch facelifts of ex- and determination of the Ssangyong team, I sive development of global markets and isting models by 2013, and four completely am sure we will achieve it.” marketing activities are expected to in- new models in 2016. The company also “The launch of new models and cost crease this number substantially. The goal is plans to design electric vehicles using Ko- control are keys to the turnaround of to sell 300,000 vehicles by 2016. The com- rea’s strong technology sector. Ssangyong Ssangyong,” explained Mr. Lee, “What is pany also has an aggressive three-pronged will also take advantage of M&M’s overseas expected from now is very good volume strategy for increasing their export busi- distribution network, which it first did by growth, and we are at that pace already. We ness. First, they will explore and enter into opening in South Africa last April. are investing in developing new vehicles, new main global markets such as Central “The entrance into South Africa was a introducing up to five refreshed models by and South America, Eastern Europe and Af- part of mid- to long-term strategies to maxi- 2013 and four completely new models by rica. Second, they will strengthen the global mize synergy with M&M, and we consider 2016.” network as well as sales capacity in existing South Africa an important stepping stone One of those new models will be a XIV- exports markets. Third, the company will to expand sales throughout Africa,” said Mr. 2, CUV concept car with a soft top system strengthen global sales capacity such as Lee, “With the best quality and products, developed as a global strategic model. The management of local customers and mar- Ssangyong will continue to expand sales company plans to develop diverse versions keting by setting up local offices or training throughout Africa.” of its SUV coupe concept car, including centers. Ssangyong Motors especially plans Ssangyong will also open the Indian 5-door/3-door models, a coupe model, and to increase sales, focusing on new markets market this year. “We are going to sell the a long body model. Furthermore, M&M –China, Russia and India by priority. A-P 20 www.biztechreport.com INDIA-KOREA Business Glorious Past Bright Future Korea-India Trade and Investment Leaps Ahead of the Korea Chamber of Commerce and In- by Don Kirk dustry elaborated on the benefits ofE C PA for both countries. CEPA would “not only he focus of free trade expand trade volume but will also increase agreements between investments in India by our companies in the manufacturing and services sector,” he T Korea and other predicted. “Both sides can create more op- countries has been on deals portunities for growth if the competitive- reached with the European ness of Korea’s electronics, telecommunica- tions, automobile, steel, shipbuilding and Union and the United States. construction sectors is well combined with India’s top-class human resources and huge Actually, however, before finalizing those domestic consumer market.” An official at agreements, Korea in August 2009 signed India’s commerce and industry ministry a free trade deal with India that’s known agreed, saying the deal would bring about not by the initials ‘FTA’ but as ‘CEPA’, or “more integration to a developed nation the Comprehensive Economic Partnership like South Korea” – and was “also expected Agreement. Its purpose was to get rid of 90 to encourage South Korean auto firms to in- percent of the tariffs on imports into Korea vest more in India and see it as an export from India and 85 percent of the tariffs on © pib.nic.in hub.” Korea imports into India within a decade. The Union Minister of Commerce and Industry, Shri Anand The agreement in a real sense climaxed a Three years after conclusion of the deal, Sharma greeted by the South Korean Trade Minister, Mr. Kim Jong Hoon during the signing of the Comprehensive Economic process that began to take off in the depths the record shows that it’s been a great suc- Partnership Agreement (CEPA) between India and Republic of of the 1997-1998 economic crisis when lead- cess – more successful perhaps than that Korea, in Seoul on August 07, 2009. ers and planners for the great South Korean of better-known FTAs between Korea and pan. Equally important, Korea was only the conglomerates, known as chaebol, began much larger trading partners. “The initial second country after Singapore – and the seeing India as a potential market at a time impact of CEPA has been very encouraging,” first member nation of the OECD, the Or- when the need for expansion and diversity said a report by the Indian embassy in Seoul. ganization for Economic Cooperation and was paramount. The fact that trade and in- “Bilateral trade crossed US$20.6 billion by Development-- with which India had signed vestment with China were rapidly increas- the end of 2011, registering a 70 percent in- such a deal. ing gave rise to the question, Why not India, crease over a two-year period.” That figure is The agreement “signifies the highly com- whose population of more than a billion spectacular considering that two-way trade plementary nature of the two economies,” ranked second only to that of China. a decade earlier, for 2002, came to US$2.6 said Korea’s trade minister, Kim Jong-hoon, The pace of cooperation and negotiations billion – and was just US$530 million a de- at the time of the signing. “CEPA sends the for a deal quickened after the late Roh Moo- cade before that. The embassy reported that message to the world that the two countries hyun, then the South Korean president, vis- Indian demands “for a wide range of goods are committed to free trade and are against ited India in 2006. While Hyundai, LG and and services” was “expanding rapidly” in protectionism.” Moreover, he observed, Samsung, among others, were investing keeping with the average eight percent an- “The Indian economy has a huge economic in India, Tata Motors took over the com- nual increase of the Indian gross domestic growth potential, considering that it has mercial vehicles sector of Daewoo Motors, product over the previous five years. one-sixth of the world`s population” and a casualty of the economic crisis. Those With India’s GDP “poised to reach US$2 “also has the fourth-highest GDP purchas- and other investments were made possible trillion by the end of the year,” said the em- ing power parity.” when negotiators agreed that Korean and bassy report, India was expected to become India’s commerce minister, Anand Shar- Indian investors could own up to 65 percent “the third biggest economy in the world by ma, was, of course, duly amazed by “the as- of equity in firms in each other’s country -- 2030.” South Korean entrepreneurs, it said, tonishing growth of Korea” from the ashes no need to quibble about who was in charge had been “quick to recognize the great po- of the Korean War. Aggressive Korean in- as in the 50-50 or 51-49 deals that so often tential of the Indian market comprising 1.2 dustrial investment in India was clearly the create problems among investors. billion people and a 300-million-strong mid- reason for India’s overwhelming interest in At the same time, the agreement care- dle class, endowed with excellent buying close commercial ties with Korea. One had fully skirted some of the most contentious power.” At the same time, India would “also only to look at the records of POSCO, whose nationalist issues that typically bedevil at- benefit fromE C PA” thanks to provisions project to build a steel plant in India rep- tempts at coming to terms. For now, and under which “professional workers such as resents the largest ever foreign investment probably for many years to come, both computer programmers, software engineers in the country. Another highly visible Ko- countries can maintain barriers to farm and and English-language teachers, etc.” could rean name, Hyundai Motor, which opened fishing products and mining – all seen as obtain temporary visas to live and work in its plant in Chennai in 1995, competes to the birthright of the people of both coun- South Korea. All told, said the report, “163 dominate the Indian compact-car market tries. There will be no need to worry about such professions would be allowed access to while also exporting several hundred thou- whether Indian low-priced rice will under- the Korean services market.” Thanks to this sand cars a year to Europe from its Indian sell Korea’s high-priced rice, and no one will provision in CEPA, more than 1,000 Indians plant. LG and Samsung Electronics have be concerned about meat products infected have come to Korea to work for mostly ma- plants in the New Delhi metropolitan area, with mad cow disease. Bitterness over those jor companies while another 500 are study- their names firmly implanted like Hyundai products permeates trade discussions with ing and doing research at Korean universi- in the Indian subconscious. the United States, even though the Korea- ties and think tanks. Against that background, it’s easy see US FTA leaves alone the hypersensitive In regular meetings between Korea’s why India placed high priority on tightening question of rice, the lifeblood of the south- trade minister and India’s commerce min- its Korean bond. Such “significant invest- western Cholla provinces that are often at ister, the mood surrounding CEPA has ments and presence in the Indian economy odds with the rest of the country. been totally upbeat. The adjective “his- have helped India become a manufacturing Nor can politicians risk the fallout of toric” comes to mind in any description of base,” said Sharma. He called CEPA “a strate- takeover of mining interests that national- the deal. One of the more notable aspects gic step forward” – that would “also connect ist elements always perceive as a challenge of the agreement was that it was the first both countries with other major Asian and to basic sovereignty and national pride. Tex- ever reached between South Korea and one other major economies.” The agreement, he tiles were also excluded, considering the of the BRICs – that is, Brazil, Russia, India said, was “just the beginning” of a relation- huge importance of cheap clothing to the and China – all huge economies outside the ship that’s already exploding with bilateral people of both countries and the risk that sphere of what have long been regarded as trade expanding by more than US$3 billion Indian-made garments, stitched together by the more “advanced” economic powerhous- annually. extremely low paid workers, would sharply es of western Europe, North America and Ja- At a luncheon in Seoul, Sohn Kyung-shik Continued on Page 22 21 www.biztechreport.com Business INDIA-KOREA Glorious Past Bright Future Continued from Page 21 Why is Indian Investment in undersell Korean products. Despite all such problems, however, CEPA wound up guaranteeing that two Korea on the Rise? thirds of more than 5,000 products sub- ject to tariffs would be tariff free within by Anuradha Shukla eight years after the treaty took effect at the beginning of 2010. Tariffs on South he compulsion for Korea motor vehicles are going down to less than one percent while tariffs on India and South Korea other items are to be reduced by any- T to develop a powerful where from five percent to fifty percent. presence in the Indian India’s high-tech industry already is ben- efiting from the opening of South Korea sub-continent is driven by to investment and work in fields ranging strategic, economic, as well from information technology to engi- neering and finance. as political demands. © Stephen Finn | Dreamstime.com Bar chart and rippled Korean flag illustration Perhaps the most intriguing – and po- The constant flux in the modern world tentially controversial – area of South Ko- scenario in these certain areas. rean business with India focuses on the order and globalization has led to different The Trade Complementary Index, or TCI, sets of opportunities as well as challenges export of technology for nuclear power reveals that both Indian and Korean trade plants. Since detonating its first nuclear for both the nations. Again, multilateral has reached the right level of ‘trade quality’; platforms such as the IMF or WTO do offer device in 1974, India has accumulated i.e., the point where each is able to comple- as many as 100 nuclear warheads for greater scope for growth. However, India’s ment the other. strategic shift towards developing a ‘Look potential deployment on submarines Despite the advantages of a CEPA trade and missiles as well as aircraft. Parallel- East’ foreign policy has led to a fourfold in- agreement, Indian businesses have not crease in the investment pattern between ing the country’s rise as a nuclear weap- been as successful as the Koreans in ex- ons state, India also has risen in nuclear the two countries. ploiting the benefits that this agreeement The liberalization of the economy in In- power production, with plans for nuclear bestows. While India has limited itself to energy to triple in 25 years. By that time dia coincided with the Korea business com- providing information technology services munity’s overall need for newer markets for upwards of 100 nuclear power plants will and some low-value products, there is an fill nearly one tenth of the country’s en- trade and investment. In the phase between immense opportunity for joint ventures in 1991 to 2007, Indian exports to Korea rose ergy needs. By the middle of the century, agricultural instruments, auto parts, and of by some estimates, India will count on from US$240 million to US$2.46 billion. course Korea’s primary area of expertise - There was a simultaneous increase in Kore- nuclear energy for one fourth of its en- semiconductors. ergy. Today India ranks sixth behind the an imports from US$314 million to US$5.4 In turn, Korea stands to gain by col- billion during the same period. At present United States, France, Japan, Russia and, laborating and seeking India’s Space and incredibly, South Korea in generation of India is ranked eleventh on the list of Ko- Research expertise. The Prime Minister of rean investment nations. nuclear power. India has already offered to launch South Since the tsunami disaster that devas- The increase in investment, especially in Korean satellites to achieve economic and tated Japan’s Fukushima nuclear power the period since the inking of the Compre- commercial value. Other core sectors that plant in March 2011, both India and hensive Economic Partnership Agreement both countries are looking to invest inten- South Korea have forged ahead with (CEPA), is due to the change in demand sively in are broadcasting, health care, real plans to increase nuclear power plant structures as well as a complementary ad- estate, and pharmaceutical as well as infor- capacity while Japan is pulling back and vantage in different sectors. Convention- mation technology. other countries are hesitating. One result ally, India exports are largely low on the Leaders from both the countries are keen is that India and South Korea signed an value chain. For example, slag, ash or ores that they provide investor-friendly ecosys- agreement in July 2011 for South Korea and other such products constitute nearly tems by creating a tariff and a non-tariff bar- to enter India’s US$150 billion nuclear 40-percent of total Indian trade, followed by rier condition. Both countries are striving energy market by exporting technol- cotton. In contrast, Korea’s exports are con- to remove more threshold barriers across ogy and components for reactors. South sidered to be ‘high-value’, as they consist of sectors to ensure that investors and indus- Korea, which by now gets about 30 per- a finished electronic product ranging from tries of both countries have a level playing cent of its electricity from nuclear power semi-conductors to washing machines. ground. plants, sees India as a potential market Despite the continually lowering of tariffs India continues to diversify and invest in for finished reactors. Doosan Heavy In- in Korea, there are still some threshold barri- the broader spectrum of Korean industrial dustries, which manufactures all South ers in such sectors as agriculture or fisheries. sectors and is seen to be reaping benefits in Korea’s reactors, beat out a strong French Korean Tariff Rate Quotas work in Korea’s fa- the field of manpower skills and informa- rival for the contract with the United vor, allowing it to maintain a closed market tion technology service delivery. A-P Arab Emirates for building four reactors at a cost of US$20 billion while looking for markets elsewhere. would offer Korean business groups, the Continued from Page 18 India ranks high on the list of pros- union have been actively encouraging for- Prime Minister is giving a detailed report pects, especially since the Indian parlia- eign investment and we will support these said that, “Firstly, our domestic savings rate ment passed legislation permitting for- efforts. I urge Korean industry to have faith is about 33 – 35 percent of our GDP and eign private companies to invest in the in India.” growing. Secondly, India has a very young Indian energy market. South Korea “rec- Drawing attention to the “still below its population and over half of the working ognizes India as a global market,” said Ra- huge untapped potential” reality, he said population is in its twenties. Thirdly, over jiv Biswas of HIS Global Insight. The Kore- that, “The bilateral trade target was revised the past few years we have invested heavily ans, brimming with “a lot of technology to US$40 billion by 2015. This is a challenge in education, health and agriculture to give in energy infrastructure,” he went on, as well as an opportunity that we must both a new deal to rural India. Our rural markets saw India as a “a very big opportunity for seize together.” are now booming and the middle class is them to expand into the emerging econo- Appreciating the sustained growth Ko- growing rapidly. Fourthly, we have been un- mies.” All in all, he pronounced the deal rea has maintained amongst all the OECD dertaking a huge expansion in our higher as “very positive” for both nations. countries, he shared that his countrymen education and skill development infrastruc- Understandably, South Koreans were admired the ‘achievements and determi- ture of ports, airports, railways, energy and dubious about a nuclear deal of any kind nation, solid hard work and spirit of enter- roads. India is poised to continue to be a with India as a country that has refused prise of the Korean people.’ frontline player in the global knowledge to sign onto the nuclear non-prolifera- Emphasizing the advantageous Indians economy.” A-P Continued on Page 25 22 www.biztechreport.com INDIA-KOREA Business Glorious Past Bright Future Growing Korean Companies in India and Indian Companies in South Korea by Anshu Shrivastava rade relations between India and South Korea have strengthened over the years. Both countries are now T setting their sights on doubling their annual trade to © Ssangyong Motor Company US$40 billion by 2015. As one of the primary growth Asian econ- Automaker Hyundai Motors is another omies, South Korea is among the ten major South Korean success story in India. It en- investors in India, which is one of the most tered the Indian market in 1996 and now, it dynamic economies of the world with still is India’s second largest automaker by mar- huge room for further growth. “There is ket share with around 19 percent, second considerable untapped potential given that only to Maruti Suzuki’s 38 percent. In 2012, South Korea is one of the fastest growing Or- Hyundai is aiming to increase its market ganisation for Economic Co-operation and share to 20 percent as well as it’s looking to Development countries, and India is one of sell at least 410000 vehicles in India in 2012. the fastest growing major economies,” San- Hyundai entered India with a long-term © Ssangyong Motor Company jay Singh, secretary (east), India’s ministry plan. It not only set up its own wholly- Ssangyong Motor assembly line in Korea. of external affairs, recently told the press. owned subsidiary, Hyundai Motor India India introduced wide-ranging economic Limited (HMIL), but it is also the first multi- that companies such as LG, Hyundai and policy reforms in 1991 and opened its mar- national company in the automobile sec- Samsung are already household names in India, and “we would like to see small and kets for foreign investors, which paved the tor that established its own manufacturing medium sized Korean companies also mak- way for South Korean companies to enter. It unit in India. The company has continued ing India a base for their manufacturing.” didn’t take long for South Korean brands to to strengthen its line-up and has relied on In comparison to all of this, India’s invest- become well-established, household names customization to succeed in the highly com- ment in South Korea is not that significant in India. petitive Indian car market. It has designed and Indian products have not attained the South Korean companies’ manufactured cars that suit the Indian environment. status of household names. Indian compa- white goods are today counted among the Hyundai now plans to build its first diesel nies, however, are slowly establishing their market leading products in India. LG set up engine factory in India as it is seeing an in- presence in South Korea through acquisi- its own manufacturing facilities in 1997 and creasing demand for its cars that run on the tions and are making inroads there. Samsung launched its products in India in cheaper fuel. Tata Motors was the first Indian compa- 1995-96. These two companies have estab- Recently, South Korean companies such ny to announce the acquisition of a South lished almost complete dominance in the as Doosan Group and Mando Corporation Korean company. In 2004, it signed an in- market, edging out local players and leaving announced their arrival in India. Woori vestment agreement for the acquisition of behind multi-national competitors. Bank, the second-largest commercial bank cash-strapped Daewoo Commercial Vehicle In most product categories of the con- in South Korea, launched its first branch in Company Ltd (DWCV) for about US$102 sumer electronics market -- television, India, at Chennai, in April of this year. A se- million. Today, Tata Daewoo Commercial refrigerators, air-conditioners, washing nior executive of Woori Bank told the press Vehicle Company (TDCV) is South Korea’s machines and microwave ovens -- LG and that the bank has “infused around US$35 second-largest manufacturer of medium Samsung together have a market share of million in India.” In addition to assisting and heavy-duty trucks. In October 2008, the around 40 percent. According to The Eco- in corporate banking with focus on Korean company developed a prototype of South nomic Times’ report, Samsung and LG to- companies that are already present in India, Korea’s first LPG medium commercial ve- gether have a dominant combined share of the company would also focus on localizing hicle (MCV). The company developed the 34 percent in ACs, 45 percent in refrigera- the business and offering new products to vehicle in collaboration with the ministries tors and an equal combined share in wash- serve local clients, according to Soon Woo of commerce, industry and energy, Korea ing machines (semi-automatic category). Lee, president and CEO at Woori Bank. An- Energy Management Corporation and a Today, a majority of Indian customers other South Korean bank Sinhan Bank, a consortium of 12 organizations. relate to LG and Samsung as Indian brands part of Sinhan Financial Group, has had a Tata Consultancy Services (TCS), another rather than multi-national brands. LG and presence in the country since 1996. company of Tata Group and a provider of Samsung have immensely succeeded in the The success stories of LG, Samsung and IT services and business solutions, com- Indian markets because of their “product Hyundai came to India with long-term com- menced its Korean operations in 2003 to innovation” strategy. Unlike their competi- mitment, and they paid attention to Indian serve local customers as well as global mul- tors (multinational companies), these two customers’ needs and responded with cus- tinationals which have operations in South companies invested heavily in local R&D to tom products. This strategy has fuelled their Korea. According to the company, they have tweak the design of original products -- de- spectacular growth there. Customization built excellent delivery capability in the Ko- signed and developed in South Korea -- to has helped South Korean brands to create rean language, with about two-thirds of its make them attractive for Indian consumers. a niche for themselves in the lucrative and workforce being local. “South Korean brands felt the need to competitive Indian market and assimilate Novelis announced the acquisition of Al- introduce products that an Indian custom- better compared to their competitors. Also, can Taihan Aluminum for US$600 million in er would relate with in terms of value for these three South Korean companies invest- 2005. Novelis is a subsidiary of India-based money, ease of use and advanced technol- ed in retail network and customer-care to Hindalco Industries Ltd, which is the flag- ogy,” according to a lead analyst of comput- keep their customers happy and satisfied. ship company of Aditya Birla Group. Novelis ing products at Cyber Media Research. There are more than 200 Korean compa- Korea is currently Asia’s number one man- “These factors have ensured that upgrad- nies that have made considerable foreign di- ufacturer of aluminium rolled products. ing occurs at regular intervals, which has rect investments in India in a wide range of There are over 1,200 employees working at provided them with success in the Indian sectors. India’s Prime Minister has invited the company’s state-of-the-art production market. Localising has been emphasized by small- and medium-scale companies from facilities in Yeongju and Ulsan. a lot of manufacturers, but how they imple- South Korea to invest in India. “Investment This year in March, South Korea’s pre- ment it into their products is a more vital from Korea is a priority for India,” he said mier SUV manufacturer Ssangyong Motor aspect that these brands have utilised,” the during his visit to Seoul in March to attend Company (SYMC) completed its first year lead analyst said to a media publication. the second nuclear security summit. He said Continued on Page 25 23 www.biztechreport.com Business INDIA-KOREA Glorious Past Bright Future Evaluation of the Economic Trade Advantages Between India and Korea in the information technology, finance, the legal field, and engineering has been enormous. Thanks largely to CEPA, trade between India and Korea has grown by a phenomenal 70 percent, crossing the US$20 billion benchmark in 2011. New Targets Set as Trading Opportunities Mature Trade analysts believe that the total trade revenues earned so far are much less than the expected potential. The governments have addressed this shortfall in achieving what they have thus far, and have hence set an ambitious trade target of US$40 billion by 2015, as against the $30 billion amount that was set earlier. Following Indian Prime Minister Manmo- han Singh’s visit to South Korea in the last

© pib.nic.in week of March 2012, greater emphasis is The Prime Minister, Dr. Manmohan Singh with the South Korean President, Mr. Lee Myung-bak, at a bilateral meeting, now being placed on key trade exports for in Seoul on March 25, 2012. greater expansion. tary Index), which is of great critical value, During his discussions with President Lee by Chung-Yeon Cho has revealed that with increasing exposure Myung-bak of South Korea, the Prime Min- to skill-sets and patterns of each nation, ister said that, “bilateral trade had risen by they have achieved a high level of compat- 65 percent over the past two years since the ndia and the Republic two countries implemented the Compre- of Korea have had a long ibility across most sectors of trade. The high TCI index therefore reveals hensive Economic Partnership Agreement. and strong cultural, that trade agreements between the two We want the Korean companies to help us I realize this objective and benefit from the political, historical as well countries will therefore increase the flow as economic co-operation. of trade enormously. Studies have also iden- opportunities provided by this.” tified that Korean exports to India are at a The present South Korean and Indian relations – strategic, political, economic In the past decade, the relationship be- higher rate in comparison to Indian exports to Korea and hence India needs to focus on as well as cultural – have been greatly in- tween the two countries has strengthened, fluenced by the Indian Prime Minister’s especially on the economic front. This can its exports exposure to Korea. The areas where Indian exports have maiden visit to Korea, which has become in- be attributed mainly to the historic Compre- strumental in reworking some of the older hensive Economic Partnership Agreement great potential are Information Technology, Broadcasting, Healthcare, Science and Tech- trading process as well as the introduction (CEPA) that was introduced during January of an innovative trading environment that of 2010, as well as the positive ‘Look East’ nology, Human Resource Development, as well as tourism. gives modern business the opportunity to policy adopted by India. However, consider- explore trading potentials on both sides of ing the size as well as the structure of the the border. economies of the two countries, experts Recommendations Trade bodies across both nations recom- On the defense front, the Prime Minis- opine that the size of trade and the spread ter, responding to his Korean counterpart’s of investment is rather less than it could be. mend that greater trade as well as revenues can be enhanced if the respective govern- call, announced that, “We have agreed to expand the political and security coopera- Evaluation of the Economic ments were to become more proactive about removal of tariff and non-tariff bar- tion between the two countries. With this Trade Advantages riers. The sector-specific barriers too are a objective in mind, I informed President Lee Experts, however, also place the unprec- great impediment and hence, further relax- of India’s decision to position a Defense At- edented growth in merchandise trade be- ation of tariff-barriers will further contrib- tache at our Embassy here in Seoul before tween the two countries to have occurred ute to increasing investments and trade. the end of the year.” due to the changes in demand structures Taking great cognizance of the trade re- India has also proposed further strategic within both economies. Besides, the inher- quirements, the government has adopted support, in saying that, “India has also of- ent advantages of trading in complemen- (in a phased manner) reduction of several fered to launch Korean satellites on Indian tary economic sectors in the past few years trade tariffs leading to cuts of nearly 93 per- space launch vehicles,” but emphasized have largely contributed to the develop- cent on goods exported to Korea from India. that “cooperation and coordination on sev- ment of a robust trading structure between A major section of trade barriers was com- eral regional issues should remain, espe- the two nations. prehensively handled by the introduction cially during the East Asia Summit process.’ In fact, studies using advanced economic of CEPA (Comprehensive Economic Partner- However, on the economic front, the research tools such as The Revealed Com- ship Agreement). Prime Minister emphatically encouraged parative Advantage (RCA) analysis have and sought Korean business investment revealed the pattern of trade between CEPA and Growth in Trade into India, “We want the Korean companies these two countries. The studies typically The CEPA, in a sense, is the foundation to help us realize this objective and benefit included aggregated as well as disaggregat- of India’s and South Korea’s trade relation- from the opportunities provided by this,” ed-levels, revealing that Korea has a niche ship. Ratified on August 7, 2009, it is a spe- said the Prime Minister. and specialized focus: manufacturing tech- cial economic privilege India shares with To further ease travel constraints, both nically sophisticated, high-value products; Korea to trade across the various sectors. governments proposed to simplify visa while India has a more spread-out export In principle, the CEPA is a free trade agree- formalities, thereby helping businessmen portfolio. Further, within the same industry ment that allows enormous opportunity for from both countries to travel more easily domain, both countries have complemen- Indian business, from the service sector, to for business purposes. tary advantages allowing great scope for penetrate the South Korean market. Given the fact that South Korean con- intra-industry trade opportunity. Therefore in the past few years, the quan- glomerates such as LG, Samsung, and Hyun- Additionally, the TCI (Trade Complemen- tum of trade possible on services provided Continued on Page 29 24 www.biztechreport.com INDIA-KOREA Business Glorious Past Bright Future Continued from Page 22 tion treaty. India has blasted the treaty as discriminating between “haves and have- nots” by artificially restricting nuclear weapons to a small elite group of nations. Fears of a nuclear holocaust have escalated since arch-foe Pakistan exploded its first warhead in 1998. India, however, has vowed never to explode a nuclear device in war un- less attacked first – an unusual “first-strike” qualification that has appeased some of its critics. The Hindu, one of India’s leading newspa- pers, said “the accent on a comprehensive partnership in all fields had helped to re- verse South Korea’s skepticism” over India’s © pib.nic.in policy on that score. “The intention is to The Union Minister of Commerce and Industry, Shri Anand Sharma and the South Korean Trade Minister, Mr. Kim Jong Hoon, at the Joint Press Conference during the signing ceremony of the Comprehensive Economic Partnership Agreement (CEPA) between India and Republic forge a healthy all-round relationship with of Korea, in Seoul on August 07, 2009. this crucial country on the periphery of the Association of South East Asian Nations (ASEAN),” said the paper. “Besides agreeing India-Korea Business Ties on an annual meeting between finance min- isters that would resolve trade-related irri- after CEPA tants at the political level,” the paper noted, “India has also signed a defense cooperation by Amanda Min Chung Han CEPA and firms in that sector are believed agreement and a social security agreement” to benefit substantially from the deal. Ac- – all proof positive of a growing relationship cording to the South Korea Institute for that might extend far beyond trade and in- n economic International Economic Policy, the CEPA dustry as South Korea and India together agreement between was expected to increase bilateral trade by look for ways to cooperate against the spec- US$3.3 billion and increase South Korea’s India and South gross domestic product by 1.3 trillion won ter of rising Chinese power. A-P A Korea, the Comprehensive (US$1.05 billion). Donald Kirk, author of Korea Betrayed: Kim Dae Jung and Sunshine and books on Korean business and industry, got his introduction Economic Partnership Both countries are anticipating stronger to Asia as a Fulbright student at the Indian School of International economic ties through the CEPA. It seems Studies in 1962-1963. Agreement (CEPA) went like so far the results have met the expec- into effect in January of tations, as exports by both countries have Continued from Page 23 2010. The agreement got its risen. According to the joint statement is- under the ownership of an Indian Group. unique name at the request sued by the two countries after the Indian Mahindra Group had acquired SYMC for of the Indian side, and it Prime Minister Singh and South Korean US$500 million last year. Lee Yoo-il, Presi- President Lee met in Seoul, Korea in March of 2012, the two leaders were satisfied that dent and CEO of Ssangyong Motor Compa- basically means a free trade the bilateral trade had been increased by ny, recently told the press that Ssangyong agreement. around 70 percent in two years since the is now on the path to a strong revival as activation of the India-South Korea CEPA witnessed by a nearly 40 percent growth It was not an easy path for these nations to reach their eventual destination. The on January 1st, 2010. Whereas Indian in sales volumes in 2011. Since last March, trade with South Korea stood at US$7.1 bil- the company has committed to investing whole negotiation process took three and a half years since the first session took place lion in 2006, increased trade activity had around US$350 million in a new SYMC propelled the number to US$17.5 billion in product portfolio and facilities, including in February 2006. The agreement between Asia’s third and 2010, about a 46 percent increase from the US$260 million towards a next generation previous year. compact CUV and a new engine, to gain fourth largest economies was originally signed on August 7, 2009. The signing cer- Very much satisfied with these results, momentum in global markets, added Dr. emony took place in Seoul, Korea, between the two nation leaders decided to set a new Pawan Goenka, chairman of Ssangyong Mo- Indian Commerce Minister Anand Sharma bilateral trade target. The previous one was tor Company and president of Automotive and South Korean Commerce Minister Kim US$30 billion for 2014, yet it was decided and Farm Equipment Sectors at Mahindra & Jong-Hoon. Indian lawmakers ratified the to push the target higher up to US$40 bil- Mahindra Ltd. The company is now looking agreement in 2009, after which the South lion by 2015. Also they agreed to enhance forward to introducing Ssangyong products Korean National Assembly ratified it. The business cooperation and strengthen trade in the fast growing Indian market. pact took off 60 days later in Jan. 2010, af- ties. Prime Minister Singh and President India’s largest producer of yarn, Nakho- ter it earned approval from the lawmakers. Lee also welcomed the growing presence da’s acquisition of Kyunghan, is another Under the CEPA, South Korea needs to and investment of Korean companies in notable Indian investment in South Ko- eliminate tariffs on 90 percent of Indian India and those of Indian companies in rea. Also, India’s Creative Plastic invested products over 10 years while India reduces South Korea, which had been promoted by around US$2 million and established a 100 tariffs on 85 percent of South Korean ex- the bilateral CEPA. The Indian Prime Minis- percent investment company called Alche- ports within the same period. Also, South ter highlighted the desirability of balanced my Mold & Plastic Ltd. In the Korean city of Korea is privileged for a reduction of 4459 trade relations, mentioning how it would Pyeongtaek. types of tariffs imposed on major export facilitate a robust growth rate for both India and South Korea inked a Compre- items to India such as auto parts, steel and countries in the long term. It was agreed hensive Economic Partnership Agreement machineries. Experts foresaw in particular that both sides would facilitate greater (CEPA), a free trade agreement, in August of that the country’s biggest trade sector auto market access to each other’s products and 2009 and the agreement was implemented industry would have a one to five percent services. Prime Minister Singh also stressed in January, 2010. According to media re- tariff reduction over eight years from the that the Indian side was hopeful of provid- ports, there has been a “huge surge in bilat- current 12.5 percent level. Tariffs on refrig- ing South Korea with pharmaceutical and eral trade following the implementation of erators and color televisions were lowered agricultural products, as well as IT-enabled the agreement.” In 2011, trade turnover was by fifty percent from the previous 12.5 per- services. around US$20.6 billion, which is up by cent. However, there are still problems that around 65 percent over a two-year period. Auto parts are one of South Korea’s need to be sorted out. Although bilateral Indian IT companies are now getting a foot- biggest exports to the world. South Korea trade has increased significantly, the pres- hold in South Korea because of CEPA. A-P sold US$1.13 billion worth to India before Continued on Page 31 25 www.biztechreport.com INDIA-KOREA & Yeo-Song Park Glorious Past Bright Future Q Director of the Indian Art Museum a By Lakhvinder Singh Congratulations on your new Ms. Yeo-Song Park was born in Seoul in February of 1954. After graduating from museum opening. First off, how the College of Fine Arts, Seoul National University, in 1976, she worked as post- long have you been associated age stamp designer in the Ministry of Information & Communication of Korea from with India? What attracts you 1976-1981. She went to India in 1981 and studied Indian Traditional Dyeing Art at most there? New Delhi from 1981 to 1984. She has since held many solo exhibitions in New Since 1981 when I visited India for the Delhi, including the Commemoratory Exhibition of the 30 Year Anniversary of In- first time as an art student,I have been fas- do-Korea Diplomatic Relations. She has also traveled all over India and researched cinated by Indian folk and tribal arts and many Centers of Indian Art, particularly tribal art museums. On May 26th, 2012 she crafts. So my association with India has opened a new Indian Art Museum in Yeongwol-county, Gangwon-do, Korea. Here are gone on now for more than 30 years. Indi- excerpts of the interview Asia-Pacific Technology did with her in her office in Yeong- an art and culture attracts me most there. wol on the occasion of the opening of this new museum. How did you get the idea of between the two countries and setting up this museum? people. Korean people are fascinated by Indian You are right. Relations between the art and culture. Every year thousands of two countries are said to date back more Korean people visit India to experience than 3000 years ago. Buddhism, which it. A need was felt for an Indian Museum came from India, had long-lasting im- here in Korea for Korean people to con- pact on Korea history, culture and its tinuously enjoy and experience the Indian way of life. Influence of Indian culture, culture right here on their own soil. especially of Buddhist traditions, can be seen on the life of today’s Korean people. What is the main purpose of Our museum aims to connect Koreans setting up this museum in the with that glorious past of our two coun- Korean countryside? tries. The museum seeks to connect the Ko- According to your views, what rean people with the great Indian culture and civilization. is the future of India-Korea ties in general? To set up a museum like this I think India-Korea ties have a great requires a lot of resources. Are future. Trade ties are growing very fast. you being helped by the Korean Director of India Art Museum, Mrs. Yeo-Song Park. Government-to-government ties are also government or other private or improving, with many high profile visits You have collected quite a taking place in recent years. People-to- government institutions? Or is it number of items here. How long people ties are also set to increase. The purely a personal, private effort did it take you to collect them? number of Indian people living in Korea on your part? I have collected some 1000 beautiful has increased many-fold in recent years. To set up an Indian art museum in Ko- pieces of Indian arts and crafts since 1981. A large number of Korean people are rea had been my long-cherished dream I have lived in India for more than five nowadays also visiting India every year since 1981. In 2011, I was finally invited to years (from 1981 to 1984 and from 1994 to for studies, business and cultural tour- set it up in Yeongwol county, in Gangwon- 1996). And I also visited India many times ism. So the future of relations between two countries looks very bright indeed. do. Yeongwol county is known as the only for the show of my exhibitions in New museum village in Korea which provides Delhi. Apart from this museum, financial and administrative support to I have been fascinated by Madhubani what are your future plans various kinds of museums invited to run paintings, Warli tribal paintings and Ka- to promote ties between the lamkari paintings for a long time. These in Korea. two countries? So yes, we are getting some help from painting gets prominent place in the mu- seum, along with various kinds of sculp- In addition to the exhibition of vari- Korea government in setting up this mu- ous Indian arts and crafts, the muse- seum. tures and panels which I have collected over the years. Also displayed are um will operate many programs of What are the main attractions various types of Buddha statues and experiencing Indian culture, many Hindu gods and goddesses. like seeing Indian movies, of the museum? Please tell us listening to Indian mu- about the main items being What is the main theme of sic, wearing Indian displayed in the museum. the museum? costumes, making There are many attractions specifically Through the arts and crafts of block-printing, etc. related with Indian paintings. Our collec- various folks and tribals displayed These programs will tions include various kinds of paintings, in the museum, I am trying to intro- help to further stim- like Madhubani paintings, Warli tribal duce the special character of Indian ulate and contrib- paintings and Kalamkari paintings; vari- culture and society, namely, diver- ute to the interests of Indian culture to ous kinds of sculptures, such as Bastar sity and unity, to Korean people. Korean people. A-P sculptures, Gond tribal sculptures, Naga As you know, India and statues and panels, Buddha statues, many Hindu god and goddess statues. Plus, there Korea have long are various textiles works, potteries and historical ties. This jewels. Other kinds of Indian folk and museum will help reconnect those Statue of Lord tribal arts and crafts are also displayed in Buddha the museum. historical bonds

26 www.biztechreport.com INDIA-KOREA Defense & STRATEGY Glorious Past Bright Future Why India-Korea Strategic Cooperation is Critical to the Region er regions of the world are being limited by. Asia’s growing economic clout far out- weighs other international countries and there is a clamor amongst the regional states to find international political roles. In that context, both India and South Korea are located amongst neighbors in whom the US and China show considerable inter- est. North Korean and Pakistani military activeness affects India’s and South Korea’s strategic depth, internally. In a post cold-war era, neither country can rely on external resources to meet in- ternal energy or market demands as they have traditionally done. One major change which is needed is a ‘strategic DNA’ over- haul within both nations, along with a re-look at developing economic collateral while actively encouraging the pursuit of greater geopolitical pragmatism. © pib.nic.in The President, Smt. Pratibha Devisingh Patil ,the chief guest President of Republic of Korea, Mr. Lee Myung Bak, the Vice President, Shri Mohd. Hamid Ansari, the Prime Minister, Dr. Manmohan Singh and other dignitaries at president dais at the celebration of the 61st Republic day- Bilateral Relations Now Become 2010 in New Delhi on January 26, 2010. Strategic Ties With the Indian Prime Minister’s visit by Anurag Shukla ed our relations to the level of a Strategic last month, economic ties have transformed Partnership. We admire the way you have into strategic ties. Discussions between steered the Korean economy through the Prime Minister Singh and President Lee n recent years India global economic downturn”. Myung-Bak of South Korea made significant and South Korea Cooperation is vital to both nations. progress as talks involved the manufacture have forged a greater South Korea’s small geographic footprint and development of military equipment, I and demographic limitations contrast with nuclear engineering and the arms trade. In- bilateral relationship. In India’s strengths of a larger land mass as dia is keen to develop on its strengths with- the last few months, on well as the world’s second-largest growing in the framework of the bilateral agenda the heels of Indian Prime economy, which allows for symbiotic rela- possible between the two countries. tionship. Until recently, most of India’s strategic Minister Manmohan Singh’s Officially, bilateral ties between the two procurement came from Western powers historic visit to Seoul as a countries can be traced back to 40 years – the United States, France and within Asia participant for the Nuclear ago, when India’s foreign policy underwent from Russia. That India and South Korea Security Summit this a sea-change. The nation’s over-dependence are keen on building their ‘strategic rela- on the United States for strategic and eco- tions’ was amply substantiated in the joint relationship was taken to nomic support had come under great pres- statement at the Nuclear Security Summit, new heights. sure, following India’s testing of its nuclear where a statement was made to the effect capabilities in May of 1973. Along with sev- that, “President Lee underscored that the Following the conclusion of the summit eral other strategic reasons, this resulted ROK side wanted to increase cooperation which was hosted in Seoul, India and South in India’s ‘Look East’ foreign policy. Indian with India in military and defense industry Korea continued a one-to-one dialogue to strategist analysts’ emphasis on building including… naval ships, aircraft and ship- further strengthen their bilateral relations strong economic as well as strategic rela- building.” and strategic alliances. The Prime Minister’s tionships with its Asian sisters soon blos- On nuclear technology cooperation, con- visit proved crucial, not only during summit somed into a strong bilateral relationship sidering India has already allocated sites proceedings, but also to lay the roadmap for with South Korea. for other countries such as France, America India and South Korea’s cooperation and Today, South Korea has the most vibrant and also Russia to develop nuclear reactors, strengthening of bilateral ties. economy in the ASEAN region. It is home President Lee made a special request to “the The Prime Minister emphasized that the to some of the world’s best electronic, au- Indian government to allocate a site for Ko- two nations’ centuries old ties are today the tomotive and mobile manufacturing com- rean nuclear reactors.” foundation of future cooperation between panies, which are growing exponentially In its modern history, South Korea has the two nations. “Links between India and in consumer as well as heavy engineering always been quick to adopt to changes. Korea go back thousands of years. Lord Bud- fields, and which have a considerable stake The need to develop leadership in the new dha’s abiding message of peace resonates in Indian consumer markets as well. South changing world order has been compelling, among both our peoples. We know of the Korea looks towards India’s greater capabili- and under President Lee, South Korea has legend that a Princess from Ayodhya trav- ties such as satellite technologies, and it is been highly adaptive, in part by drastically eled here to marry King Kim Suro,” he said. this mutual regard which has continuously improving its strategic and economic alli- He also appreciated South Korea’s at- cemented the two countries’ economic ance with India. tempts to nurture these ties with gestures bond. such as the recent public installation of a Nuclear Co-operation Agreement bust of Rabindranath Tagore. “I thank you Compulsions of Asian Century A nuclear cooperation agreement was for installing a bust of India’s great poet, and Why India Needs a Strategic drawn up between India and the Republic Gurudev Rabindranath Tagore, who called Ally in South Korea of Korea last year, which gives South Korea your nation the ‘Lamp of the East’, in In the first decade of the new century, a head-start on developing reactor vessels Seoul,” he added. political and economic experts have applied over Japan. India will soon sign a similar He also commented to Mr. Lee, the presi- various labels to it, such as the ‘Asian Cen- contract with Japan, and hence South Korea dent of South Korea, that, “India regards tury’ or the ‘Pacific Century’. The unrealized is keen on developing its reactor vessels for you as a great supporter of a strong India- potential of the region, believe analysts, is multiple projects as it wants to tap into po- Korea partnership. It was during your his- now beginning to be realized, given the ma- tential third-party scenarios such as Areva, toric visit to India in 2010 that we upgrad- turing of the region and the ‘pressures’ oth- Continued on Page 32 27 www.biztechreport.com Defense & STRATEGY INDIA-KOREA Glorious Past Bright Future Taking a Closer Look at India- Korea Defense Cooperation

gic alliance’ between the two coun- by Anuradha Shukla tries to encourage political as well as security co-operation. ollowing the historical This was followed by the Defense meltdown of the Minister A. K. Anthony’s visit to Eastern bloc and the Seoul which resulted in the draw- F ing up of two Memorandums of Un- Western bloc near the end derstanding on exchange of defense of the last century, the expertise and technology, as well as © pib.nic.in information through joint-develop- The Defence Minister, Shri A. K. Antony delivering the inaugural address at the world order underwent ment of defense technology. 14th Asian Security Conference, organised by the Institute for Defence Studies and drastic changes which Analyses (IDSA) in New Delhi on February 13, 2012. resulted in the realignment A New Chapter in Closer are now being re-defined by the acquisition of nations across a much Relationships of more than 160 ships, 60 or more major The defense minister hoped that his visit combatant vessels, around three aircraft more non-polarized world. “…will start a new chapter in our already carriers, submarines, and 400 or more air- close relationship.” Mr Kim Tae-Young also craft by 2022. As the United States emerged as the said that, “The two MOUs signed today Both India and Korea are also keen on uni-polar power balance in this new world will provide a win-win scenario for the two attracting big-budget investments in naval order, India’s defense strategies too un- countries in a number of areas.” productions, whether ships, aircraft for In- derwent continual realignment with the The first MOU signed by the Defense dian manufacturers or joint ventures with changes occurring globally. Ministers themselves will focus on “ex- foreign know-how. In the past few years, with China grow- change of defense-related experience and The Ambassador to India, Kim Joong- ing in leaps and bounds and emerging as information, mutual exchange of visits by Keun, in December 2011 said that India is a potential power bloc, India’s defense military personnel and experts, including expecting to spend US$100 billion for the strategies have also undergone a profound civilian staff associated with defense ser- modernization of its defense sector and for change and have realigned to meet the chal- vices, military education and training and making new acquisitions in the following lenges of its nuclear-powered neighbor. conduct of military exercises, exchange of half decade. Another neighbor who suffers from similar visits of ships and aircraft, as jointly decided The Indian government has also finalized dominance of the ‘Chinese Dragon’ is South between the two countries.” on a Korean firm to provide eight or more Korea. The MoU also seeks cooperation in hu- minesweepers for its armory. Additionally, China’s economic growth, investment in manitarian assistance and international several other Korean companies have been sophisticated military technology, as well peacekeeping activities. It will remain valid shortlisted for the wide-spread moderniza- as nuclear empowerment has raised several for a period of five years with provisions for tion program the country is soon to com- concerns in the Asia-Pacific region, espe- its extension by five more years. mence. cially in India and South Korea. The Beijing The second MoU was signed by the Chief The Ambassador wished that, “these penchant for interfering along the Himala- Controller of Research and Development of firms were successful in order to set the be- yan borders, transferring nuclear technolo- DRDO, Dr Prahlada, and Vice Commission- ginning of long-term defense cooperation gy to Pakistan and forging strategic allianc- er, Defense Acquisition and Procurement between the two countries.’’ es with Islamabad as well as North Korea Agency (DAPA) of South Korea, Mr Kwon has led to understandable tensions in South Oh Bong. To be operational under the over- Stronger Ties Following Indian Korea and India. As their economic and bi- arching umbrella of the India-South Korea Prime Minister’s Visit lateral trade alliances strengthen with each Defense Agreement, the MoU aims at identi- 2009-2012 have been watershed years passing year, both countries are now keen fying futuristic defense technology areas of in India and Korean relationships. With on pursuing strategic alliances as well. mutual interest and pursuing R&D projects the Comprehensive Economic Partnership in both countries. Agreement, all facets of bilateral trade be- Emergence of Defense Ties It also envisages co- development and tween the two countries have grown by over Between the Two Countries co-production of defense products with the 65 percent, said the Prime Minister, during The first phase of the defense alliance Indian industry through DRDO. There will his historic visit to Seoul to participate in first emerged between India and South Ko- be joint IPR on all the products developed the Nuclear Security Summit in March of rea when, in 2005, the first everM emoran- through this mechanism. Some areas of im- this year. dum of Understanding on Defense Logistics mediate interest: e.g., marine systems, elec- The Prime Minister, as well as his high- and Supplies was inked between the two tronics and intelligent systems have been profile delegation, proved to be successful nations. identified as priority tasks. in meeting business representatives from The agreement took final shape in May Until recently, India and South Korea various industries and reaching out to their 2007, when the Defense Ministers from In- had restricted themselves to importing the concerns about the ‘lack of procedural ef- dia as well as South Korea met for the first- ‘Sukanya’ series of defense vessels (‘OPV’, fectiveness’, or ‘official apathy’, at convert- round of ‘discussions on matters of mutual or offshore Petrol Vessels) from ‘Tacoma’ in ing high-budget investments in India in interest.’ This historic meeting ended with the decade of 1980, along with a few joint profitable projects. a stated understanding of the exchange of naval exercises. The Prime Minister himself appealed to military domain information as well as the In fact, India’s and South Korea’s defense Korean investors that they should continue building of a joint-defense technology de- alliance has greatly revolved around navy to have faith in India, as the government velopment. capabilities, as there have been several and its people find rapid solutions to grow- The meeting also helped to establish that joint operations related to navy equipment. ing dissidence to the start of projects with both countries had the temperament to en- India’s navy is placed fifth in the world or- Foreign Direct Investment. gage in and co-operate on the training of de- der;, though its naval capacities are indeed The leaders from both nations also as- fense personnel and other military coopera- limited by lack of proper domestic produc- sured that they would continue to strive tion among their respective Coast Guards. tion and fragmented sourcing from foreign for regional peace and balance, despite an The next phase of agreement took place productions. arms race happening in the local neighbor- in 2010, when the President of South Korea The Indian navy’s strategic depth will be hood. This was in reference to the proposed Lee Myung-bak and Indian Prime Minister defined by its sophisticated equipment and nuclear weapon deployment, or ‘launcher’, Dr. Manmohan Singh announced a ‘strate- technologies. Maritime capabilities in India Continued on Page 34 28 www.biztechreport.com INDIA-KOREA Defense & STRATEGY Glorious Past Bright Future Continued from Page 24 dai are well-established brand names in In- India Forges Better Ties dia, the Prime Minister proposed that the future is for small and middle-sized Korean companies to establish their manufactur- With East Asia ing units in India and break into the enor- mous opportunities, the Indian markets offer. India and Korea have also taken a fresh look at the Science and Technology sec- tor and have proposed the establishment of the Joint Science and Technology Fund of US$10 million, to encourage greater in- teraction of the scientific community be- tween the two nations. FDI and India The present Foreign Direct Investment in India has become the focus of several trade bodies as they watch the issues related to one of the largest FDI deals in India, the POSCO Steel Project, worth US$12 billion. As local people object to the establishment of the steel industry near their commu- © pib.nic.in The Prime Minister, Dr. Manmohan Singh and Smt. Gursharan Kaur in a group photograph with the East Asia Summit Heads of States and nity, the stand of the Indian government their spouses, in a Gala Dinner hosted by the President of Republic of Indonesia, Dr. H. Susilo Bambang Yudhoyono, on the sidelines of the 9th and the related issues of implementation ASEAN-India Summit and the 6th East Asia Summit, in Bali, Indonesia on November 18, 2011 were addressed by the Prime Minister dur- nomic growth by encouraging policies with ing his several interactions with the South by Rashmi Gupta Easter countries. Korean business community. Assuring that the scenario was soon to become profitable ith recent Burmese Overture Begins Look for foreign investment, he encouraged the East Policy community to invest in India. sweeping changes Perhaps the most significant change that Showcasing India’s readiness for fur- in the world W showed that India was adopting a more ther business ventures, the Prime Minister order, the role of India has pragmatic approach to finally don the role, said that, “India has maintained an annual soon to be thrust upon her as a future su- growth of 7 percent in the last several years increasingly come under per power, was the softening of its stand and it will increase in the coming years; In- the arch lights. against the Burmese junta, with its pro- dia also has a domestic saving rate of 33-35 non-alignment and deep support to apart- percent of GDP. While one view point is that India will heid movement. India in the late 1980s He also highlighted that, “We have a continue to play a regional role as the Unit- had continued to oppose Burmese militia very favorable demographic factor with ed States and China grapple for the centre domination of the country. However, with half the working population in their twen- of global power, there are also views that a strategic shift in its policies, India now ties; India has heavily invested in educa- India could well emerge under from under plays key roles in economic and commer- tion, health and agriculture. The middle the dragon’s and eagle’s shadows to create cial activities in Burma through its state class is growing in size and importance. another new world order. oil and industrial corporations, along with Further, rural markets are also expanding One of the significant strategies that to- training Burmese personnel in controlling markedly.” day might allow India to become a super the drug cartels breaking into India’s North Speaking further on the Indian markets, power includes a fundamental shift that East frontier-states. he said that, “India has plans to invest took place in the mid-nineties when India paused its ‘Look-US’ policies and instead about one trillion US dollars in the next five India Bonds with East years in developing infrastructure projects turned east. The fledging relationships of like airports, highways, ports, power plants a decade ago have now matured to ensure Asian Islands and modern transport systems. India’s en- India is at a strategic ‘pole vault’ position Soon India moved to capturing commer- ergy security policies that include energy that will help in establishing itself within cial, economic as well as military bases in efficiency and renewables will provide new the older regional structures and help in Singapore, the Philippines, Cambodia as opportunities to Korea’s environmentally forging new balances as well. well as Vietnam. India quickly reconciled friendly technologies.” its on-going relations with Sri Lanka with India’s Historical Ties Free Trade Agreements and improved its The Economic Road Map of India’s ties with East Asian countries military relations with Thailand as well. India and South Korea have largely been dictated by its relation- While the bulk of India’s relationships with East Asian neighbors has been based The strong historic and cultural ties ship with China. Traditionally, and espe- on trade associations, it has also built a forged over the centuries has led to mutual cially after the Sino-Indian in 1962, India strong platform for itself as a pro-democrat- trust and understanding. The current need and China had been competing neighbors. ic nation and has supported and stood by for both countries is to take the existing When China moved from an expansion- countries which have emphasized human levels of trade to a higher level, allowing for ist mode to a more competitive economic rights as well as democratic values. India is greater exchange of science, technology, superpower mode, India was slow on the one of the signatories to ASEAN’s Treaty of and electronics expertise in India while at catch-up. China’s greater geographic vast- Amity and Co-operation in Southeast Asia the same time opening South Korean mar- ness has also contributed to its greater pres- in 2003. kets for Information Technology services ence in most regional economic forums and blocs across the Asia-Pacific. and related opportunities of Indian exper- India Trade and Economic tise. Education and strategic relations, such India’s catching-up phase with China be- as the launching of South Korean satellites, gan during the early 1990’s when the then Treaties is the Fulcrum of its will increase the volumes of trade in space Prime Minister Narasimha Rao (1991-96) Relations with Regional States technologies. endorsed what soon came to be known as India has constructed strong free trade As India and South Korea enter their the ‘Look East Policy’. agreements and preferential trade agree- 40th year of establishment of diplomatic Fortunately, his successors Shri. Atal ments with most of its neighboring region- ties, their governments are looking at en- Bihari Vajpayee (1998-2004) and Shri. al states. It has also sought an active role in hancing the overall relationship both the Manmohan Singh, have continued to con- the association of Southeast Asian Nations, countries share. A-P tribute towards building stronger and eco- Continued on Page 34 29 www.biztechreport.com Defense & STRATEGY INDIA-KOREA Glorious Past Bright Future and China, in which China as an emerging power is challenging the dominant power of the system, i.e., America. For example, in the last twenty years, China has developed from the eleventh into the second biggest economy, and also the second biggest mili- tary spender in the world. China’s counter- part is the US, which, in spite of being geo- graphically not part of East Asia, is politically as well as militarily strongly represented and interested in this region. The US reacted to China’s rise by an actual re-emphasis on this region and a foreign policy focus shift towards Asia-Pacific, last-mentioned by US President Barack Obama in a speech in No- vember 2011. As a consequence eventually 2500 troops as well as ships, aircraft and ve- hicles will be stationed in Darwin, Australia, of which in early April the first batch of 180 marines had already arrived. This is additional to the long-established US Armed Forces in Japan and Korea, which total more than 60,000 troops in East Asia. © pib.nic.in The President of Korea and Chief Guest of Republic Day, Mr. Lee Myung Bak, the Vice President, Shri Mohd. Hamid Ansari and the Prime Moreover, the regional situation is not only Minister, Dr. Manmohan Singh being welcomed by the President, Smt. Pratibha Devisingh Patil during the ‘At Home` being hosted by her, dominated by this China-US rivalry, but be- at Rashtrapati Bhavan, in New Delhi on January 26, 2010. comes even more complicated by the incal- culable course of the Democratic People’s Republic of Korea (North Korea) with direct India-Korea Strategic Relations effects on South Korea, as well as the prob- lematic relation between China and Taiwan. by Tim Yung Min Schroeter And finally, there is also Japan, another loyal ally to the US which, yet, out of its he strategic partnership between India and South historical imperial past, keeps only very Korea is on the right track. Since the establishment strained relations with China as well as South Korea. T of consular relations 50 years ago, both countries In short, the dissolution of the Cold War have made several steps in deepening this relationship, order did cause many changes in East Asia which peaked in the Strategic Partnership agreement in to which South Korea has to respond – may- be in another way than it used to, such as January 2010. simply replying on the US. Furthermore, This significant development is even Agreement”, which came into effect in Janu- the lack of political as well as economical more impressive if the different political ary 2010. Even though these developments multi-lateral institutionalization of rela- backgrounds of India and Korea are taken are very remarkable it should not be forgot- tions in this region is based in the nearly into account. Although India, chairing the ten that the India-Korea trade volume is still unsolvable disputes between its members. UN Commission to hold elections in Korea marginal compared to India’s trade volume As the chances for internal solutions of the in 1947, played an important role in Korea’s with many other economic partners. region are minimal, cooperation in a much independence movement, and in spite of With the inclusion of security related is- broader framework seems to be the only vi- India’s support during the Korean War for sues, the bilateral relations entered a new able alternative. South Korea, India and South Korea did not chapter which initially led to the first-ever Against this background the potential of have close friendly relations after the end of consultations between the Indian and Kore- a strategic partnership between India and the war for quite some time. an defense ministers in May 2007. This stra- South Korea should be evaluated. It could During the Cold War era, India’s stance tegic cooperation was further upgraded in strengthen the position of both states in as leading non-alignment state, as well as January 2010 and proclaimed through the institutions as the East Asia Summit or the her cordial relationship with the Soviet India-ROK Joint Statement “Towards a Stra- ASEAN Regional Forum. This is of great Union, was very suspicious to the strongly tegic Partnership”. It essentially promoted value for South Korea regarding its position anti-communist Republic of Korea, and it high-level military exchanges as well as co- vis-à-vis East Asian rivals such as Japan or explains why both nations, for a long time, operation, agreeing to conduct a “Foreign China. Similarly, Indian-Korea cooperation did not develop closer relations earlier. Policy and Security Dialogue” on a higher bears importance for India in terms of her at- With the end of the Cold War, contacts level. This has become apparent by the in- tempt to increase Indian influence in South- intensified and relations slowly enhanced, creasing high-level visits between India and east and East Asia which also coincides with very much fostered by India’s ‘Look East’ South Korea since the new millennium, and India’s ‘Look East’ policy. For example, India policy. The states’ mutual visits – by the In- particularly since 2010. India’s Prime Minis- could hope for South Korean support in an dian Prime Minister Rao to Korea in 1993 ter Manmohan Singh and India’s President expansion of the ASEAN+3 Forum. There- and South Korea’s President Kim Young-sam Pratibha Patil visit to South Korea in 2010 fore, in terms of connecting India (as well as to India in 1996 – which led to the establish- and 2012 respectively, and South Korea’s South Korea) with South East Asia and East ment of the “India-ROK Joint-Commission” President Lee Myung-bak visit to India in Asia, a strategic cooperation could be very are only two examples. 2010 underline this. profitable. Besides, South Korea could also Of course, especially in the early stage, To understand the importance of this offer support to India in expanding her role improvements concentrated on economic development of bilateral relations between in the UN Security Council. relations: the Republic of Korea became India and South Korea, the geopolitical Secondly, and much more importantly, one of the largest Asian investor in India framework of South Asia as well as East Asia the role of both South Korea and India bears from the mid-90s to the end of that decade, should not be neglected, because it bears paramount significance in regard to their and the bilateral trade impressively grew several consequences for the US – People’s relations vis-à-vis the US as well as China. from US$600 million to over US$20 billion Republic of China rivalry, as well as for In- South Korea, as a middle power and buffer in less than 20 years (1993-2011). Moreover, dia’s and South Korea’s bilateral and trilat- state, is of great value as strategic partner economic relations are still far from hav- eral relations with these two powers. to the US because it allows America to keep ing reached their full potential. They only Firstly, one should keep in mind that the its feet in the door to China – very similarly started to grow substantially, promoted by post-Cold War situation in East Asia is char- was the US deployment of troops to Austra- the “Comprehensive Economic Partnership acterized by a new rivalry between the US lia to strengthen its presence in “China’s 30 www.biztechreport.com INDIA-KOREA Defense & STRATEGY Glorious Past Bright Future backyard”. Certainly, South Korea’s alliance long history of partnership. Good relations 66 percent of positive and only 22 percent with the US was for many years the life in- with the Soviet Union during the Cold War of negative views as the most favorable surance for South Korea, which was threat- were one main reason for poor India-US re- country in terms of its world influence. Ad- ened by its much stronger brother state in lations. But even until the late 90s, things ditionally, the US perception of India did the North. Therefore, the “Mutual Defense stayed relatively cool. When, in May 1998, improve strongly (up to 56 percent in favor Treaty” of 1953 was a win-win situation for India launched a new nuclear test, the US of India) too. On the other hand, India’s both the US and South Korea. reacted with strong opposition, including opinion of South Korea is still very negative, However, South Korea’s transition to a international condemnation by the UN SC with only 19 percent of positive and 23 per- democratic state with a bustling economy Resolution 1172. However, since then rela- cent of negative views in 2010. This is also in the last 25 years – nowadays ranked as tions began to make a turn for the better, far below the average opinion on South Ko- the 14th largest economy in the world – is resulting in the civilian nuclear cooperation rea by other countries (36 percent positive, not reflected in this old-fashioned alliance, agreement known as the “123 Agreement”, 31 percent negative). which still runs in a patron-client relation- which was signed on October 2008. Therefore, South Korea should further ship. The change of the wartime operation India, being the natural counterbalance intensify its efforts to strengthen the strate- control in South Korea to the ROK army in to China as the only Asian state similar in gic relations as well as to foster exchanges 2015 can only be regarded as a minor en- population and prospective growth, became in the sphere of civil society to promote Ko- hancement of South Korea’s position in this in a short time a critical partner for the US. rea’s image in India. The initiation of the alliance. Naturally, South Korea does not Obviously, the India-US relations are more Korea Brand-strategy under President Lee seem to be interested in a shift of partner- equal than the US-ROK alliance and the de- Myung-bak is definitely a good basis for ships from the US to China, but being heav- gree of relations less high. And of course, tackling this problem. India as a big global ily dependent on trade with China, it also India is not dependent upon the US as player has surely more options in choosing cannot afford to lose China. A deterioration South Korea is, but good relations with the its partners, and South Korea should not of US-China relations or an intensifying of US are also for India very profitable, since make the mistake to miss the opportunity the US-China rivalry in the mid- to long- both have a common interest in counterbal- for deepening ties with India. Contrariwise, term future might endanger South Korea’s ancing China. Because an enhancement of India should not overlook South Korea’s economy and trap it in political dire straits strategic relations with South Korea does prospects and influence inE ast Asia. On the out of which any way out is very costly. not only positively affect relations with the one hand, the ROK is a key element in the A possible solution would be to build up US and in East Asia, but also guarantees the US-China relations and thus a main link to strong strategic relations with India, as it maintenance of an independent posture, an both main actors. On the other hand, South might allow South Korea to keep its influ- India-South Korea partnership offers much Korea itself also bears enormous potential ence in Asia-Pacific while at the same time and bears few risks. for India in terms of politics as well as econ- become less dependent on the US. Sino- As the potentials of deepened strategic omy. It might – through trade or technolog- American rivalries would thus affect South relations in the future are very bright, it ical transfer – become a similar important Korea less severely because Korea had devel- should not be forgotten that the improve- driving force for India as it is for China and oped a more neutral stance and freed itself ments made so far are still insufficient.F ur- a new partner in solving international prob- out of this rivalry. thermore, the relations and mutual images lems such as terrorism or nuclear prolifera- India, on the other hand, could advance of each nation are still partially dominated tion. However, similar to the economic situ- its relations with the US by strengthening by prejudices, especially in India. Accord- ation, the strategic cooperation is still in its relations with the US ally South Korea. This ing to the BBC World Polls, India’s image infancy. Hence, the future for strategic rela- would be surely one major gain for India, in South Korea improved by 25 percent be- tions might be very bright, but there is still as India and the US cannot look back on a tween 2006 and 2010, evaluating India with a long way to go. A-P

Continued from Page 25 my Research Institute, of 82 South Korean So what, then, are the points that need ence of Korean companies in India hasn’t. companies which are already present in In- to be improved? For one thing, companies According to the Export Import Bank of dia or are planning to enter Indian market, wanted to have a simplified process of ob- Korea, the number of newly established 54 percent responded that the CEPA hasn’t taining certificates of origin. The current Korean companies in India during Jan. to impacted their businesses. 33 percent of procedure is quite complicated, involving Sept. of 2010 was only 41. During the previ- the companies answered that the CEPA was far too many steps (this problem is charac- ous year, there were 44 newly established very positive to their businesses while 12 teristic of economic agreements between Korean companies in India. It is expected percent of them replied that they are unsure other countries as well). that approximately 60 new Korean compa- of the CEPA impact. 2 percent saw the CEPA Companies stated that they also want to nies have established themselves in India in as negative to their businesses. The India know the exact range of the CEPA applica- the year 2010. In comparison, the number Economy Research Institute concluded that tions. The current CEPA range is rather of new Korean corporations in India was there were not enough follow-up programs vague, which only causes confusion. Easy 68 in 2006, which increased to 85 in 2007. to facilitate the CEPA to working levels. to follow working level guidelines would Considering these numbers, there does When the survey asked companies benefit everyone involved. The companies not seem to have been a significant benefit whether the CEPA needs improvement, wanted to have a sort of guide book which from CEPA in terms of Korean companies’ nearly half of the respondents (46.9 per- explains about the CEPA as well as how they access to the Indian market. cent) agreed that the bilateral agreement can benefit from it and target products and The tariff reductions also do not imme- needs an upgrade. 10.9 percent of compa- tariff rates. Also, the relative lack of CEPA diately benefit companies. U nder the CEPA nies felt confident that the current EC PA is publicity was considered a shortcoming, South Korea needs to eliminate tariffs on good enough, with 37.5 percent answering and Korean companies hoped the process 90 percent of Indian products. India needs that they are not sure. Thus with many com- of employment visa issuance could be made to reduce tariffs on 85 percent of South Ko- panies feeling that the CEPA is lacking, they more simple than the current process. rean exports. But the tariffs are going to be want more follow-up programs or policies Professor Ahn Byung-soo of Seoul Digital eliminated over 10 years. For example, auto to support South Korea and India economic University is advising companies to be pa- parts (the biggest South Korean exports to relations. tient. He mentioned that the CEPA is rela- India) get a tariff deduction from the cur- Dr. Oh Hwa-suk, director of the India tively slow in opening up compared to oth- rent 12.5 percent down to 1 - 5 percent over Economy Research Institute, advised that er free trade agreements that South Korea an 8 year period. Thus the tariff deduction both the Indian and South Korean govern- has signed. “Companies will feel the impact that companies will experience is only 1 - 2 ment should make an effort to offer ex- of the CEPA gradually, not instantly. India percent annually. Furthermore, there were act and clear information of the CEPA for has a high economic growth rate and the some complaints from companies that corporations. He also added that focusing number of its middle class is growing, statis- some government employees, who were on the follow-up of the CEPA and check- tics which bode well for the Korean econo- not familiar with the CEPA, still apply the ing the problems that companies confront my and Korean companies. I strongly be- old tariff rate for some products. are important matters to promote the two lieve the CEPA will benefitI ndian companies According to a survey done by the Export countries’ healthy and long term economic as well as Korean companies for mutual Import Bank of Korea and the India Econo- relationship. economic growth eventually.” A-P 31 www.biztechreport.com Defense & STRATEGY INDIA-KOREA Glorious Past Bright Future Continued from Page 27 Military and Strategic Aspects for who traditionally sources their compo- nents from Japanese companies. Indian officials opine that, “Having the Koreans Korea-India Relations in the fray also means India’s other nucle- ar partners have to keep the price of their By Nicholas Hamisevicz reactors competitive.” Analysts also perceive that the strate- s leaders made their gic alliance with South Korea will give In- dia greater bargaining power with other way to South Korea nuclear participants in terms of costs A for the Nuclear as well as technologies, given the wide Security Summit in March scope of India’s nuclear energy program. India is also hoping for greater good- 2012, President Lee Myung- will with South Korea, and diplomats bak of South Korea hosted from both the countries are confident of many of them for separate South Korea’s support on India’s inclu- © pib.nic.in sion in the Nuclear Suppliers Group as bilateral meetings focusing The Prime Minister, Dr. Manmohan Singh arrives at the Seoul air force base, to attend the 2012 Seoul Nuclear Security Summit on well as the Missile Technology Control on enhancing the ties March 24, 2012. Smt. Gursharan Kaur is also seen. Regime. between their respective guards were beyond their normal territo- Additionally, both the countries have countries. rial range of responsibility, skills in disaster jointly endorsed the entry of the US as relief and familiarity with Indian maritime well as Russia in the East Asia Summit One of those important meetings was protocol were derived from the experience. (EAS), which is backed by ASEAN. They with Prime Minister Manmohan Singh of Both South Korea and India have navy ves- are also looking forward to trilateral dis- India. Since 2010, South Korea and India sels fighting Somali pirates and protecting cussions at the Track-II level where Japan have had a strategic partnership, and the their ships, so greater cooperation could oc- would be the third participant. meeting focused on ways to enhance their cur in this area as well. The two countries also agreed to co- relationship. The strategic partnership has the poten- operate on political and economic secu- Demonstrating the importance of this tial to grow through military acquisitions rity in the region as well as work towards growing partnership, President Lee hosted as South Korea is looking to expand its maintaining regional stability. a banquet lunch for Prime Minister Singh defense exports industry and capabilities following their meeting. Both sides are while India is embarking on an ambitious Growing Concerns on North looking for ways across the entire spectrum military modernization program. India will Korea’s Nuclear Capabilities of bilateral interaction to sustain and en- soon purchase minesweepers from a South As North Korea’s nuclear capabilities hance their partnership; moreover, the two Korean company, which will help replace grow, it is being regarded by both coun- leaders emphasized through the Joint State- some of its older minesweeper fleet and tries with great caution. The rogue na- ment the necessity for meetings that will protect Indian harbors. South Korea was tion’s long-range rocket launcher is con- specifically help define and enhance the hoping to build upon that success as its tinuing to raise security as well as safety military and strategic aspect of the Korea- KT-1 fighter trainer was amongst the final concerns with both nations, and the India relationship. Development in these candidates for a bid from the Indian mili- respective leaders chose to address this particular areas of the strategic partnership tary. However, South Korea lost out to the situation with categorical statements of will provide an important example of bilat- Swiss Pilatus PC-7 aircraft, and its appeal eral cooperation during the Asian-Pacific maintaining regional balance. was turned down as well. Prime Minister Manmohan Singh said century. Despite losing this bid, there will likely The wording in the Joint Statement and that, “Nothing should be done which be future opportunities for military acqui- increases tensions in the region and vio- the subsequent reporting following Prime sition and cooperation. India will look to Minister Singh’s visit to Korea suggest a de- lates the relevant U.N. Security Council continue to upgrade its navy as the strategic resolutions.” The South Korean premier sire for both sides to have a big project or focus shifts toward the Indo-Pacific region. achievement that would help carry the mo- seconded the notion and highlighted the South Korea will look to its success with two countries joint-stand against such mentum of the relationship into the next the minesweepers and shipbuilding prow- administrations. This is more of an imme- disruptive forces in the region. ess to win future contracts with the India diate concern for President Lee, as his con- military. Korea has also started working on stitutionally mandated single five-year term Bilateral Trade Boosted unmanned aerial vehicles for export, which finishes at the end of 2012. Bilateral trade between the two coun- could provide another avenue of military Like many bilateral relationships in Asia, tries too has received a boost following interaction. Furthermore, the March 2012 trade and economics has brought South the premier’s visit along with effective Joint Statement listed potential opportuni- Korea and India closer together. With an deployment of the Comprehensive Eco- ties of collaboration in the areas of research increasing importance placed on econom- nomic Partnership Agreement. Over a and development and manufacturing mili- ic growth in both countries, some of the two-year journey, the trade volumes have shared security concerns between South tary equipment. The document went on grown significantly, by nearly 70-percent, Korea and India stem from their economic to emphasize Korea’s desire “to increase today reaching over US$20 billion. The In- realities. A substantial portion of the en- cooperation with India in the military and dian Prime Minister said that, “President ergy and trade both countries need flows defense industry.” Lee and I agreed that our strong econom- through the Persian Gulf and the Indian The development of the Korea-India stra- ic ties are fundamental to our growing Ocean. In the most recent Joint Statement, tegic partnership has helped move both interaction. We have therefore set a new the two sides called for the “need to actively countries beyond their immediate neigh- target of US$40 billion by 2015. We also pursue consultations and cooperation in borhoods and become more relevant in agreed to accelerate work in progress to the field of maritime safety and security.” the regional and global context. However, upgrade the partnership agreement and The potential for greater military and se- in the context of greater strategic relations make it more ambitious.” curity cooperation is there between South in Asia, the China factor looms large. Both To ease the movement of people be- Korea and India; however, in actuality the India and South Korea have important eco- tween the two countries, an agreement connections so far have been limited. nomic relations with China yet possess com- was also drawn to simplify visa procedures. The two countries have signed some plicated security relations as well. This is es- It may now be said that strategic ties Memorandums of Understanding (MoU) for pecially the case between China and India, hold the key. As India and South Korea defense and security cooperation. Addition- as the two rising powers compete for influ- renew their economic and bilateral trade ally, both India and South Korea had their ence in Asia and in the world. This compe- opportunities, both are committed to op- coast guards engage in exercises together tition becomes contentious when Chinese timizing strategic alliances so as to rede- in July 2006. Although South Korea’s coast Continued on Page 41 fine their roles in the Asian Century. A-P 32 www.biztechreport.com INDIA-KOREA health Glorious Past Bright Future India-Korea Cooperation on Green Technology for Sustainable Health and Well-being by Manju singh and R.B. Singh ndia and Korea differ in levels of develop- ment; India being a developing nation, while Korea is relatively more developed. © pib.nic.in I The President Dr. A.P.J. Abdul Kalam shaking hands with the President of the Republic of Korea before Yet both have a multitude of commonalities. the commencement of delegation level talks at the Presidential Palace in Seoul, on February 7, 2006. Both nations gained independence at ap- ing fully degradable bin bags, carrier bags be designed so that at the end of their proximately the same time; India in 1950 and other plastic bags from polyethylene, function they break down into innocuous and Korea in 1948. They also adopted demo- using new additive technology to reduce degradation products and do not persist in cratic political systems. The two nations the plastic to carbon dioxide and water in the environment, 11. Real-time analysis for have marked similarities in physiography, just a few weeks, so that now you can feed Pollution Prevention- Analytical methodolo- dominated by mountains, hills and rivers. the compost heap with the plastic sacks too. gies need to be further developed to allow The population density of Korea is nearly An example of this technology can be seen for real-time, in-process monitoring and equal to India. The coastal area of Korea is with biodegradable polymers, which are de- control prior to the formation of hazardous reclaimed from sea and is modern, whereas signed to degrade upon disposal by the ac- substances, 12. Inherently Safer Chemistry the Indian coastal region has a mixed flavor tion of living organisms. for Accident Prevention- Substances and of tradition and modernity. Extraordinary progress has been made in the form of a substance used in a chemical India and Korea are both experiencing the development of practical processes and process should be chosen to minimize the fast growth of megacities. With fast urban- products from polymers such as starch and potential for chemical accidents. ization Korea has developed excellent city lactic acid. The need to create alternative transportation and subway systems. India is biodegradable water-soluble polymers for India, Korea and Green also doing well in the field of urban trans- down-the-drain products such as detergents Technology portation and it could benefit from co-op- and cosmetics has also taken on increasing Environmental pollution and waste gen- eration from Korea in this sector. India and importance. The two emerged economies of eration are problems faced not only in India Korea experienced impressive economic re- India and Korea can cooperate and collabo- and Korea but in many developing coun- forms and liberalization at same time during rate on the above issues for global sustain- tries too. Many of these kinds of problems 1990’s. India’s manufacturing sector and Ko- ability of health and wellbeing. are created due to misinformed policies rea’s electronic sector are performing well. and strategies which are based on end-of Both the countries are attracting enormous Green Technology / Chemistry pipe treatment, rather than pollution pre- numbers of foreign and domestic tourists. Principles vention at source. Most frequently, income According to America’s Environmental generation activities are dependent on an Linkage between Green Protection Agency (EPA), 12 Principles of efficient use of energy and other resources Technology and Human Health ‘Green Chemistry’, which are important such as water, which may pose some serious and Well-being components of green technology, include problems to future generations. Innovation in the field of green technol- the following: 1. Prevention- It is better to The United Nations Millennium Develop- ogy will not only help to provide an alterna- prevent waste than to treat or clean it up ment Goals at the country level strongly rec- tive eco-friendly energy source but will also after it has been created. 2. Atom Economy- ommend the imperative need to implement help livelihood security to a vast section of Synthetic methods should be designed to renewable energy resources in these coun- societies. Green technology has great po- maximize the incorporation of all materials tries and to implement energy conservation. tential to create various sources of earnings used in the process into the final product. 3. Green technology is a sustainable practice and thereby improve the quality of life of Less Hazardous Chemical Syntheses- Wher- which is playing a pivotal role in the use of Indians and Koreans. ever practicable, synthetic methods should solar energy together with the introduction Green chemistry is a tool for chemists, be designed to use and generate substances of sustainable farming, recycling, etc. chemical engineers, and other researchers that possess little or no toxicity to human Green technology can also have a very from physical, chemical and biological sci- health and the environment. 4. Designing strong impact on water sufficiency issues in ences who design materials to help society Safer Chemicals- Chemical products should the developing world where availability of toward the goal of sustainability of global be designed to affect their desired function these resources is the most vital issue. It is health and well-being. Toxicological under- while minimizing their toxicity 5. Safer Sol- through the implementation of cleaner pro- standing and ‘environmental fate’ are nec- vents and Auxiliaries- The use of auxiliary duction and use of safe and biodegradable essary components for understanding the substances (e.g., solvents, separation agents, chemicals that a huge volume of wastewa- entire “molecular life cycle” of any commer- etc.) should be made unnecessary wherever ter could be reused. cial endeavour to make a significant contri- possible and innocuous when used. 6. De- Both India and Korea need to work for bution for achieving sustainable develop- sign for Energy Efficiency- Energy require- their own betterment by encouraging the ment. Since 2001, S.C. Johnson has had a ments of chemical processes should be practices of green technology. Governments process in place called Greenlist. “It’s really recognized for their environmental and could undoubtedly facilitate the formation a process for rating the raw materials up economic impacts and should be mini- of more effective industrial/academic part- that we use and the packaging for our prod- mized. 7. Use of Renewable feed stocks- A nerships. The India-Korea collaboration can ucts,” said Chris Librie, Director of Global raw material or feedstock should be renew- promote green technology through educa- Sustainability for the company. Green pro- able rather than depleting whenever tech- tion, information collection and dissemina- cesses generate the smallest amount of nically and economically practicable. 8. tion, research and international collabora- waste and packaging which require the Reduce Derivatives- Unnecessary derivatiza- tion via conferences, workshops, meetings least amount of material. There was a time tion (use of blocking groups, protection/ and symposia. However, industry in India no so long ago when people would throw deprotection, temporary modification of still needs to make significant improvement food scraps, peelings, etc., into the compost physical/chemical processes) should be from the environmental point of view. A heap in the back corner of their garden. The minimized or avoided. 9.Catalysis- Catalytic majority of industrial R&D there is mainly rest of the household rubbish went into the reagents (as selective as possible) are supe- concerned with cost efficiency rather than dustbin in plastic sacks. Nowadays things rior to stoichiometric reagents, 10. Design eco-effective methods. have changed. Many companies are produc- for Degradation-Chemical products should Continued on Page 41 health INDIA-KOREA Glorious Past Bright Future Continued from Page 29 Why Korea and India Should or ASEAN. In fact, the first-everI ndia-ASE- AN Business Summit was held in 2002, in New Delhi. Move Towards Medical and While analysing and commenting ex- tensively on the emergence of India’s Health Care Co-operation Eastern Policies, Walter C. Ladwig III (Ref.1) has said that, “While India may not traditionally be considered to be a sig- by Kim Cheol Ho nificant actor in the Asia-Pacific region, over the past 18 years, New Delhi has un- dertaken a concerted effort to direct its ndia’s health care policy foreign, economic, and military policies is built to provide eastward. What began as economic coop- universal medical care eration with the nations of Southeast Asia I has expanded into full-spectrum engage- to all strata of society. ment with the major powers of East Asia.” While only a few states in the country, India has also built extensive multi- have a health care insurance system in lateral organizations that support the place for people below the poverty line, Mekong-Ganga Co-operation, BIMSTEC as nearly 50 percent of health care services are well as SAARC. provided through government hospitals at regional and local levels. Although India has Role of Asian Partners in matched various health indicators, a notice- © Snowwhiteimages | Dreamstime.com Including India in able feature is the decline in productivity in of scope for cooperation within the field of Asia-PacificR egion India’s health sector. health care. While India’s costs for delivery Regional players have also supported Korea’s health care field, on the other of world-class medical treatment in sophis- and initiated India’s role in various as- hand, is well-structured, with a national ticated infrastructure continues to remain sociations of the region. When China’s health insurance system that has grown in a competitive, Korea’s expensive health care domination in ASEAN+3 became uncon- phased manner and which has now arrived treatment could offer opportunities for trollable, several countries such as Japan at covering even the casual labor class. Pa- price revisions. brought India into the equation to create tients will have to pay on the basis of a ‘fee Despite a sophisticated health care sys- a ASEAN+6 process. Singapore and Indo- for service’ policy and this is to remain uni- tem in place, Korea is ranked low amongst nesia were also very keen on India play- form across all employee classes. OECD countries in the delivery of health ing a role in the East Asia Summit. This health care coverage is available for care systems. Thus Korea and India, with in- America has also sought India’s active both Western as well as traditional treat- creased cooperation in the medical as well participation in the region and has com- ments, and the entire system works pre- as health care systems, have a golden oppor- pelled its membership in the Asia-Pacific dominantly with private sector participa- tunity to create a more egalitarian delivery Economic Co-operation. tion. of medical care across the stratified society Both India and South Korea have a lot of their respective countries. A-P PM Speaks on South Korean Ties Indian Prime Minister Manmohan are keen that Korea’s military equipment Continued from Page 28 Singh, during his recent visit to Korea to and hardware technology be adopted for In- by North Korea with technical know-how attend the Nuclear Security Summit in dian defense. India has already increased its having come from China. the last week of March, interacted with budget allocation for the present financial Both leaders were categorical that their the media and said that, “Investment year 2012-13 to US$41 billion, an increase of respective nations were committed to from Korea is a priority for India. We will 17 percent growth over the previous year’s maintaining regional security balances and take pro-active steps to address investor budget. would not indulge in irresponsible behav- grievances and improve the business cli- India’s demand for military products pro- ior, despite adequate provocations from mate in the country. Many states of our vides a lucrative market. Several overseas neighbors. union have been actively encouraging companies supply nearly 70 percent of the Yet President Lee also highlighted Ko- foreign investment and we will support imports the country needs. It is the second- these efforts. I urge Korean industry to rea’s desire to increase “the degree of co- ranked importer of arms after China. have faith in India.” operation with India in the military and South Korea’s evolved arms industry is His last statement was in the context defense industry.” New trade opportunities surely well positioned to meet India’s de- of the failure of Korean-funded projects are hereby opening up for the “manufac- fense equipment and arms needs. It is al- such as the POSCO steel Project, where ture of hardware, including naval ships and ready able to meet nearly 70 percent of its land acquistion from tribals of the region aircraft.” own needs and has become an established has led to continued start-up delays. The Prime Minister has also extended weapons systems supplier. Seeking to reassure South Korean inves- India’s space technology expertise to Ko- Seoul, in fact, has set a target of selling, tors in India as well as the CEOs gathered rea and proposed that “India would offer “three billion dollars worth of arms in or- at the event, and in an effort to further to launch Korean satellites on Indian space der to become one of the world’s top ten launch vehicles.” arms exporters by 2012.” The K-11 airburst ties with South Korea, the Prime Minis- The countries were emphatic that the assault rifle, as well as the K-21, which is ter further commented that, “I recognize increased intensity of their relationship the latest generation of infantry vehicle, is that sometimes our processes can be slow would not affect their individual relations superior to the American-made M2 Bradley but there are effective mechanisms for with other countries, viz-a-viz China. Speak- infantry fighting vehicle. resolution of problems and differences ing for the government, Sanjay Singh was South Korea also has a sophisticated Ae- and a strong rule of law. The government quick to ascertain that, “Our relations with gis combat system, which “uses powerful is keen to move forward with the POSCO every country stand on their own merit and computers and radars to track and guide project and there is some progress in this are not predicated on relations with any weapons to destroy enemy targets.” regard. I believe that India is a stable and other country.” This statement was made to Furthermore, the road ahead for a fruit- profitable long-term investment opportu- assuage continued media concerns that the ful defense trade association between Korea nity.” closeness between India and South Korea and India has already been well-established would actually worry or provoke China. by the ‘minesweeper contract’ (with just Road forward for India’s East Thus a new phase of the defense industry one of these ships costing US$670 million), Asian relations and trade between India and South Korea placed with ‘Kanganam Corporation’, a Walter C. Ladwig III, commenting on has been entered. Currently, both countries South Korean firm. A-P Continued on Page 37 34 www.biztechreport.com INDIA-KOREA health Glorious Past Bright Future Mutual Benefits of Traditional Medicine Policy in Korea and India for Achieving Health MDG torical Chinese system of medicine, there by R.B.Singh & Nitu Goswami was a separate text called ‘First Aid Prescrip- tions Using Native Ingredients,’ or ‘Hyang- yak Gugeupbang’, published in 1245. There edicinal herbs as a is evidence which reveals that India was the prime learning source of health sciences potential source of and many students from various parts of M therapeutics aids the world, especially Southeast Asia. The in- have attained significant formal folk medicine also co-exists with or- importance in health ganized systems of traditional medicine in communities. It is passed orally from gen- systems all over the world. eration to generation. These systems have survived for thousands of years because of Herbal plants have been a source of their common use and associated cultural home-based remedies for common ailments beliefs of the populations (Sahai, 2000). since time immemorial. Herbal-based home Herbal home remedies have a long tradi- remedies have fewer or no side effects. They tion both in India and South Korea. Asian are easily and locally available, they are ef- pears with honey are a simple and effective fective, and they are time tested. home remedy for coughs and sore throat in Enjoying good health, remaining free Korea. In India, honey along with ginger is from disease and having access to health taken to treat cough and cold. Traditional care are basic human rights. The Millen- Korean as well as Indian medicine devel- nium Development Goal (MDG) states that oped unique practices, or inherited them one of its focuses should be on finding so- from other cultures. Wormwood and garlic lutions at the international level for invest- © Valery Kraynov | Dreamstime.com Indian doctors make ayurvedic oil head massage. are described as eatable medicine in Korean ment in research, production and trade of culture while garlic is considered a pain medicines that are essential for the pre- for many, many years (Fig. 2 a and b). The Indian government has initiated many proj- reliever in India. In Korean culture Miso vention and treatment of diseases affect- Soup has been a long time home remedy. ing the poor. Both traditional Korean as ects for the establishment of herbal gardens and also promotional programs for helping This ancient practice has been passed down well as Indian medicine has been used for for hundreds of years and is still commonly thousands of years. Only traditional Korean people to adopt kitchen/herbal gardens. Traditional medicine is known as ori- used today. medicines were available for the treatment Throughout India, the use of herbal of various diseases and health care of the ental medicine in the Republic of Korea. Oriental medicine was revitalised after the home remedies is in wide practice. Several people before modern allopathic medicine. herbs and plants have been used since time The Ayurvedic system of medicine is one of end of colonial rule and presently it is gain- ing momentum. Acupuncture and herbal immemorial and passed down from one to the oldest, most well-integrated, organized another generation to cure diseases. With and complete health systems developed remedies are commonly used in Republic of Korea (WHO, 2001). Many attempts of huge usability and great potential, India in India. The formal system of Ayurveda and Korea are developing a roadmap to take originated from the informal knowledge experimentation on fusion medicine, com- bining traditional medicine with modern this system into the mainstram of health on plant use and was passed down to those care systems. who were capable of practicing with it, like medicine have also been reported there. the traditional healers commonly known as There are about 4,000 registered herbal Government Efforts in the Vaidyas. medicines and 515 herbal medicines in- Irrespective of geographical localities cluded in the National Essential drug list Development of Traditional or rural and urban settlements within the issued in 1959 (WHO, 2005). A study com- Medicine – A Korean Initiative home, the role of the kitchen garden - or missioned by the National Medicinal Plants Korea has great diversity in medicinal home garden - is very significant in provid- Board, an apex body of the government of plant resources. There are about 4,500 me- ing accessible health facilities. Home gar- India dealing with medicinal plants sector dicinal plants reported to be used. The im- dens provide vitamins and minerals in the across the country. It has reported the use portant ones include Angelica Gigas Nakai form of vegetables, fruits and spices. This of 960 medicinal plants species forming the (Korean angelica), and Panax ginseng Meyer is significant because policies of traditional source of 1,289 botanical raw drugs which (Ginseng root). But there is also a poor har- medicine should be well-integrated and are currently in active trade in India. The vesting method which has led to the extinc- must provide quality health care for the annual demand for botanical raw drugs ex- tion of many species (Choi et al., 2002). rapidly growing population. clusively for rural households was 86,000 Disparity in definitions and categoriza- metric tonnes during 2005 – 2006. The esti- tions of Traditional Medicine therapies lead Indo-Korean Contribution mated trade value of these raw drugs during to difficulty in regulating traditional medi- towards Health and Well-being the same year, exclusively for rural house- cine products, practices and practitioners. A Enjoying good health, remaining free holds was US$16 million. minority of countries reported having laws from disease and having access to health or regulations on Traditional Medicine (TM) care are basic human rights. Despite the Traditional Systems of Medicine (WHO, 2005). The period between 10th- significant improvements that have been in Korea and India 14th centuries and 14-17th century was re- made in income indicators over large seg- The use of plants as medicine has evolved markable in terms of medicine, focusing on ments of the Indian population, there are with the social and cultural groupings of domestic medication and native medicinal still regions which continue to be without humans. In all cultures, the plant kingdom ingredients of Korean texts. There were the access to basic health services. This is due to has historically been a favorite source of publication of dozens of types of Chinese various factors such as high medical costs health care. The ‘Charak Samhita’, an age and Korean medical texts at the governmen- and inaccessibility to health services. Yet old written document on herbal therapy, re- tal level. Women physicians were practicing traditional medicine provides affordable ports the production of 340 herbal drugs for healing traditions, there was the emergence means of health care to poor and marginal- curing various diseases (Kala, 2004). Ayurve- of independent medical texts on acupunc- ized people (Fig.1). da is perhaps the oldest of these curative ture, the successful cultivation and massive In addition, there is a growing demand of systems (6000 B.C.) and it is also greatly su- export of ginseng, and the emergence of the it among the middle and upper section of perior among organized ancient systems of Sasang, a native medical tradition. society. The herbalists in Korea have been medicine. The entire population of the Republic practicing the Korean system of medicine In Korea, besides the influence of the his- Continued on Page 43 35 www.biztechreport.com health INDIA-KOREA Glorious Past Bright Future Potential of Health and Medical Cooperation between India and South Korea India’s Domestic plan [2012-2017] aims to increase its spend- Health ing in the healthcare sector to a still meager India has one of the 2.5 percent of its GDP. lowest healthcare expen- India’s robust international engagement ditures in the world, along in the field of health therefore seems para- with the stark reality that doxical given the formidable public health it is critically short of hos- challenges it faces at home. pitals, doctors, paramedi- cal staff, medical technolo- India’s Pharmaceutical Industry gists and nurses to cater to The Indian pharmaceutical sector is high- its huge population of 1.2 ly organized and is estimated to be worth billion people. India also US$4.5 billion. It is growing annually at the has an inadequate medical rate of 9 percent. Its market is expected to infrastructure and quality reach US$55 billion in 2020, which is good healthcare for its people news for the Korean pharmaceutical com- from every strata of life. panies who intend to invest and be a part of The domestic health growth in this field. indicators of India are sur- The domestic pharmaceutical market in prisingly weak in compari- India is estimated to reach around US$20 son to its recent dynamic billion in 2015, while the healthcare mar- growth. ket is projected to reach US$32 billion in Dr. Amitabh Arya in Seoul National University Hospital The country faces a 2020. The sale of pharmaceutical drugs and burden of communicable and preventable medicines will reach an estimated US$19 by Amitabh Arya diseases like malaria, tuberculosis, diar- billion in 2012. India is also a lucrative des- rheal diseases due to lack of sanitation and tination for clinical trials by global health- hygiene. There is also a growing urgency to care companies. he Republic of tackle chronic diseases like diabetes, heart The Indian pharmaceutical industry has India is the seventh disease, cancer, and AIDS/HIV. more than 20,000 registered units. A lead- geographically largest The private sector in India has entered ing 250 companies control 70 percent of the T the medical field/healthcare sector but has market. There are 250 large units and 8000 country, the second most had little guidance or regulation from the small scale units which form the core of the populous country with over Indian government. The public sector in industry, out of which there are 5 central 1.2 billion people, and the healthcare in India has renowned hospi- public sector units. most populous democracy tals, with many of them having branches in India’s pharmaceutical industry meets 70 other countries. Unfortunately, they are bet- percent of its 1.2 billion population demand in the world. ter suited for the rich and the famous of the for the bulk of drugs, formulations, chemi- Its economy is the world’s tenth largest society, as their extremely high costs put cals, tablets, capsules, orals and injectables. by nominal GDP and third largest by pur- them well out of the reach of poorer people. The Indian biopharmaceutical industry chasing power parity (PPP). Following mar- An estimated 43.3 percent of low-income produces 60-70 percent of the vaccines pro- ket-based economic reforms in 1991, India rural Indians do not seek healthcare when cured by UN agencies for basic vaccination became one of the fastest-growing major needed, due to poverty, compared to a fig- in the country. economies. However, it continues to face ure of only 1.9 percent of its rich urban resi- Along with Brazil, India is a top five sup- the challenges of poverty, illiteracy, corrup- dents. This has improved with out-of-pocket porter of research in dengue fever and lep- tion, and inadequate public healthcare. payments increasing from 70 percent in rosy in the world. As a nuclear weapons state and a region- 1987-88 to more than 80 percent in 2002- al power, it has the third largest standing 2003. Why South Korea Should Invest army in the world and ranks ninth in mili- The constitution of India charges every in the Pharmaceutical Industry tary expenditure among nations. India is state with “raising the level of nutrition and in India a federal constitutional republic governed the standard of living of its people and the Given the huge potential of growth in under a parliamentary system consisting improvement of public health as amongst pharmaceutical industry in India there ex- of 28 states and 7 union territories. India is its primary duties.” ists many attractions for Korean companies a pluralistic, multilingual, and multiethnic However, the Indian government’s to invest in this fast growing sector. Some society. But with regard to its healthcare health spending as a percentage of its GDP of them are: system, there are many challenges and im- is among the lowest in the world. In 2009, it 1. Competent workforce provements that are still needed, from the spent only 5.2 percent of its GDP on health- 2. Cost-effective chemical synthesis level of primary health care up to the super- care of which 4.3 percent was by the private 3. Strong legal & financial framework, speciality services. sector. The Indian government spends only thus protection of the rights of the for- The WHO published the following data 0.9 percent on public health. The Planning eign investors and companies in India on the healthcare of India in 2009: Commission of India for its 12th five year 4. Network of IT 5. Globalization of India Total population 1,198,003,000 6. Consolidation 7. India can discover, patent and produce Gross national income per capita (PPP, US$) 2,930 drugs on a massive scale at a much low- Life expectancy at birth male/female (years) 63/66 er cost than other countries. Probability of dying under five (per 1 000 live births) 66 Future of Health Care in India The above facts about healthcare in In- Probability of dying between 15 and 60 years male/female 250/169 dia were not meant to present a pessimistic (per 1000 population) view, but rather to know the medical and Total expenditure on health per capita (US$, 2009) 132 healthcare realities currently prevailing in this nation. Total expenditure on health as % of GDP (2009) 4.2 On the positive side, the Indian health- care industry is rapid growing and is all set 36 www.biztechreport.com INDIA-KOREA health Glorious Past Bright Future to become a US$280 billion industry in the al growth in health expenditure per capita system of medicine. South Korea can col- year 2020. Rising income levels, a growing was 7.8 percent, almost double the average laborate with India while also opening tra- economy and a growing elderly population for the countries of OECD. ditional Korean medicine colleges and also are all contributing to this rapid growth. As South Korea prioritizes global health western medicine system colleges. In addition, there has been a change in quite highly, it diverts 15 percent of its aid India still has insufficient medical doc- demographics, disease profile and a shift budget to health and medical services. Its tors, lab technicians, radiographers and from chronic to sedentary lifestyle diseases commitment to global health, development paramedical professionals to meet the large due to growing affluence, especially from and human security can be a boost in its population of India. The middle class and the world’s largest population of middle bilateral ties and cooperation with India, upper class in India have significantly bet- class population in the world, who are pro- especially in the healthcare sector. ter access to emergency services & health- gressing rapidly towards a richer lifestyle. India can certainly learn from this Ko- care in comparison to the rural population. In order to meet its manpower short- rean experience and expertise in order to An Oxford University study revealed that age and to reach world class standards in benefit its healthcare sector. one million Indians die each year due to healthcare, India needs an investment of The two nations have been very good inadequate healthcare despite high quality US$20 billion over the next 5 years. friends and partners in trade and coopera- and well trained doctors in the country. 80 tion for centuries and the bond is growing percent of specialist doctors live in the ur- Role of South Korea in the stronger. The only area still requiring a ma- ban cities and 700 million citizens do not Healthcare & Medical Growth jor boost between the two countries is the have access to their services. of India healthcare sector, which is somehow lag- Today India and South Korea are demo- ging behind. India & S. Korea – What we can do? cratic republics. The trade & economic coop- LG, Hyundai, Samsung and POSCO are Both these countries can form asso- eration between the two nations is growing household names in India, but still we don’t ciations along the lines of SAARC, or IBSA exponentially. In 2010, bilateral trade was have any bilateral investment, technical col- dialogue forums for the long-term mu- US$10.7 billion. It grew to US$20.6 billion laborations or cooperation in the medical or tual cooperation and collaboration in the in 2011. The same year Korea’s exports to healthcare sector. They could stand a rapid healthcare sector. India grew to 11 percent while its imports boost from cooperation with South Korea India is likely to continue its efforts to grew to 40 percent. which has had a highly successful universal increase its domestic rural outreach for South Korea is the fifth largest source health insurance system since its inception healthcare, to expand international health of investment in India. It is also a model in 1977 when it began as medical insurance agencies funding for its domestic programs for many developing countries for its rags for workers and their dependents in firms and to use aid to enhance both health and to riches story. In the early 1960s, Korea with more than 500 employees. In 1989 this country’s influence in South Asia and Africa. ranked as the world’s second lowest GDP. was extended to the whole nation, thus at- South Korea can provide the technologi- Today it is a world economic superpower, tending to the needs of every citizen from cal innovations, manpower training, and due to the hard work and determination all the strata of the society. training to tackle problems in remote rural of the Korean government and the citizens It was economical, accessible and user areas and other forms of help for India’s ail- of the country who put the country on the friendly to all. India also needs such a ing health sector. It can also invest in phar- world map. healthcare delivery system, and thus we maceutical industry research and training In 1991, KOICA (Korea International Co- need mutual cooperation and collaboration programs. operation Agency) was formed by the gov- in this area of Korean expertise and success. It can collaborate with government and ernment to aid the developing countries. Regarding future medical cooperation, private agencies, including NGO’s, for im- In 1996, it became a member of the OECD, there should be collaboration between both proving the health of the citizens of India. becoming the first ever economy in the governments for mutual training and ex- Korea can also help bring methods to world to transform its status from recipient change programs of medical doctors, nurses control the population of India by educa- to donor. and other healthcare providers. India pro- tion, medical support, research and collabo- From 1987-2007, South Korea assisted de- duces approximately 25,000 healthcare pro- ration with NGO’s, private and government veloping countries with a total aid of US$5.7 fessionals each year. There are more than organizations. billion. In 2008, it jumped to US$802 mil- 250 medical colleges in India for medical Thus if systematic and thorough ap- lion, a remarkable increase of 15 percent in doctors who are taught the western system proach is adopted there exists a big poten- a year. of medicine, while there are 400 medical tial of India–Korea cooperation in the health Between 1993-2008, South Korea’s annu- colleges teaching the traditional Indian sector. A-P

Continued from Page 34 will play in the region. “Its security struc- equilibrium — a key national interest”. India’s future role in Asia-Pacific, concludes ture ought to be plural and open-ended, Analysts such as S. Gupta (Ref. 2) com- that, “While in the near term India’s pres- having learnt its lesson from past collective ment that India’s global role in the next ence and influence will be felt most strong- security failures. Finally, its institutional decades will follow the path of economic ly in Southeast Asia, a steadily expanding mechanisms ought to be consultative and modernization, leading to the building of a economy, paired with a growing partner- non-prescriptive, respectful of the region’s conducive environment to provide the right ship with key regional actors and an in- preference for consensus-based approaches launchpad to achieve its role. creasingly capable navy, positions the South to problem solving, and centred in that At the dawn of the Asian Century, it is crossroads of Asian inter-civilization inter- Asian giant to have an impact on the emerg- imperative that India becomes the enabler action, Southeast Asia.” ing security architecture of the region”. and initiaties a role in the global context so As a new player in Eastern power equa- India will aim to become an ‘enabling power’ in the region and seek to follow a that it becomes a game-changer in the re- tions, India has an extensive role to play as gion. Reiterating its East Asian foreign poli- an ‘external balancer’ and the expectations consensual regional structure that will cies with partners such as South Korea is of this role are well-argued by India’s Na- seek regionally ‘dominant entities’ to act tional Security Advisor, Shivshankar Me- with restraint in discharging their relations indeed the right step forward. A-P non. He argues that India’s foreign policy within the region. India’s policy will be an posture needs to be ‘inclusive, comprising ‘engaged power’ as well, so as to encourage all powers — regional and extra-regional — the growth of the entire region as a whole. References: relevant to the practice of Asia’s security. India will continue to be pluralistic Its geographic scope ought to be extensive, power by ‘facilitating the involvement of 1. Walter C. Ladwig III, “Delhi’s Pacific Ambi- extending from the Suez to the Pacific and the widest spectrum of participants in the tion: Naval Power, ‘Look East’ and India’s seamlessly enfolding the maritime periph- region’s endeavours, and eschewing exclu- Emerging Role in the Asia-Pacific,” Asian ery with the rising continental core.” sivist multilateral constructs (particularly Security, Vol. 5, No. 2 (June 2009), pp. While concluding the 13th Asian Securi- in the area of non-traditional security)’. As 93-98. ty Conference in February of last year, Am- a “stabilising power it can prepare to use its bassador Shivshankar Menon’s comments considerable security capabilities to help re- 2. Sourabh Gupta, articles for Samuels In- offer the exact road map for the role India sist revisionism and maintain a more stable ternational Associates; the Asian Century. 37 www.biztechreport.com Science & Technology INDIA-KOREA Glorious Past Bright Future Indo-Korea Collaborative Activities in Nanotechnology for Energy

bilateral summit meeting between the will be held again in Seoul in August of this Prime Minister of India Mr. Manmohan year (2012). Singh and Korean president Lee Myung The author believes that these collabora- Bak. Apart from building business ties, tive activities should be expanded to include the two leaders stressed the need to im- other areas of energy strengths of the two prove strategic partnership between the countries. In recent years, their substantial two countries. investments have resulted in considerable The Indo-Korea S&T fund was supposed progress in the synthesis, processing and to provide a leveraged investment that can applications of nanomaterials. Special focus provide opportunities in working with joint on energy production and storage activities research projects of mutual interest in the in the two countries culminated in a series following areas: of conferences and workshops highlighting the progress made in these areas. There are Professor Sivaram Arepalli • Transportation also ongoing efforts in higher education to • robotics & Engineering Sciences include nanotechnology and energy courses • nutrition & Food Safety as well as programs to help create the fu- by Sivaram Arepalli • renewable Energy ture work force for energy. Some highlights • Chemical & Biochemical Technologies of the energy related activities in India and here have been several • Health & Medical science Korea are listed below. The list is not ex- • material Science & Technology haustive but it provides the reader with a key advances in Indo- • Water Resources & Environment Korea science and major sample of focused R&D activities in T • information Technology the area of nanotechnology applications for technology relations since I The fund was administered and moni- energy in these two countries. wrote last in these columns tored by Indian DST (Department of Science in 2010 (Reference 1). and Technology) under the Indian Ministry India of Science and Technology and Korean NRF The Indian DST identified solar energy The noteworthy events are: (National Research Foundation) under the as one of their Technology Missions and Korean Ministry of Education, Science and started the Solar Energy Research Initia- 1) During Korean President Lee’s visit to In- Technology (MEST). There were announce- tive (SERI) program in 2010-2011. Under dia in January 2010, a dedicated science ments by DST and NSF seeking proposals in the SERI program, a 256 kW Solar Ther- and technology (S&T) fund of US$10 mil- Feb. 2011 (Reference 2). The DST and NRF mal–Biomass Hybrid Plant was started in lion was created (with a contribution of conducted parallel reviews of the joint ap- Gujarat with collaborations between an US$5 million by each side) to promote plications submitted. Out of the submitted industry leader “Thermax” and scientific in- joint research. proposals, 15 were selected and the follow- stitutions including IIT Bombay, IIT Madras, 2) An Indo-Korea Science & Technology Co- ing are on nanotechnology and energy re- CGCRI Calcutta, the University of Pune, operation Center was started in January lated topics. and ARCI Hyderabad. In addition, it funded 2010 at the Indian Institute of Science • Development of Platform Technology for about US$10 million for solar energy-based campus in Bangalore, India. This will Bio-oil Production Using Heterotrophic research and the notable recipients are: help manage scientific and technological Microalgae 1) Amorphous Silicon Solar Cell Plant (AS- cooperation activities of the Korea Insti- Jeong-Woo Seo, Korea Research Institute of SCP), BHEL, Gurgaon; 2) National Institute tute of Science and Technology (KIST) and Bioscience & Biotechnology and of Ocean Technology (NIOT), Chennai; 3) Indian Institute of Science (IISc). Z. P. Bhathena, Bhavan’s College Bengal Engineering and Science University, 3) The Indian Department of Science and Howrah and 4) Amity University, Noida. Technology (DST) and the Korean Insti- • Experimental investigations of fuel sprays Additional details are available on the DST tute for Advancement of Technology of biodiesel, straight vegetable oils and webpage (Reference 3). (KIAT) have agreed to work out a “Mem- their blends with mineral diesel for opti- orandum of Understanding” (MOU) for mizing fuel injection equipment to lower bilateral industrial research and develop- engine exhaust emissions Sungwook Park, Hanyang University and ment. Avinash Kumar Agarwal, IIT Kanpur 4) In Feb. 2010, a science and technology fo- rum called Daedeok Indo-Korean Forum • Utilization of carbon dioxide for the pro- was started at Daedeok Innopolis, Dae- duction of fuel and chemicals. Fig. 1: Technology Demonstration setup at KG Design Services at Coimbatore (left) & Generation of Steam using Solar Energy (right) jeon. It was noted that Korea’s National Kwon Taek Lim, Fusion Research Institute (NFRI) will set Pukyong National University and DST’s Nano Mission has also been sup- up an experimental facility for 1~2 MW Suman L. Jain, porting nanotechnology-based energy-re- grade Plasma Enabled Integrated Gasifi- Indian Institute of Petroleum lated research at several universities and cation Combined Cycle (PE-IGCC) at the • Characterization and modification of ceria national centers of excellence (Reference Indian Institute of Science (IISC), Banga- particles for STI CMP (Shallow Trench Iso- 4). Under Nano Mission, the following were lore in 2011. lation Chemical Mechanical Planarization) completed in 2010-2011: 5) An agreement signed by South Korea’s Jin Goo Park, Hanyang University and 1) Several funded projects were focused on science minister Byong-man and his In- S. Ramanathan, IIT, Madras nanomaterials and some specifically on energy such as lithium ion batteries, fuel dian counterpart, Prithviraj Chavan, out- The 1st Indo-Korea Forum was held as cells and supercapacitors. The work will lined joint efforts to develop chemicals, a satellite meeting of IEEE Nano 2010 in be carried out at several places including the materials industry, water resources Seoul, and this Indo-Korea Forum has been IITs, IISc, Pondicherry University and Na- and environment and information tech- merged to the India-Korea Joint Workshop, tional Institute of Engineering. nology engineering. The state-run Korea so that both the DST of India and MEST of Aerospace Research Institute (KARI) and Korea will support this joint workshop as 2) Detailed investigations were carried out the Indian Space Research Organization an official S&T meeting. The 1stI ndia-Korea on the catalytic effect of carbon nanoma- (ISRO) also signed a memorandum of un- Joint Workshop was held in Seoul, May, terials with different structure morphol- derstanding to further seek ways for the 2011, and the 2nd India-Korea Joint Work- ogy for improving the hydrogen storage peaceful use of space. shop was held in Chennai, November, 2011 behavior of complex hydrides. 6) In March 2012, India and Korea had a (http://indokorea.iitm.ac.in/). The 3rd one 3) Zinc-blend alloy nanocrystals were de- 38 www.biztechreport.com INDIA-KOREA Science & Technology Glorious Past Bright Future signed which are composed of Cd, Zn and IIT Bombay, http://www.ese.iitb.ac.in • College of Natural Science, KyungPook S and doped with Cu to produce composi- • Hydrogen Energy, and Fuel Cell Technol- University, Daegu tion/size dependent tunable dopant emis- ogy, IIT Madras, www.physics.iitm.ac.in • korea Institute of Energy Research (KIER), sion in the entire visible spectrum. This • Hydrogen Energy and Fuel Cells, Electro- Daejeon, and is the first alternative to work-horse CdSe chemistry, NCL Pune, www.ncl-india.org/ • Companies including Hyundai Heavy in group II-VI semiconductor systems to • energy Production, IIT Kanpur, http:// Industries, Samsung SDI, Hanwha Solar produce a large window tunable emis- www.iitk.ac.in One, Woongjin Energy, LS Industrial Sys- sions. • Banaras Hindu University, Varanasi, U.P., tem, Daewoo Shipbuilding&Marine Engi- 4) A solar cell module was developed which www.bhu.ac.in neering, Shinsung Solar Energy, Osung can also store electrical energy in the • indian Institute of Science, Bangalore, LST, and Hansol Technics same thin film. The principle of the new www.iisc.ernet.in , KIST center The nanotechnology based research fo- generation device is to coat the photovol- • Central Glass and Ceramics Research In- cusing on energy has led to several impor- taic thin film layers with thin film stor- stitute, Kolkata, www.cgcri.res.in tant accomplishments such as the largest age layers that are also nanostructured • national Geophysical Research Institute, single layer graphene sheet in the world. and use titania nanotubes providing very Hyderabad, www.ngri.org.in high capacitances. A double layered tita- • Jadavpur University, Jadavpur, West Ben- nia structure was used for photovoltaic gal, http://www.jadavpur.edu/ storage device. • Jawaharlal Nehru Centre for Advanced Scientific Research, Bangalore, www.jn- casr.ac.in

Korea Fig. 3: A transparent ultra large-area graphene film transferred on a 35-inch PET sheet (left) and an assembled graphene/PET touch panel The Korean NRF supported a variety of showing outstanding flexibility (right) activities leading towards applications of There has been a substantial increase in nanotechnology for energy related topical the number of researchers in Korea focus- areas. As a part of their World Class Uni- ing on this topic and the number of confer- Fig. 2: Double layered titania nanotubes for versity (WCU) program, Korea started edu- ences and workshops conducted in Korea generation-storage devices cational centers of excellence focusing on have mushroomed over the last few years. According to DST, the Nano Mission ac- energy (Reference 5). This helped to start complished the following in 2010-2011: 1) Large exhibitions and expos such as Nano the following: Korea and Green Energy Expo have become Research papers in cited Journals 2687, 2) • Department of Energy Science at Sung- Research papers in Conferences 375, 3) Pat- very popular and attendance has been in- kyunkwan University (SKKU), Suwon creasing dramatically. ents 82, 4) PhDs produced 253, and 4) Other • Department of Energy Engineering at Manpower trained 737. Hanyang University, Seoul Conferences in Korea on There has been a substantial increase in • Center of Chemical Convergence for En- the conferences and workshops on nano- Nanotechnology and Energy ergy and Environment at Seoul National th technology geared towards energy and University (SNU), Seoul • The 18 International Conference on some of them are listed below: • Center for Energy Harvest and Storage at Photochemical Conversion and Storage Ulsan National Institute of Science and of Solar Energy (IPS-18), July 25-30, 2010, Conferences in India on Technology (UNIST), Ulsan Seoul, Korea, http://www.ips18.com/ • oeCD Workshop on “Nanotechnology Nanotechnology and Energy • Center for PhotoVoltaic Systems at Korea for Sustainable Energy Options”, Feb. 22, • international Conference on Nano Sci- University, Seoul 2010, http://www.oecd.org/document/27/0 ence and Technology (ICONSAT), Hyder- • next Generation Nuclear Engineering at ,3746,en_21571361_41212117_44856859 abad, India, Jan 20-23, 2012. http://www. Pohang University of Science and Tech- _1_1_1_1,00.html iconsat2012.com/# nology, Pohang • 10th US-Korea Workshop on Nanostruc- • The “1st International Conference on TAP • Sustainable Energy Engineering Technol- tured Materials, June 1-3, 2011, Gyeongju, SUN: The Sustainable Future” (IC TAP ogy at Korea Advanced Institute of Sci- Korea, http://cnmt.kist.re.kr:8080/sympo- SUN-2011), Nov. 25-26, 2011 at IICT, Hy- ence and Technology (KAIST), Daejeon sium/nt11/Chronology.html derabad, http://www.iictindia.org/ictap- • Science and Technology for Renewable • SENEX 2012, International Energy Saving sun2011/index.html Bioenergy, Chonnam National University, Expo & Solar Energy Expo 2012, Febru- • Workshop on Nano-Energy Convergence- Gwangju. ary 15-17, 2012, Seoul, Korea, http://www. 2012 on Jan 5-6 2012 in Hindustan Uni- Also, several institutes, universities and saveenergyexpo.com/2012/eng/exhibit/ versity, Chennai. http://nanomission.gov. companies teach and conduct R&D in the sub03.asp in/CENCON_BROCHURE_FRONT%5b2%5d. nanotechnology applications for energy. • nano Korea 2011 Symposium, August 24 - jpg Some of them are: 26, 2011, Seoul, Korea, http://symposium. • national Conference on Recent Advanc- • The Energy Storage Research Center at nanokorea.or.kr/ es in Materials and Technology- 2012’ Korea Institute of Science and Technol- • The 10th International Conference on (NCRAMAT- 2012) scheduled on January ogy (KIST), Seoul, Nanoimprint and Nanoprint technology 6th and 7th, 2012, Sathyabama Univer- • Department of Energy Resources Engi- (NNT2011), Oct. 19-21, 2011, Jeju Island, sity, Chennai, http://www.ncramat2012. neering, SNU, Seoul Korea, http://www.nnt2011.org/ com. • Department of Energy Resources engi- • international Green Energy Expo, 2010, • 2nd International Conference on Ad- neering, Inha University, Incheon 2011 and 2012, April or May, Daegu, Ko- vanced Nanomaterials and Nanotechnol- • energy and Mineral resources engineer- rea, http://www.energyexpo.co.kr/eng/ ogy (ICANN -2011) during December 08- ing at Sejong University, Seoul • The 6th International Meeting on Lithium 10, 2011 at IIT, Guwahati, India, http:// • graduate school of Knowledge-based Batteries, July 17-22, 2012, Jeju, Korea, www.iitg.ernet.in/icann2011/ Technology & Energy, Korea Polytechnic http://www.imlb2012.org/ The educational institutes in India have University, Siheung been increasing their focus on nanotech- • Department of Renewable Energy, Chun- Other interesting developments in Korea nology, specifically for energy by offering gang University, Seoul Continued on Page 48 courses as well as degree programs. This has resulted in a large workforce and will pro- vide a substantial manpower in the country. Some examples are: Nanotechnology and Energy Education in India • Center for Energy Studies, IIT Delhi, http:// web.iitd.ac.in/~energycentre/ Fig. 4: Samsung SDI, Dongkuk Energy and Daesung Energy were among the 360 companies from 23 countries participating at the 2012 Green • Dept. of Energy Science and Engineering, Energy Expo in Daegu, Korea (Ref. 6). 39 www.biztechreport.com Science & Technology INDIA-KOREA Glorious Past Bright Future India-Korea Science and Technology Cooperation New Materials (ARCI), Hyderabad, the nano- by Shamila Janakiraman technology sector is ripe for joint applica- tion and product development for Korea ecent announcements which has a technology advantage, and for following the Indian India, which has a huge market. Prime Minister Dr. With technology converging to na- R noscales, high performance materials and Manmohan Singh’s official processes like electrospun polymer nanofi- visit to South Korea further bres for medical and automotive filtration, as well as Sol-Gel nanocomposite coatings highlight the leaps and and Nano Oxide Dispersion, are preferred. bounds taken by these two Nanotechnology benefits materials, elec- countries with regard to tronics, biotechnology, drug and pharma- collaboration in the Science ceuticals, healthcare, cosmetics, agricul- ture, and sporting goods sectors. With both and Technology front along © pib.nic.in countries making rapid advancements in The Union Minister for Parliamentary Affairs, Science & Technology with several other fields. and Earth Sciences, Shri Pawan Kumar Bansal and the Minister of setting up research institutions and starting Education and Science & Technology of the Republic of Korea, research projects, optimum results, are ex- Mr. Ju-Ho Lee during the 1st India-Korea Science & Technology Though companies like LG and Samsung Ministerial Steering Committee Meeting, in Seoul on May 04, 2011. pected, opined experts. nowadays are household Korean names in In South Korea the 7500 strong Indian The third S&T workshop will be held in India, friendly relations between Korea and community is comprised of businessmen, Seoul in August 2012. Besides improving India date back in history to the year 48 AD. collaboration between the two countries, An Indian princess, Queen Suro, traveled to IT professionals, scientists, research fel- lows, students and manual workers. About economic ties will be strengthened. This Korea from the Kingdom of Ayodhya follow- will set in motion the formation of a global ing the path revealed to her by a dream. She 150 businessmen deal with textiles alone. Recently nearly 1000 IT professionals and research network. These workshops are set sail in search of a heavenly king carrying supported by the Department of Science precious metals, a tea plant and a magical engineers have reached Korean shores working for companies like LG, Samsung, and Technology of India and the Ministry of stone to calm the sea. Education, Science & Technology of South The arrival of the queen, known as Prin- Hyundai and others. Then there is the grow- ing population of Koreans in India in major Korea, along with other prominent institu- cess Heo Hwang-ok in Korea, brought the two tions in both countries. countries closer in trade and other engage- cities, owing to the launch of new infra- structure projects. As for the present scenario, announce- ments which continue to this day. Besides ments that India will launch South Korean trade connections, cultural and religious The first India-Korea Science and Tech- nology Ministerial Steering Committee has satellites and Korea’s offer to build nuclear links were fostered by Buddhist monks. In reactors in India have taken collaboration the year 723, for example, Hyecho, a Korean also played a significant role. In May 2011 the ministerial steering committee, led by to the next level; namely, outer space and monk, visited India to acclimatize himself alternative energy sources. with the birthplace of the Buddha. the Union Minister of Parliamentary Affairs, Science & Technology and Earth Sciences, The Indian Prime Minister attended a The past three decades have witnessed four-day Nuclear Security Summit in Seoul rapidly closer ties between the two na- Shri Pawan Kumar Bansal, stressed greater cooperation with Korea in S&T. His Korean in March 2012. He met the South Korean tions with the signing of the Agreement on President Lee Myung-Bak and discussed Trade Promotion and Economic and Tech- counterpart, the Minister of Education and Science & Technology, Mr. Lee Ju-Ho, high- options concerning space cooperation for nological Cooperation; the Agreement on peaceful applications in outer space which Cooperation in Science and Technology; a lighted recent S&T policy trends and future envisaged developments. The next Ministe- were spelled out in the MoU on cooperation Convention on Double Taxation Avoidance; between the Indian Space Research Organi- and a Bilateral Investment Promotion and rial Steering Committee this year will be in India and plans are afoot to hold similar zation (ISRO) and the Korea Aerospace Re- Protection Agreement. It is felt that positive search Institute (KARI). relations with India is a critical need for Ko- meetings every two years alternately in the two nations. Following earlier discussions between rea both economically and politically. Also technical experts from Korea and India, crit- South Korea is the fifth largest source of in- In order to enhance research capabilities in science and technology, exchange pro- ical areas for cooperation were earmarked. vestment in India. India took part in the international open Most recently, in January 2010 India and grams were launched for students pursuing Masters studies in engineering and medical bidding for launching Korean satellites. Korea inked an S&T cooperation deal to aug- Space endeavors like launching a nano- ment bilateral cooperation. An MoU was sciences, with research students, faculty and scientists in selected functionalities. satellite (developed by Korean students) by signed to chalk out ways and means to im- an Indian launch vehicle were considered, prove space communication, enhance remote It was agreed upon to encourage human according to officials. control probes’ capabilities and encourage resource exchange along with joint research Both nations agreed to the sprucing up of study and research of space-related sciences. programs in the latest Science and Technol- the Joint Committee on Science and Tech- Collaboration between India’s software ogy areas. An idea for the “India-Korea Great nology to the ministerial level, which is capabilities and Korea’s IT industries is ex- Innovation S&T Challenge” contest was dis- expected to give a fillip to mutually benefi- pected to benefit both countries. Korean cussed, and it is expected that the first con- cial agendas. The joint Research and Devel- contributions in filling up technology re- test will be organized in India in 2012. opment fund of US$10 million has already quirements in Indian households, the bur- To keep in step with written promises, the powered several joint research projects, hu- geoning automobile sector and technology Indo-Korean Workshop on Energy and Envi- man resource exchanges, workshops and transfers in infrastructure projects such as ronment was conducted successfully in May other S&T cooperation programs. the national highways development project 2011 in Seoul. More workshops in Chemis- and the purchase of Daewoo Commercial try and Biochemistry technologies and in Also, educational and academic ex- vehicles by Indian company Tata Motors Health and Medical Science technology were changes will be given more encouragement further emphasizes greater co-operation. planned. Workshops will be conducted two which will enhance student exchanges in The comfort level between the two na- times a year for the next five years. the fields of language, information technol- tions is riding an all time high, thanks to The second workshop, Chemistry and ogy and science. Both countries have also efforts by the India-Republic of Korea Joint Nanomaterials & Nanotechnology Con- agreed to cooperate in matters pertaining Commission for bilateral cooperation. The clave, covering chemistry and nanotech- to the safety and security of nuclear plant Indian Cultural Center in Korea, estab- nology topics, was held in Chennai, India operations. India may allocate a site to in- lished in April 2011, and the Festival of In- in November 2011. According to Dr G Sun- stall Korean reactors, as requested by the dia which started in June 2011 have further dararajan, Director, International Advance Korean president. A bilateral civil nuclear enhanced relations. Research Centre for Powder Metallurgy and Continued on Page 45 40 www.biztechreport.com INDIA-KOREA ENERGY Glorious Past Bright Future Continued from Page 32 leaders feel India’s “Look East Policy” is re- Nuclear Energy Cooperation ally aimed at containing China’s rise. India shares a reciprocal concern that China’s attempt for better relations with India’s Between India and Korea – neighbors is creating a “string of pearls” to limit its growth beyond South Asia. South Vital Energy Alternatives Driving Growth Korea also has a complicated relationship with China connected to factors involving North Korea and the United States. The rise of Asia has seen countries devel- op economically, modernize their military, and enhance their diplomacy through stra- tegic partnerships and multilateral institu- tions. The influx of various strategic part- nerships has created some uncertainty on the true goals of these relationships. The efforts by Prime Minister Singh and Presi- dent Lee to emphasize the importance of having high-level meetings in 2012 will help India and Korea create more areas of cooperation, further define the relation- ship, and develop sustainable goals for the bilateral relationship. Korean and Indian of- ficials must continue to cite the commonali- ties that policymakers and analysts know are present in this strategic partnership. © english.president.go.kr The two countries have had some successes India Korea Summit Meeting, July 25th, 2011. regarding military and strategic coopera- with alternative energy generation op- tion thus far. However, there are numerous by Vibhu Saxena tions. opportunities for developing those aspects India and South Korea have already of the South Korea-India strategic partner- reached a Nuclear Energy Agreement last ship. If these nations can use their meetings ecent research has year that allows India immediate access to in 2012 to define the future of this bilateral pointed out that the South Korean companies to tap the enor- relationship and provide vehicles for future need for energy in mous nuclear energy sector, especially in cooperation, this strategic partnership can R Asian countries will result the construction of new nuclear power be a model of two countries working to- plants. gether to make the Asia-Pacific century a in energy concerns the As per the agreement, South Korean peaceful one. A-P world over. companies now have the legal jurisdiction to invest and participate in India’s atomic The increasing energy demand is due to power plant projects. the phenomenal growth rates of the Asian Continued from Page 33 Presently, India already has twenty countries in the last few decades that will Green Energy and Alternative nuclear reactors in place for generating continue into the next decade of this cen- energy. There are six more reactors under Sources of Energy tury as well. Green energy is the term used to describe construction and if the government’s gran- Researchers predict that by 2020 the diose plans are to be considered, another sources of energy that are considered to be overall global consumption of energy will environmentally friendly and non-polluting forty nuclear power plants are expected to triple and will be led by Asian countries be commissioned in a phased manner in (because they are perceived to have lower such as India, China and several members carbon emissions) such as geothermal, the next twenty years. of the ASEAN bloc. The Indian nuclear power generation wind, solar, and hydro power. Sometimes A recent example of the role South Ko- nuclear power is also considered a green en- market is indeed very competitive and rea expects to play in the nuclear energy there are several global companies from ergy source. Government deals on nuclear sector was exemplified by the recently power is good option as traditional sources France, Russia and Britain vying for mar- concluded Nuclear Security Summit in ket penetration. of non-renewable energy become increas- March, with most nuclear member coun- ingly scarce, making it part of the solution However, considering India and South tries, including President Obama, arriving Korea’s mutual Comprehensive Economic to global warming and growing demand for the summit. for energy in India. We know that nuclear Partnership Agreement (CEPA), as well as Both India and South Korea have reiter- South Korea’s already established exper- power plants, once built and before decom- ated several times that the nuclear securi- missioning begins, produce little carbon di- tise at successful installation of twenty ty issues are very important to both coun- nuclear plants to generate nearly 35 per- oxide emissions, and the radioactive waste tries and whatever the provocation from produced is minimal and well-contained, cent of the electricity demand in South neighboring nuclear-enabled states, both Korea, India is already more aligned with especially compared to fossil fuels. would strive to maintain peace and con- South Korea for transfer of technology and However, the recent Fukushima disaster tinue to establish balance with the region. further cooperation in building success en- highlighted several critical and pressing South Korea has developed great nucle- ergy generation facilities through nuclear issues for the safety of people living in re- ar technology expertise which will prove technology. gions near to nuclear power plants. to be a new sector of growth and coopera- Additionally, South Korea has a prov- Some people claim that the nuclear op- tion between India and South Korea. en track record in the commissioning of tion is not price-competitive without heavy In the light of the continued threat of nuclear reactors for power generation in government subsidies and the use of gov- North Korea’s latest ‘nuclear launcher’ global projects in the Middle East as well ernment bodies to store and protect such a technology, South Korea and India have as in Japan. hazardous waste component. Compared to expressed their support to maintain peace. India’s energy demands are likely to be nuclear energy, solar energy is another vi- South Korea has complied with the Nu- met successfully due to the immense able option for a country like India, as it lies clear Nonproliferation Treaty and contin- growth in nuclear power plant operation. in such a sunny region of the world. Most ues to advocate the use of nuclear energy With South Korean nuclear technology parts of India receive 4-7 kWh of solar radia- for peaceful purposes such as the produc- knowledge, it is fully expected that India tion per square metre per day, with 250-300 tion of energy, while continually looking will meet its nuclear power generation Continued on Page 46 to meet its energy demand requirements needs of the future. A-P 41 www.biztechreport.com ENERGY INDIA-KOREA Glorious Past Bright Future Potential of India–South Korea Nuclear Energy Cooperation By Jennifer Chang ver 200 nuclear industry leaders from 36 nations vowed to strengthen nuclear safety and security on March O23rd at the 2012 Seoul Nuclear Industry Summit. It was an official pre-summit event of it had not signed the Nuclear Non-Prolifer- the 2012 Nuclear Security Summit, which ation Treaty, but had changed this by more was held for the second time in Seoul from recently inviting cooperation between itself March 26th–27th. Participants discussed the and states like South Korea, Russia and issue of atomic safety after the disaster at France in the area of atomic energy. the Fukushima nuclear plant in Japan in Chang added that India wants knowledge 2011. of South Korea’s PWR (pressurized water re- First, they evaluated progress made in actor) technology. Moreover, India’s nuclear recent years by the global nuclear industry power plants, at 200 – 300 megawatts, are in enhancing atomic safety since the first too small for its huge population. So it is Nuclear Security Summit in 2010 in Wash- very interested in obtaining know-how ington, DC. Then three working groups dis- from South Korea, which is very strong in cussed three topics - minimization of civil- 1400-megawatt power plants such as the ian use of highly enriched weapons-grade APR 1400. uranium, the securing of sensitive data per- Meanwhile, another speaker at the sum- Top: A working group session at the 2012 Nuclear Industry Summit. taining to nuclear materials and facilities, mit, Takuya Hattori, President of the Japan Above: Panelists present the Summit’s joint statement at a and the interface between safety and secu- Atomic Industrial Forum, praised India on press conference. rity in the post-Fukushima era. Finally, the the issue of preventing nuclear accidents. lationship to the Nuclear Suppliers Group. groups released results of their dialogue as a Hattori said India understands the impor- The NSG is a multinational entity which communiqué which described what the in- tance of transparency, for which Fukushi- aims to cut down on nuclear proliferation dustry should do to boost nuclear security, ma has sparked a campaign, with South Ko- by controlling the re-transfer and shipping and which was passed along to delegates at rea establishing an independent watchdog, abroad of nuclear materials that may be the Seoul Nuclear Security Summit for con- and Japan’s regulator gaining independence used to build atomic weapons, as well as sideration. from the ministry it was once part of that through better protection of such materials. In the joint statement, participating or- promoted nuclear technology. Hattori cited the role of the NSG in the ganizations said they would try to minimize He referred to India’s energy crisis in U.S. – India Civil Nuclear Agreement, ex- HEU use by converting it to low-enriched which 40 percent of its population, or half plaining that in 2008, the NSG’s members uranium fuel in research reactors, and that a billion people, are still without electric- had agreed to grant India a waiver from the they would attempt to increase LEU-target ity, by saying India has the huge problem of existing rules which banned nuclear trade use for the production of radioisotopes. The meeting its goal of installing 63 gigawatts of with a country that was not a signatory to organizations also promised to improve se- nuclear power by 2032, a problem it must the NPT. The decision came after intense curity by continuing to make workers more solve. But Hattori said he was confident diplomacy on America’s part. And the con- cognizant of security threats and promot- India can overcome that crisis. In his view, sent was based on a formal promise by India ing the open reporting of security concerns. promoting nuclear power plants with trans- not to share sensitive nuclear technology or Furthermore, they pledged to help newcom- parency, which India understands is key, is materials with other nations, as well as its ers set up infrastructure for low-risk nuclear of the utmost importance in resolving the pledge to carry through with a moratorium energy, beef up measures against growing situation. on atomic weapons tests. cyber threats, and encourage nuclear secu- As for the issue of protection against nu- In conclusion, industry experts agreed rity information exchanges. clear industry-related attacks by terrorists, that India’s invitation to the nuclear indus- In addition, the summit had much to say Hattori said that after the industry sum- try summit was a good sign which raised about India’s role in the civilian nuclear mit discussions, one of the key issues that hopes for its eventual inclusion in that energy sector, as well as the nuclear coop- emerged was the role of nuclear-related community. They also said its participation eration agreement that was signed in July data - how to protect or control sensitive in- in the summit was good for India–South last year between India and South Korea. formation. And he said the Fukushima acci- Korea nuclear cooperation in general. Also, Under the pact, South Korea and India co- dent had revealed the vulnerability of such they believed there was strong potential for operate in nuclear power, which provides a information to attacks. Hattori concluded nuclear cooperation between the two key legal foundation for Korea to take part in that while this type of information cannot Asian nations in atomic energy, R&D and nuclear plant projects in India. The agree- be released openly, transparency was also education; and the two countries could be ment was signed after a summit between very important to keep nuclear facilities very beneficial partners for each other. South Korean President Lee Myung-Bak and safe from accidents. So the core issue was These experts say that although the Fu- his Indian counterpart Pratibha Patil. At how to find a balance between protecting kushima crisis has sparked a global debate the time, South Korea operated 20 atomic the information on the one hand and trans- about the safety of atomic energy, India and plants that met about 35 percent of its elec- parency on the other. He also expressed South Korea have vowed to stick to their tricity needs, and it was eager to export its confidence that from his discussions with nuclear development programs, which nuclear expertise to India as a new growth India’s delegation to the industry summit, means there is great room for future nucle- engine for the economy. he was confident India understood that ar cooperation between Seoul and New Del- One of the panelists, Chang Soon-heung, central issue well and was thus prepared to hi. Indeed, they are quick to point out that President of the Korean Nuclear Society handle nuclear-related terror attacks. in the post-Fukushima era, with only a few and Professor of Nuclear and Quantum En- Another area in which Hattori expressed exceptions, most nations are still keen on gineering at the Korea Advanced Institute admiration for India’s nuclear industry was embracing a nuclear renaissance, given the of Science and Technology, said India had the problem of preventing loose atomic ma- rise in fossil fuel prices and worries about made itself open to being engaged by the terials from getting into the wrong hands greenhouse gas emissions. And they are all international commercial nuclear commu- and stopping illicit nuclear trade. He said in agreement about one thing – India is one nity. Chang said it was very meaningful that the fact that this issue was being controlled of the most promising and important cus- India had not been able to join the commer- and governed well by the Indian govern- tomers of the world nuclear industry of to- cial nuclear community in the past because ment could be seen by the case of India’s re- morrow. A-P 42 www.biztechreport.com INDIA-KOREA ENERGY Glorious Past Bright Future Continued from Page 35 of Korea is guaranteed access to essen- tial health-care services, mainly via the National Health Insurance (NHI) scheme introduced in 1977, and the Medical Aid Program (MAP). Improved health status has, in turn, led to more national produc- tivity. Meanwhile, Korean Oriental medi- cine has achieved a high degree of pro- fessionalization and social status. Higher education, licenses and standardized specialists knowledge have been the key elements. This serves as an example for traditional medicine in its development as an independent medical system in the modern society. The government attempted to control all medical professions by regulating their service charges, but this effort was aborted due to the large number of pri- vate practices that were based on market principles (Jo, 1990). Both traditional and western medi- cines are incorporated in national medi- cal system of Korea and the real problem lies in non-cooperation between Oriental © pib.nic.in and Western medicine doctors. Under the The President Dr. A.P.J. Abdul Kalam with former President of the Republic of Korea Mr. Roh Moo-Hyun on arrival at the Presidential Palace Medical Affairs Act, only acupuncturists Seoul, South Korea, on February 7, 2006. holding a license are allowed to practice (WHO, 2001). Since 1991 the Korean gov- ernment has imposed strict regulations Korea and India to Strengthen the on herbal medicine preparations by mak- ing it compulsory for them to follow good manufacturing practice standards. The Non-Conventional Energy Sector monographs are included in the Korean Pharmacopoeia and Korean Herbal Phar- by Jeon-Dong Hee the large integration of solar panels or cells macopoeia published by the Korean Food for storage. and Drug Administration (Choi et al., India is likely to benefit from this coop- 2002). he Indian government eration not only in terms of technology but has shown great also in lower operational costs. The effec- Problems in the initiative in tive Comprehensive Economic Partnership Development and Growth T Agreement between both the countries will of Traditional Medicine understanding that there is ensure energy generation in the unconven- Quality-oriented scientific studies in a substantial gap existing tional sector is maintained at threshold the field of traditional medicine are ur- between India’s energy prices and also that India will be able to gently required to check the conflicts meet its energy needs at more competitive between modern and traditional systems demand and supply. costs. The key aspect for India is to implement of health care. Unsustainable harvesting Although natural gas and fossil-based methods have also posed a major threat the energy conservation policy by 2021, generation of energy is the convention in to the medicinal plants. which ensures that the current 35.5 percent India, the government, with its long-term of required electricity power will finally be policy of including green energy genera- available to a large rural population. tion, has looked towards non-conventional India has considerable expertise in de- energy options to meet India’s burgeoning veloping bio-fuels, such as the cultivation energy demands. of bio-diesel, which has been strongly advo- Recently, the Union Minister for non- cated by the former President of India, Dr. conventional energy resources, Mr. Farooq Abdul Kalam. Jatropha, which is known as Abullah, has emphasized that, “It is high a great bio-diesel source, is being greatly time India taps non-conventional energy encouraged for cultivation in rural areas, as sources to meet its growing demand for it requires very little water and is regarded power. The country now depends more on as a great source for generating renewable fossil fuels, which are very costly. So we as well as carbon neutral biomass resource should move towards harvesting solar and that can replace the current fall in fossil wind energies.” fuel consumption. With South Korean expertise in generat- Korean energy technology is more inte- ing energy from non-conventional energy grative in implementation and the govern- resources, India is seeking assistance in in- ment has been successful in meeting nearly stallation and technology transfer for wind, 70 percent of its energy needs through inte- small or micro-hydro units, solar energy, grated energy resources, along with fossil- bio-gas plants, as well as energy from urban based energy supply. and industrial waste-based energy genera- Korean wind power generation technol- tion plants. ogy is pioneering and several companies Fig 2: (a) Ginkgo Biloba (Korea); (b) Herbal/kitchen garden (India) South Korea has a well-integrated energy have already set up base in India to imple- generation policy which includes sophisti- ment nationwide projects. Several solar Government Efforts in the cated inclusion of conventional as well as projects too are in various stages of imple- Development of Traditional non-conventional energy generation op- mentation with Korean technology transfer Medicine – Indian Initiatives portunities. In addition, it has continued to or components such as solar photovoltaic innovate in solar energy component tech- panels or cells as storage solutions devel- Continued on Page 47 nology and has developed great expertise in oped by Korean technology. A-P 43 www.biztechreport.com ENERGY INDIA-KOREA Glorious Past Bright Future Nuclear Energy: India & South Korea Cooperation ogy. Last year, the country signed a bilateral by Anshu Shrivastava agreement with Saudi Arabia for coopera- tion on the development of nuclear energy. s one of the fastest An international panel of nuclear safety ex- growing economies perts from the International Atomic Energy of the world, India Agency (IAEA), after their two-week mission A for the Integrated Regulatory Review Ser- is ramping up its nuclear vice in July of 2011, concluded that South energy sector to meet Korea has strong regulations pertaining to the operation of atomic energy facilities its burgeoning energy safely and in preventing accidents. demands. Pranamita Baruah, researcher at the In- stitute for Defence Studies and Analyses In the quest for nuclear energy, the coun- (IDSA), a non-partisan, autonomous body try has signed civilian nuclear power coop- dedicated to objective research and policy eration pacts with a number of countries, relevant studies on all aspects of defence including the US, France, Russia, Canada, and security, wrote in an article that “the Mongolia, Kazakhstan, Argentina, Namibia, An illustration representing nuclear energy with text on green background. © Joanna Waksmundzka | Dreamstime.com nuclear deal will provide the South Korean and South Korea, which became the ninth companies a framework to participate in country with which India signed such an istry of Knowledge Economy Minister said that there is the aim to achieve exports of India’s ongoing nuclear expansion pro- agreement. gramme.” These two countries inked the agree- 80 nuclear power reactors worth US$400 billion by 2030, in the course of becoming Baruah also wrote that over the last few ment last year in July when India’s Presi- years it has become difficult for a number dent Pratibha Patil visited South Korea. It the world’s third largest supplier of such technology, with a 20 percent share of the of western countries to enter the Indian paves the way for South Korea-based com- nuclear energy sector, as Japan holds the li- panies to enter India’s nuclear construction world market, behind the USA and France or Russia. “Nuclear power-related business censes for critical components of their reac- market. “South Korea has a lot of technol- tor designs. French nuclear firm Areva and ogy in energy infrastructure which they can will be the most profitable market after au- tomobiles, semiconductors and shipbuild- the U.S-based General Electric had signed help India with,” Rajiv Biswas of IHS Global agreements to sell nuclear reactors to India, Insight said to the press. “It also recognises ing,” the Ministry of Knowledge Economy said in a statement. but they would have to face liability issues, India as a key future market. This is a very as both the companies use reactor vessels big opportunity for Korea to expand into In comparison to South Korea’s nuclear power industry, India’s nuclear energy sec- produced by Japan Steel Works. the emerging economies. All in all, it is a Japan agreed to grant a crucial waiver to very positive deal for both the nations.” tor is still in its initial stages and is depen- dent on foreign investors to take it to the India in 2008 as part of the 46 nation Nucle- Both the countries had for the first time ar Suppliers Group (NSG), but despite that, discussed about a possible civil nuclear co- next level. The country’s civilian nuclear program has suffered because of interna- it has avoided doing nuclear trade with In- operation agreement during Indian foreign dia, which has constantly refused to join minister SM Krishna’s visit to South Korea tional sanctions after its nuclear tests in 1974 and in 1998. And since India has not the NPT. Also, the country is having second in June 2010. Earlier this year in March, thoughts about nuclear power following Indian Prime Minister Manmohan Singh signed the Nuclear Non-Proliferation treaty, the Fukushima nuclear accident. Japan’s asked South Korean businessmen to help which aims to prevent the spread of nucle- reluctance to give nuclear technology and India expand its burgeoning nuclear power ar weapons and technology and promote materials to India is expected to benefit sector and invest in environment friendly peaceful uses of nuclear energy, it wasn’t al- South Korea. In the absence of Japanese co- technology, while South Korean President lowed to sign deals for nuclear reactors and operation, South Korea can become a major Lee Myung-bak requested that India set materials for civilian nuclear programs. In player in the Indian nuclear energy sector. aside specific allotment for South Korean 2004, India and the U.S singed the civilian Industry experts believe that South Ko- nuclear reactors. nuclear program agreement, which her- rean companies will succeed in nuclear Unlike India, where only 3 percent of its alded a new era for the country’s nuclear power-related business, and emulate the energy needs are met by the nuclear energy energy sector. success stories of Hyundai, Samsung, and sector, South Korea’s 21 active nuclear reac- Despite not being part of the Non-Pro- LG in the Indian market. Also, it’s said that tors fulfil 30 percent of the country’s elec- liferation treaty, the country succeeded in the nuclear liability issues may not trouble tricity needs. The country is planning to in- getting a much needed waiver from the Nu- South Korean nuclear companies – KHNP crease this to 40 percent by 2040. For South clear Suppliers’ Group (NSG) in 2008 – due Korea, nuclear energy is a strategic priority. to India’s commitment to non-proliferation and KEPCO – as they are state-backed. Plus, “Our long-term power supply plan is to in- – which opened the doors for international the Korean nuclear energy industry aims to crease the portion of nuclear power from civilian nuclear energy cooperation with be 100 percent self-sufficient with no resid- the current 30 percent to 40 percent by other countries. ual intellectual property constraints. 2040 and the plan has not changed,” the Ko- India is aiming to fulfil 25 percent of In August of 2009, the state-run Korea rea Herald newspaper quoted an unnamed its electricity needs from nuclear power Electric Power Corporation (KEPCO) signed official from the Knowledge Economy Min- by 2050. According to reports, the country an MoU with the Nuclear Power Corpora- istry. In addition to 21 active nuclear reac- expects to have 20,000 MWe of nuclear ca- tion of India Ltd (NPCIL) for bilateral coop- tors, the country has seven reactors under pacity on line by 2020 and 63,000 MWe by eration on technical exchange of data and construction, and it plans to build 11 new 2032. Additionally, the country plans to set experience. reactors by 2030. It plans to increase the ca- up around 30 reactors. Enumerating the disadvantages for pacity by 56 percent to 27.3 GWe by 2020, India and South Korea both can gain “sig- South Korean companies, Ji-yeon Jung, and then to 43 GWe by 2030. nificantly” from the civilian nuclear coop- Ph.D.c., South Asian Studies at Jawaharlal South Korea is Asia’s fourth-biggest eration agreement. South Korea aspires to Nehru University, noted in a report that economy and is currently the sixth larg- become a major exporter of nuclear tech- South Korea has limited information and est nuclear energy exporter. The country’s nology and materials, while India is seek- accessibility to Indian government’s policy- nuclear energy program dates back to the ing partners that can help it develop its making process; and India favors continu- 1950s. In the early 1960s, the country began nuclear energy sector. In 2009, a South Ko- ing exchanges with countries with which it the operation of its first nuclear reactor and rean company won a US$40 billion contract has already established reciprocal relations in 1978, the operation of its first power re- to build and operate a 5600 MWe capacity such as France, Russia, Canada, and the US. actor. The country is now aiming to become NPP with four APR 1400 units for the UAE. However, he also noted that the fact that In- a major exporter of nuclear energy technol- This contract has established the country dia is diversifying its cooperation channels ogy. In January, 2010, South Korea’s Min- as a credible supplier of nuclear technol- Continued on Page 48 44 www.biztechreport.com INDIA-KOREA EDUCATION Glorious Past Bright Future Continued from Page 40 cooperation agreement was chalked out Education: Key Sector of Mutual during the state visit of the President of In- dia, Mrs. Prathiba Patil, to South Korea in July 2011. Growth in Korea and India The 2011 disaster in Japan following an earthquake and tsunami planted serious by Yashika Dhingra doubts about nuclear power safety among the world populace. In an effort to put to s the new rest such concerns, India has already re- solved issues with its nuclear plant in Ku- Ambassador to South dankulam in Tamil Nadu, which was built A Korea came to his in collaboration with Russia. new position in January Going a step further, India will house a 2012, the roadmap of nuclear reactor built by Korea. India recog- nizes Korea has proved its worth in this field Indian and South Korean by procuring a contract to build reactors in bilateral relationships the United Arab Emirates, overtaking French was already in place for expert Areva. As prolonged delays are not pre- the new incumbent to ferred, Korean reactors race ahead of Japanese reactors, Indian experts say. implement. India has a transparent policy in awarding infrastructure projects, said the Indian Prime One such critical sector that is expected Minister, who encouraged Korea to participate to receive a lot of attention is the educa- tion sector. in bidding processes for the construction of The government of India, as well as airports, bridges, highways, ports, metros and the South Korean government, is keen on power plants. This technology cooperation is encouraging stronger educational ties be- expected to go a long way in fostering S&T ties tween the two countries. The focus will be © Aleksandra Lande | Dreamstime.com between the countries. on mutual exchange of students across all Indian school children in Udaipur, India. In February 2012 the Korea-India Coop- levels of education. ably from Indian universities in learning erative Defense Research and Development Both countries recognize that education English, information technology, as well Committee meeting was co-hosted by the is a very important part of national growth as management skills. Ministers from both Korea Defense Acquisition Program Ad- that needs increasing support and promo- the countries are looking to develop this ministration (KDAPA) and India’s Defense tion. The respective governments have sector into a collaborative and mutually Research and Development Organization developed short-term as well as long-term beneficial sector. (DRDO) for promoting collaboration in de- policies for the effective development of Already Pusan National University, fense science and technology. The Indian this sector in both nations. Busan University of Foreign Studies, and delegation paid visits to Korean defense in- A significant fact is that the number of Shilla University have expressed interest dustries such as Samsung Techwin. Korean students traveling to the US is on in offering study programs catering to In- India’s defense science and technology the decline which creates a large opportu- dian student requirements. Several univer- capabilities are favoured by Korea in aero- nity for Indian ‘new temples’ of learning sities in Seoul too are very keen on attract- space, IT and software fields pertaining to ing Indian students as they seek to tap the advanced fundamental skills which, along potential for doctoral and post-doctoral with Korean capabilities, will enhance studies in pure sciences, research opportu- defense S&T preparedness. This will also Korean students nities, as well as technology. reduce development time and increase de- In the meantime, as a part of its on- fense exports cost effectively. could gain considerably going process of building cultural bonds The Indian Prime Minister spoke about with India, South Korea is very enthusias- improving collaborations between scien- from Indian universities tic about rebuilding the once famous ‘Na- tists and technicians and on how to put into in learning English, landa University’ of historic times. Nalan- optimum use a joint Science and Technol- da University was the center of advanced ogy fund of US$10 million. The Indian and information technology, learning in the Indian subcontinent and Korean leaders discussed other aspects of had a special center for Buddhist studies. peace and security in Asia and the re-estab- as well as management In early 2010, the Academy of Korean lishment of the Nalanda University in India. skills. Studies was founded, following an MoU To increase the momentum for joint en- with Jawaharlal Nehru University in the deavors, both nations have decided to cele- hopes of making it a nodal agency for Ko- brate the 40th anniversary of establishing such as the Indian Institutes of Technology rean studies in South Asia. The academy diplomatic relations in 2013. India looks and Science, as well as management pro- has also constituted research facilities at forward to providing pharmaceutical and grams, to attract Korean students. the University. agricultural products and IT enabled servic- Additionally, Koreans themselves have The aim of the academy is to ‘serve as a es to Korea in future. High-level defense ex- achieved remarkable progress in the edu- bridge to connect both Korean and Indian cation sector domestically. Their integra- changes and research and development civilizations’. tion of technology across all educational According to the director of the acad- joint ventures and manufacture of military sectors has led to their ability to build emy, it is working in the realm of ‘facilita- equipment with technology transfers and successful economic models and achieve tor’ for the exchange of students between co-production are also expected. A-P higher growth percentages. the two countries. The academy has also The South Korean emphasis on inclu- encouraged the exchange of professors be- Further Readings: sive technology across all their educa- tween the two academic bodies. • S&T Workshop http://indokorea.iitm.ac.in/ tion grades has led to steady and quality A grant of US$65,000 spread over three progress. Hence, the way forward for both years has helped in encouraging the stu- • Indo-Korea Partnership Deal countries is to tap into each other’s areas dent community to engage in Korean stud- http://ibnlive.in.com/news/full-text-of-indiakorea- of expertise. India students would be well- ies and help in spreading the Korean view strategic-partnership-deal/242535-3.html advised to focus on strengthening their to the Indian community. • Nanotechnology Product Development sciences and finish their post-doctoral and In short, cultural and educational initia- http://automotivehorizon.sulekha.com/india- super-specialization in Korean universi- tives are the cornerstones to forging suc- korea-tie-up-for-nanotechnology-product-devel- ties, besides learning the Korean language. cessful economic and political ties be- opment_newsitem_3444 Korean students could gain consider- tween countries. A-P 45 www.biztechreport.com EDUCATION INDIA-KOREA Glorious Past Bright Future such as religious organizations, which are a fundamental part of the delivery of public Human Resources Development service. Another telling example in India is the role of housing cooperatives in deliver- Co-operation–Regional Perceptions ing quality housing at competitive prices. Hence, at the regional levels, especially by Reena Saxena in developing countries, the role of non- profit and non-governmental organizations are critical to dispensing public service. n the context of ASEAN, However, the delivery of public service human resource amongst developed countries is largely development has several demonstrated by government action. South I Korea is a good example to showcase how perceptions. a nation without basic natural resources While economic globalization has can rely completely on its skilled ‘human resources’ and appropriate technologies to opened avenues for multiple human re- ensure the sustained growth needed to be- source deployment, the perceptions of en- come a developed nation. gagement in developed as well as develop- In the ASEAN region there are multiple ing worlds certainly differ. interpretations of human resource develop- In the developing world, in addition ment. Hence, their delivery of HRD solu- to government organizations, there is a tions in ASEAN region require multiplicity. great opportunity for non-government or- © Anizza | Dreamstime.com Another important feature with HRD in ganizations such as NGOs to provide qual- ASEAN countries is the dependency on con- ity services in comparison to public sector the educational system involves the partici- tributions from other entities for effective delivery of services. For example, in India, pation of several non-profit organizations deployment of any HRD program. A-P

Continued from Page 41 ing and new technology such as advanced more funding in the R&D areas of these re- sunny days in a year. India has abundant thin film solar cell are examples that can spective fields, and greater interaction and solar resources, as it receives about 3000 help to reduce industry cost. Energy conver- coordination between industry, academia, hours of sunshine every year, equivalent to sions efficiencies can be achieved by using and government in India and Korea would conductive polymers compared to inorgan- over 5,000 trillion kWh. Today the contribu- benefit all of mankind. ic materials. tion of solar power with an installed capac- We need solutions to increase the effi- ity of 9.84 MW, is a fraction (< 0.1 percent) River Restoration Project – ciency of solar cells. With transparent films of the total renewable energy currently in- Lesson for India and surface plasmons, solar cells should stalled. Government-funded solar energy in be seeing a dramatic increase in efficiency A few years ago the Korean government India only accounted for approximately 6.4 over the next few years. Hopefully, related launched the Four Rivers Restoration Proj- MW-yr of power as of 2005. costs will come down enough to the point ect as a green initiative. The project is now Gujarat is the leading contributor to to- where they become common in homes and a core national project for green growth tal solar energy output of India. In the so- businesses. Realizing the potential of solar that addresses such water-related problems lar energy sector, some large projects have energy, the honorable Prime Minister of In- of recurring floods and droughts caused by been proposed, and a 35,000 km2 area of dia said, “We will pull together all our scien- climate change. The Korean rivers are rela- the Thar Desert has been set aside for solar tific, technical and managerial talents with tively short and steep, and flooding occurs power projects, sufficient to generate 700 financial sources to develop solar energy as quickly, as peak flood discharge is great. GW to 2,100 GW. As of October 2009, India a source of abundant energy to power our The project includes: 1. Flood control; is currently ranked number one along with economy and to transform the lives of our 2. Securing abundant water; 3. Water qual- the United States in terms of solar energy people”. production per watt installed. The Indian ity improvement; 4. Restoring eco-rivers; 4. Creating multi-purpose space for residents, government has launched the Jawaharlal Pharmaceuticals Industry Nehru National Solar Mission (JNNSM) with and; 5. River oriented regional develop- The pharmaceutical industry derives ment. Korea is emerging as a leader of river a target of achieving 20000 MW by 2022. most of its ingredients from plants. Each water management and waterfront resto- The scheme also aims at strengthening in- step in the process generates waste. Plants digenous manufacturing capability, and make products at room temperature, using ration, sharing its experiences with other achieving 15 million sq. meters of solar water, and producing no waste. Plant prod- countries. North Indian Rivers have similar thermal collector area by 2017 and 20 mil- ucts have been utilized with varying success characteristics with Korea’s, and such res- lion by 2022. to cure and prevent diseases. There is a need toration as described above is needed there India is facing a sequence of factors that to apply knowledge for development of tra- too. will drive solar photovoltaic adoption at a ditional herbal drugs as adaptor genes and furious pace over the next five years and be- immune modulators which people have Concluding Remarks yond. The falling prices of PV panels, mostly been using for centuries for safety and ef- Both the Indian and Korean governments from China but also from the U.S., have co- ficacy. This field of treatment is cultural ac- have adopted green growth as a core nation- incided with the growing cost of grid power cepted in both India and Korea. al policy for carbon dioxide reduction and in India. Government support and ample preparation for climate change. By introduc- solar resources have also helped to increase Textile Industry ing green technology education at all levels, solar adoption, but perhaps the biggest fac- The textile industry is one of the high- governments can build a solid foundation tor has been need. est revenue generating industries in India, towards global collaboration on sustainabili- Additionally, there is a growing need for accounting for a total of 32 percent of all ty of health and well-being in the light of our substances that will convert solar energy exports. Recently the industry has been increasingly challenging scenario of climate to electricity. For example, photovoltaic switching over to the use of microbial de- (PV) solar energy is based on semiconduc- colorization and degradation. There is also change. Regarding business opportunities, tor processing, and, accordingly, this form an increasing need of exploring biodiver- environmental operations and the economic of energy harnessing benefits from steep sity for natural dyes and developing eco- aspects of Indian-Korean Markets are going cost reductions similar to those realized in friendly methodology for synthetic dyes. A green. Collaborations within multi-disci- the microprocessor industry (i.e., driven by prominent application of green technology plines will contribute to this research agenda larger scale, higher module efficiency, and is apparently seen in the manufacturing by examining the role of people, industries, improving processing technologies). Better and usage of organic cotton and its green markets and flow of knowledge and technol- and more efficient manufacturing process- and eco-friendly products. All these require ogy between India and Korea. A-P 46 www.biztechreport.com INDIA-KOREA EDUCATION Glorious Past Bright Future Research Cooperation Between Indian Korean Institutes of Higher Learning lence. The Korean focus on research and by Chung-Yeon Cho development has been this country’s main driving force to be the world leader in semi- ndia is known for conductor technology as well as mobile its exhaustive depth computing and other electronic-domain products. I of professionals – In the past couple of years both these engineers, doctors, research countries have established an effective scientists and other science- channel for exchange of students through the establishment of the Academy of Kore- based fields – particularly an Studies in India. Universities within Ko- for their committed and rea such as Busan University have shown a dedicated work ethic keen interest in admitting Indian students. Indian students interested in research, driving their excellence. development or doctoral/post-doctoral stud- ies should head to South Korea and are well- However, it comes as a surprise that re- advised to consider the quality of research © pib.nic.in search-related activities are not as mature and leading-edge technology innovation Smt. Gursharan Kaur paying floral tributes at the statue of with regard to Korea academicians. happening there, especially in the semi- Guru Rabindra Nath Tagore, in Seoul on March 26, 2012. Hence, the need of the year between In- conductor, solar PV and related sectors. As Koreans seek the hallowed portals of dia and Korea, even as both countries cel- While India has ‘new temples’ of learn- IIT’s and IIMs for quality educational oppor- ebrate their 40 years of co-operation and ing of ‘Indian Institute of Management and tunities, Indian students in Korea are keen trade, is to collaborate further so as to com- Technologies,’ Korea has integrated educa- on inculcating research and development plement each other’s proficiencies. tional methodology where technology is be- techniques which have created the techni- Indian application development and ana- ing utilized even at the kindergarten level cally advanced nation that South Korea has lytical skills are well-known for their excel- of education. become. A-P

Continued from Page 43 Conclusion MDG Study Series, New York, India is one of the 12 mega biodiversity Traditional medicine is not in isolation • Jo, B H. (1990). The analysis of conflict centers of the world, including the Western and there is an urgent need to have coor- structure of Korean medical system. Eco- Ghats and Eastern Himalayas region, which dination between it and modern medicine nomics and Management, 23: 357-366. are reported to contain 49,000 plant spe- systems. Both should communicate in one • Choi, D. W., Kim, J. H., Cho, S. Y., Kim, D. common language in order to provide bet- cies. Depending on the availability of princi- H. and Chang, S. Y.(2002). Regulation and pal medicinal plants, the country has been ter reach and benefits to humankind. To achieve this there needs to be a quality quality control of herbal drugs in Korea, divided into eight phytogeographic regions. Toxicology, 181-182: 581-586 Research and Development Council of framework and design of traditional medi- • Kala, C.P. (2004). Studies on the Indigenous Scientific and Industrial Research (CSIR), cines, as well as appropriate standards for is a leading research organization in India traditional medicine practice and products. Knowledge, Practices and Traditional Uses having 40 laboratories spread throughout Academic education in traditional medi- of Forest Products by Human Societies the country. All universities and leading cine system has been offered in South Korea in Uttrakhand State of India. GB Pant for many years. Mutual benefits should be pharmaceutical institutes carry out re- Institute of Himalayan Environment and shared in terms of technology transfer in search on medicinal plants. The knowl- Development, Almora. health care systems, especially drug safety edge of ancient texts has been translated • Sahai, S. ( 2000). Commercialization of in- and efficacy, and quality strategy building and digitalized in the form of a Traditional for mutual cooperation. Medical Tourism is digenous knowledge and benefit sharing, Knowledge Digital Library (TKDL) to protect a very happening term nowadays, especial- In: UNCTAD Expert Meeting on Systems Intellectual Property Rights (IPR). Five gene ly in Asian continents, particularly in India and National Experiences for Protecting banks have been established in the Central and South Korea. India’s medical tourism Traditional Knowledge, Innovations and Institute of Medicinal and Aromatic Plants, sector is expected to experience an annual Practices, Geneva. in Lucknow. growth rate of 30 percent. South Korea is • Sharma, S. K., (2002). Ayurvedic drugs produc- The Technology Information, Forecasting also listed among one of the prime destina- tion, regulatory status in India, domestic and & Assessment Council (TIFAC), has identi- tions for medical tourism. export market, In: Workshop on Regulations fied 45 medicinal plants which have been Good sustainable harvesting practices, for Production and Marketing of Medicinal included for action in cultivation, post-har- medicinal plants conservation and its culti- vest technology, processing, manufactur- vation, skill training, and product market- Plant Products, ICS-UNIDO, Trieste (Unpub- ing, research, patenting and marketing. The ing are some key steps to be taken to ensure lished document) present export volume of crude drugs from the betterment of the health system. The • Vasisht, K. and Maninder, K. (2003). The India stands at 36,200 tonnes worth about government endeavor will contribute to the status of medicinal and aromatic plants in US$24 million (Vasisht and Maninder, 2003). preservation of biodiversity and improve- India and Nepal, In: Vasisht K. and Kumar Ayurveda, Siddha and Unani are classi- ment in its health care system. Coordina- V. (Eds.), Medicinal Plants and Their Utili- cal system which are organised in nature tion and cooperation between India and zation, ICS-UNIDO, pp. 55-75 and are taught in colleges, grant degrees to South Korea for mutual benefits will bring • WHO (2001) Legal Status of Traditional significant positive results which can rees- practitioners and are incorporated into the Medicine and Complementary/Alternative official health care system. India has well tablish various treasured traditional medi- Medicine: A Worldwide Review, WHO/ integrated these systems into the national cine systems the world over. A-P EDM/TRM/200 1.2, WHO, Geneva, p. 188 health care system and they are officially recognized by the central and state govern- References: • WHO (2005) National Policy on Tradi- ments. The Vaidyas and Hakims are still tional Medicine and Regulation of Herbal practicing in different parts of the country • MDG Study Series, Achieving the Health Medicines: Report of a WHO global survey, and today they are also getting recogni- Millennium Development Goals in Asia WHO, Geneva, May 2005. Available tion. Other steps have also been taken to and the Pacific Policies and Actions within at: http://whqlibdoc.who.int/publica- strengthen this knowledge system. Health Systems and Beyond Asia-Pacific. tions/2005/9241593237.pdf (15 Feb. 2006) 47 www.biztechreport.com Continued from Page 39 TRAVEL include the following: • Daesung Energy was selected in March 2012 to work on “200kW class solar power (heat) generation system devel- opment”. • Hwajeong Village is the first community in Korea to convert all of the households into individual solar power generators as a part of the Green Village project by the Ministry of Knowledge Economy and Korea Energy Management Corporation. Collaborations The author identifies the following complementary collaborative areas and

© Firststar | Dreamstime.com stresses the need for a long term commit- Guards of emperor palace at Seoul. South Korea, 2010. ment of at least 5 years for basic and ap- plied R&D in energy production as well as energy storage development: India and Korea Travel and • Nanomaterial Synthesis (Korea leads) • Nanocomposites (India leads) Tourism Ties Strengthen Further • Fuelcell and Batteries (Korea leads) • Photovoltaics (Equal?) tween the two important and commercial • Education and Trained Manpower BY Jeon-Dong Hee capitals of the two countries was drawn (India leads?) up, as were similar MOUs between Pochen Dr. Abdul Kalam, the former President and Jaipur; Incheon and Kolkata. n the past year of 2011, of India, visited the Department of Energy Tourism and travel between the two South Korea and India Science at SKKU campus in Suwon, Korea, countries received a further boost with in Nov. 2011. He suggested that the Indian have celebrated the the first ever visit of an Indian President I Space Research Organization (ISRO) can year of ‘Korea in India’, and to South Korea, Dr. A.P.J. Abdul Kalam, work with SKKU and Samsung on space- when the joint committee to draw up the both nations are revisiting based solar energy harvesting and energy Comprehensive Economic Partnership storage. The author feels that there are many of the ancient, Agreement, or CEPA, was formed. Under several such areas of collaborations, espe- historic cultural ties they the new trade agreement, bilateral trade cially in nanotechnology between Korea and commerce were given special focus. have shared long ago. and India because of their complementary The CEPA also aimed to lower tariff barri- strengths. It is believed that it was a young Indi- ers between both countries over the next In conclusion, the increasing bonding an princess from Ayodhya who married ten years, penetrating into sectors such between Korea and India will result in a prince from Korea (Kim Suro), which chemicals, garments, machinery, metals, partnership that can provide global lead- led to the eventual first establishment of and tourism and travel. ership in the area of nanotechnology for cultural, historic and finally economic ex- The cultural ties between India and energy applications. A-P change between the two countries. South Korea were also strengthened admi- Eventually, with the arrival of Buddhist rably due to the historic visit of the India’s monks and preachers, a bit of Indian national poet and Nobel Laureate, Rabin- References culture came to be engrained in Korean dranath Tagore. When in Korea he had culture. Again, after centuries of intrepid penned the famous poem, ‘The Lamp of 1) Sivaram Arepalli, “Future of Indo-Korea trade, both countries experienced colo- the East’, which went to become a source Collaborative Activities in Nanotechnolo- nialism in the modern times: India under of hope for the Koreans who were subju- gy”, Asia Pacific Business and Technology English rule and South Korea under Japa- gated by Japanese imperialistic powers. Report, July 2010, http://www.biztechre- nese rule. It is indeed a historical coinci- The poem’s nationalistic fervor is quoted port.com/story/588-future-indo-korea- dence that both the countries were divid- to this day. collaborative-activities-nanotechnology ed on the same date of August 15th, into In the golden age of Asia 2) DST-NRF joint call for proposals, Feb. India and Pakistan, and North and South Korea was one of its lamp bearers, 2011; http://dst.gov.in/whats_new/whats_ Korea. And that lamp is waiting new11/cop_indo_korea.pdf In fact, Gimhae, the Korean city where To be lighted once again 3) The $10 Million Solar energy R&D the Indian princess traveled to and mar- For the illumination of the East. ried Prince Kim Suro, is now accorded a funded by DST; http://www.dst.gov.in/ sister-city relationship, with the Indian India and South Korea continue to scientific-programme/t-d-solar-energy. city of Faizabad-Ayodhya, according to a forge stronger ties of co-operation and un- htm Memorandum of Understanding (MoU). derstanding across several business sec- 4) “India’s Nano Mission” in Chap. 7 of Today a monument sponsored by the city tors. Travel and tourism too are being em- DST’s annual report http://www.dst.gov. of Ayodhya’s administrations stands at phasized, considering the scope of travel in/about_us/ar10-11/default.htm Gimhae, attracting thousands of tourists between the two nations for delivering of 5) The WCU program: http://wcu.nrf.go.kr/ each year. services such as those related to informa- english/e_wcu/wcu_6.jsp In another MoU between Busan and tion technology, and also for tertiary 6) Daesung Energy website: http://energy. Mumbai in 1977, mutual co-operation be- health care through ‘medical tourism’. A-P korea.com/

Continued from Page 44 bitious civilian nuclear energy program. cooperation between India and South Korea to meet surging energy needs is a positive The local protests against the setting up of to show results. However, India is desperate sign for South Korea. nuclear-power plants, especially after the to bridge the widening-gap between energy He said that South Korea should be aware Fukushima nuclear accident, are growing demand – which is exponentially growing of the growing power of private entities in louder in the country. They have put a big – and supply. And, South Korea is seen as a long-term reliable partner that will help In- India. “Reliance Energy, Tata Power, and question mark on many civilian nuclear en- dia succeed in achieving some of its nuclear Larson & Toubro are companies that have ergy projects. South Korean companies will energy goals to bridge that gap. been eyeing the nuclear sector following also have to face the same protests which Moreover, as a senior Indian official said the US-India civil nuclear deal. Therefore, can prolong the necessary waiting periods, to The Hindu newspaper, having the South Korea needs to seek exchanges and technol- and they also have to cross over India’s Koreans in the fray means India’s other nu- ogy cooperation with these companies.” stringent nuclear policy hurdles. Indeed, it clear partners have to keep the price of It’s still early on in terms of India’s am- will take some time for the nuclear energy their reactors competitive. A-P 48 www.biztechreport.com

MEMORY LANE INDIA-KOREA Glorious Past Bright Future 1950, liberating Pyongyang, and unifying some 90 percent of the peninsula. But then China’s counter intervention that Panikkar had warned about drove the Western forces as far south as Daejon. It was the single lon- gest military retreat in US army history. As for the medical unit, what are the es- sential facts about it? Its efforts went far beyond what the term “platoon” suggests. It was closer to a mobile army surgical hos- pital known in the West as a MASH unit. The commander was Lieutenant Colonel A.G. Rangaraj. He and his brave men swung into action on December 4, 1950 in Pyongyang. At that time, the US 8th Army was retreating from the north af- ter China’s entry. The Indian unit official- ly played the role of the medical evacuation unit for the 27th British Commonwealth Brigade and it aided this unit throughout the war. The Indians nobly put aside the

Korean War Memorial in Seoul. © Sebastian Czapnik | Dreamstime.com centuries of imperialism they had suffered under the English to save lives. Very soon, Rangaraj’s actions won the When Chai Came to the Land of respect and even affection of the troops from the English Commonwealth countries because they provided excellent medical the Morning Calm care and its men showed courage, even un- der fire. Just about all the Commonwealth by victor fic soldiers evacuated from the Korean War battlefield passed through theI ndian unit’s hands before being sent to better facilities. The English soldier regained conscious- known as K.M. Panikkar. He was born in In an important note, some members of the ness while flat on his back on a cot ina 1895 and enjoyed an illustrious career as a 60th Indian Field Ambulance Platoon actu- battlefield medical unit. Still groggy from journalist, scholar, historian, administrator, ally parachuted the U.S. 187th Regimental the shell that had landed close by, he ex- playwright, novelist and diplomat. Panikkar Combat Team at Munsan-ni on March 22, pected to see a white face unfolding ban- had sharpened his mind at Oxford and read 1951. dages. Instead, he was pleasantly surprised for the bar at the Middle Temple in London South Koreans are nowadays recalling to observe a man in a turban holding out before he returned to India. He taught at these Indian contributions to the war ef- a cup of tea. That special drink was and is the University of Calcutta, a nerve center fort. For instance, in November 2011, Seoul still called chai, the word that Indians give for India’s robust intellectual class that cen- sent the so-called Little Angels children’s to the khaki colored, sweet and strong liba- tered on the state of Bengal. The influential entertainment troupe to India as a way of tion with a real kick. newspaper the Hindustan Times took him lionizing the Indian medical units. As for These days, affluent South Koreans sip on as an editor in 1925. Panikkar, he remains one of India’s most chai in one of the many Starbucks cafes In 1947, the Indian people regained their famous diplomats. Although his aforemen- that dot the country, which has since risen independence from England and India ap- tioned warning to Washington was correct, to be the world’s 11th largest economy. peared as a free country and republic on the latter was too intent on a complete vic- This tea first enteredK orea during the war, the world stage. No longer would London, tory, meaning the destruction of the North when Indian medical personnel offered it a distant and foreign city, make foreign and Korean regime and unification ofK orea, to to wounded UN/Commonwealth soldiers to defense policy decisions for 350 million In- heed it. help revive them from battlefield trauma. dians. So the next time you find yourself sip- Chai then disappeared from South Korea Now Panikkar’s talents were more fully ping a steaming cup of spicy chai in a Seoul for decades until the Seattle-based Star- recognized and he became the Indian am- cafe, face southwest toward India and raise bucks chain added it to its menu to appeal bassador to China during the years 1948 the cup in a salute to the Indian medics who to South Koreans with -- literally -- a taste -1952. After that, he also served in Egypt, nobly assisted the UN soldiers. A-P for the exotic. which was a leader of the non-aligned As we commemorate fifty years of rela- movement that opposed backing either su- tions between India and South Korea, it perpower America or Russia. He also later is necessary to recall the important -- and presented his credentials in France. colorful -- contribution of the former to In his book called Two Chinas, which the latter’s success. India is most famous appeared in 1955, Panikkar exposed his among Western soldiers for dispatching the leanings for the new China of Mao Ze- Indian Army’s 60th Parachute Field Ambu- dong. In those years, India and China were lance Platoon that used chai as medicine. close friends and even hailed each other as But among scholars, the Indian name that “brothers.” To be sure, it was half a decade stands out is that of diplomat K.M. Panikkar. before the war that revealed and deepened First lets set some context. On June 27, the difference between the two ancient 1950, two days after North Korea invaded Asian countries. But it was in Beijing that South Korea, American President Harry Tru- he played a role in the Korean conflict. man ordered the US 7th Fleet to steam into That transpired when Zhou warned the Taiwan Strait to defend the Guo Min through friendly countries such as India Dang regime, an ally, from the risk of China that mainland China would act to safeguard attacking. By then, communist China was China’s security on the peninsula. However, raptly watching events. On September 30, Truman regarded the message that Pan- Zhou warned the Washington that “the Chi- ikkar passed along as “a bald attempt to nese people will not tolerate foreign aggres- blackmail the UN” -- and dismissed it. China sion....” In fact, the ex-Soviet archives have and the US-led UN army went on to fight for since proven that the north started the war. close to two and half years for control of the Enter the Indian diplomat Sardar Ka- peninsula. In fact, the combined UN army Kerala Sahitya Akademi valam Madhava Panikkar, more commonly defeated North Korean regime in the fall of K. M. Pannikar 50 www.biztechreport.com